Developing an air-tight renovation contract

Even though the Home Renovation Tax Credit recently ran its course, several new programs have been established to encourage homeowners to renovate with energy-efficiency in mind. These include the Home Energy Assistance Toronto (HEAT) program, the Ontario Home Energy Savings program and the Government of Canada’s Retrofit Rebate program. Under all three, Toronto homeowners can receive up to $11,000 in combined grants and rebates when they renovate their homes with more energy-efficient appliances, systems and materials.

While all of the programs leave provisions for having a handy relative come over to help out, many homeowners will be using professional companies or contractors to get the job done.

No matter what the size of the task you’re looking to have completed, always have a written contract before you begin. Without a proper contract, risk of problems developing for both parties involved is endless.

Your contract should:

  • Include all applicable addresses, phone numbers and the names of all parties.
  • Demand that any work done will comply with any applicable codes, regulations and laws.
  • Cover any permits that will be required.
  • Mention any work that is to be subcontracted and to whom.
  • Include step-by-step, thoroughly detailed instructions on what is expected.
  • Cover any warranties, in detail, on the work done.
  • Include a firm start and completion date.
  • Incorporate blueprints or drawings if the project is vast and complicated.
  • Be signed and dated by all parties.

As a reminder, always be sure to:

Not fall for any proposed agreement in which you would receive a discount for paying cash with no contract, and be cautious working with someone who seems offended when you propose one. Legit companies and individuals know that the inclusion of a contract is to protect themselves as much as you.

Hire insured contractors who can show proof of registration for worker’s compensation, as well as their proof of property damage and public liability insurance. Otherwise, you could find yourself on the bad end of a lawsuit if a worker hurts themselves while working on your property.

Research the company thoroughly. Google is a valuable tool when it comes to researching companies and individuals for past complaints and transgressions, or on the other hand, recommendations and praise for a job well done.

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