A family from Long Island, along with their three small children, has been living in campers for the past month. They’ve parked them behind their house, which appears perfectly normal from the outside. However, things are quite different once you look closer.
Living in Shoreham, the family decided to remodel their home this summer. After hiring a contractor, a former friend, they handed over $96,200 for various materials and appliances. The contractor quickly began demolition but, shockingly, the work has now come to a halt.
When local news outlet ABC7 visited the family’s home, they discovered a chaotic and distressing situation inside. The family learned that the contractor had previously been involved in a consumer issue known as the “Wall of Shame” in Suffolk County and was operating without a valid license.
How to verify your contractor’s license
You can easily check if your contractor is licensed by looking through online databases, such as those from the Better Business Bureau or local chambers of commerce.
“A licensed contractor contributes to a state fund that compensates homeowners if the job isn’t completed satisfactorily,” explains Morris Katz, owner of Katz Contracting.
Notably, rules around contractor licensing differ from state to state, and sometimes even from county to county. It can be a gray area when it comes to hiring unlicensed contractors, leaving homeowners uncertain about the legalities involved.
It’s also crucial to ensure that your contractor has insurance. This protects you in case any damage occurs during renovation. Most states have online databases where you can check contractor insurance.
What to consider when choosing a contractor
Once you identify licensed contractors, it’s essential to find the right fit for your specific project.
While there are general contractors, many specialize in areas like HVAC, electrical, or plumbing work. A quick Google search can clarify their expertise and it’s wise to look at customer reviews as well.
Real estate investor Liz Bloomer Smith shares her “nightmare” experience with a contractor who vanished after taking her money. Her top advice? Do your homework.
“A quick search of his company revealed some alarming reviews of clients who had their money stolen,” she recounts. After realizing the contractor wouldn’t return, she pursued small claims court and found out from her lawyer about other pending lawsuits against the company for similar issues.
How much does a contractor cost in 2025?
As a general rule, be wary of estimates that seem too good to be true. Costs for contractor services have indeed risen in recent years, with the average for general contractors around $4,000.
However, depending on the scope of work, costs can soar up to $58,000. This could include additional fees for permits, subcontractors, and land surveys, which can all significantly affect your total bill.
To get a better idea of potential costs, using a renovation calculator on realtor.com can help you analyze expenses and potential return on investment for renovations tailored to your area.
