Hiring guide
How to read an estimate and a contract
Estimates and contracts are written to be read slowly. This guide covers the line items that matter, the payment structures that protect you, and the clauses that should make you pause before signing.
Read the scope first
The scope of work is the most important part of any estimate. It should describe exactly what will be done, what materials will be used, and what is not included. If the scope is vague, ask for specifics before comparing prices.
Check the line items
A good estimate itemizes materials, labor, permits, disposal, and cleanup. Allowances, common in remodeling, should state a dollar amount and what happens if the actual cost exceeds it. Watch for line items that are blank or marked to be determined.
Understand the payment schedule
Payment should track progress, not the calendar. A typical structure ties payments to completed milestones with a final payment held until the punch list is done. Be wary of large upfront payments, especially for roofers and storm work.
Know your lien rights
In Georgia, contractors and suppliers can file liens on your property for unpaid work. A lien waiver, signed as payments are made, protects you from paying twice. Ask for lien waivers with each payment on larger projects.
Change orders
Changes happen on almost every remodel. The contract should say how change orders are documented, priced, and approved. Without that process, the final bill can drift far from the estimate.
Red flags in the fine print
Watch for clauses that limit your remedies, warranties that disappear if you complain, and contracts that reference terms you never saw. If anything is unclear, ask for it in plain language before signing.
Key takeaways
- The scope of work is the most important part of any estimate
- Itemized line items make prices comparable
- Tie payments to completed milestones and hold a final payment
- Ask for lien waivers with each payment on larger projects
- Get change orders in writing before the work happens