Hiring a Contractor? 7 Things Every Homeowner Should Know First

Whether you are remodeling a kitchen, finishing a basement, or repairing storm damage, hiring the right contractor can make or break your project. In Utah’s active housing market, homeowners are investing in upgrades to increase comfort and long-term value.

Before you sign a contract, here are seven things every homeowner should know.

  1. Verify Licensing

In Utah, most contractors must be licensed through the Utah Division of Professional Licensing. This protects you as a homeowner.

Before hiring, check:

  • License status
  • Classification type
  • Any disciplinary history

You can verify a contractor’s license at:
https://dopl.utah.gov

Hiring licensed contractors in Utah reduces risk and ensures minimum professional standards.

Utah home improvement remodel project
  1. Get Multiple Bids

Do not accept the first estimate you receive. Get at least two or three bids for comparison.

Look beyond price:

  • Scope of work
  • Timeline
  • Materials specified
  • Payment schedule

If one bid is significantly lower than the others, ask why. It may mean corners are being cut.

  1. Get Everything in Writing

Verbal agreements create confusion. A detailed written contract should include:

  • Full scope of work
  • Payment terms
  • Timeline
  • Materials and brands
  • Warranty information

A clear contract protects both you and the contractor.

  1. Understand the Payment Structure

Avoid paying the full amount upfront. In Utah, contractors typically request:

  • A deposit
  • Progress payments
  • Final payment after completion

Payments should align with project milestones. If a contractor demands full payment before work begins, that is a red flag.

Salt Lake City home renovation project
  1. Check Insurance Coverage

Contractors should carry:

  • General liability insurance
  • Workers’ compensation insurance

Ask for proof of coverage. If a worker is injured on your property and the contractor is uninsured, you could face liability.

  1. Review References and Past Work

Online reviews are helpful, but direct references are better.

Ask:

  • Did the contractor stay on budget
  • Was communication consistent
  • Were there delays
  • Would you hire them again

Photos of past projects also provide insight into the quality of workmanship.

  1. Plan for Permits and Inspections

Many renovations in Utah require permits, especially structural, electrical, and plumbing work.

Your contractor should:

  • Pull the necessary permits
  • Schedule inspections
  • Ensure work meets local building codes

If someone suggests skipping permits to save money, proceed carefully. Unpermitted work can create problems when you sell your home.

Why This Matters for SLC Real Estate

Home improvements can increase your home’s value, but poorly executed work can hurt resale potential. Buyers and inspectors often flag:

  • Unpermitted additions
  • Improper electrical upgrades
  • Incomplete finishes

Hiring contractors in Utah who follow proper procedures protects both your investment and your long-term equity.

A successful renovation starts long before demolition. Take time to verify credentials, compare bids, and review contracts carefully. The right contractor will welcome your questions and provide clear documentation.

Homeownership often includes upgrades and repairs. Doing them correctly helps maintain your property’s value and your peace of mind.

Salt Lake City Real Estate: Your Partner in 2026

If you’re considering buying or selling a home in or around Salt Lake City, we’re here to help! Whether selling to move up, buying your first home, or relocating, we provide expert, data-backed guidance to help you navigate the market with confidence.

Contact Kevin Coyle today to discuss your real estate goals—or explore more insights on our SLC Homes Blog.

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