Choosing a contractor is the single biggest decision in a remodel — bigger than the tile, the cabinets, or the layout. A great contractor makes a stressful project feel calm. A bad one turns a kitchen into a lawsuit. Here are the red flags we tell every homeowner to watch for before they sign anything.
A large up-front down payment
Anything over 10% of the contract before work begins is a red flag. Reputable contractors do not need your money to start — they need it to keep going. A payment schedule tied to milestones (demo complete, rough-ins passed, drywall up, trim installed, final punch) protects both sides. "Half up front" almost always means the contractor is using your deposit to finish someone else's job.
No written payment schedule
If the contract says "payments as work progresses" without dollar amounts and milestones, you have no leverage. Every draw should be tied to a specific, verifiable completion point. If a contractor pushes back on this, they are telling you how the project is going to go.
No 3D design or drawings before build
You should be able to see your kitchen, bathroom, or addition before a single wall comes down. 3D renderings, elevations, and a scope of work document are basic — not premium. Contractors who "figure it out as we go" figure it out at your expense, and you end up paying for every change order.
Watered-down paint and skipped primer
You cannot inspect paint after the fact, so contractors love to cut here. Two coats of properly thinned paint over the correct primer looks and lasts completely different than one thick coat over bare drywall. Ask what primer they use, how many finish coats, and what brand — good painters answer instantly.
No license, no insurance, no permits
- License: verifies the contractor is legally allowed to do the work in your city
- General liability insurance: covers damage they cause to your home
- Workers comp: covers injuries on your property — without it, you are the insurance
- Permits: required for structural, electrical, plumbing, gas, and mechanical work in almost every jurisdiction
If any of the four are missing or "not needed for this job," walk away.
Cash-only or "discount if we skip permits"
Cash pricing usually means no records, no warranty, and no recourse. Skipping permits saves the contractor time and saves you nothing — unpermitted work surfaces on the next home inspection and can force you to open finished walls to bring it up to code.
Won't share references or past-project addresses
Every contractor with real completed work has clients happy to talk to you. If you cannot get three references — with phone numbers you can call and, ideally, addresses you can drive by — that is the answer.
Vague scope of work
"Remodel master bathroom — $45,000" is not a scope. A real scope lists demo, framing, plumbing rough-ins, electrical rough-ins, waterproofing system, tile type and size, fixture brands and models, vanity, mirror, lighting, exhaust fan CFM, paint, and haul-off. If the scope fits on one page, expect change orders.
Pressure to sign today
"This price is only good if you sign now" is a car-salesman move, not a contractor move. Good contractors are busy — they want the right customer, not a fast one. Take a week. Read the contract. Ask a lawyer if the number is big.
The through-line: good contractors are transparent, documented, and patient. Bad ones create urgency, avoid paperwork, and want your money before they earn it. If you want an honest scope and a payment schedule you can actually read, contact Modern Builders for a quote — we would rather lose the job to a competitor than write a contract you should not sign.
