Sunday, February 20, 2011

You Get What You Pay For


The old adage “you get what you pay for” holds true for many products and services we purchase, It especially applies to the home remodeling industry. We have all compared two items at the store that looked exactly alike, bought the cheaper product and quickly found out why the item was priced much less once we started to use it.
 As a follow up to last week’s post I wanted to talk about the costs a consumer pays for quality and professionalism. Professional  certifications,  specialized licenses, continuing education, knowledge of the continually changing Federal, State, Local regulations and requirements, comprehension of contractual law, and active participation in industry associations are all attributes of a licensed contractor.  We also must possess a clear understanding of insurance coverage in regard to liability – both our own along with our clients, and of course expertise and experience in the field of work. The days of buying a pickup truck and throwing your father’s old tools in the back and going door to door selling services are long gone. Sure there are still thousands of people who run under the radar and perform handyman services and even more complicated projects for homeowners. However, the liability for both the contractor and the homeowner in today’s world can not only be monetary but can also be criminal. If you found out that your lawyer or doctor was not licensed, insured or certified, would you still go to him/her? If you think about the work that a licensed and certified remodeler performs around your house or business shouldn’t you be requiring the same dedication that your doctor or lawyer has to his/her profession?
If you believe this than there is a cost difference between the person that operates out of a pickup truck without a license, insurance, certifications or alliances to industry associations  and the one who takes the time to acquire the proper knowledge base, professional certifications, etc.  Unfortunately to become the latter there is a great deal of cost associated with acquiring all of these items and staying current with the industry that the other person does not have. Portions of these costs unfortunately have to be passed on for the certified and licensed remodeling company to stay in business. 
Let’s look at a few examples of where these higher costs come from:
·         Federal and State Certifications- The Federal Government through the EPA along with the State of Massachusetts all charge fees for companies and individuals to be certified and licensed. These items require that a company invest not only its hard earned money but also its employee’s time. Training classes for certifications and specialized licenses runs into the tens of thousands of dollars.
·         Certified Equipment – Once certified, the contractor is required under the law to follow the guidelines and procedures of the particular certification that he/she has achieved.  Part of the guidelines and procedures is the use of approved equipment. An example of this would be the need to use HEPA vacuum systems in any home pre-1978 due to the risk of lead dust. This eliminates running to Home Depot or Lowes and using a Rigid vacuum with a HEPA filter that a good majority of contractors utilize. What you have to use or risk a fine is a HEPA vacuum system whose prices start at over $1000 with all necessary equipment attachments.
·         Operational Costs – How many times have you seen or been part of a remodel project where dust has gotten everywhere? Unfortunately dust is a given with any construction project but what is not a given is the methodology each contractor utilizes to contain the dust. All good contractors utilize negative pressure, dust barriers, etc. to minimize the spreading of dust. This alone adds additional costs to his/her bid. However, to comply with the new guidelines by both the EPA and State of Massachusetts good contractors are going to have to take their programs a notch up making them even more expensive than the pickup truck contractor mentioned above.
You may be thinking, why should I pay extra for all of this? If I can find somebody that isn’t worried about these regulations than I can reduce my investment and save some money. Once again think about the example of your doctor and lawyer. The above regulations and requirements were enacted to protect the health of homeowners, neighbors, and workers.  We may argue that these regulations have gone too far but isn’t it better to be safe than sorry. Also these regulations are now the law and to simply ignore them is to risk both civil and criminal penalties.  A company or person that is not fully certified or current with the industry standards and required licenses is looking more for a quick dollar than the health and well-being of their clients and workers.
Here are some guidelines that we suggest you follow when choosing a contractor or remodeler::
·         The Contractor Should Not Shy Away From Permits: Permits cost money but are part of the Massachusetts Building Code. If a contractor does not want you to pull a permit on the premise that it will save you money than he is doing you a disservice. A Permit assures not only you but your insurance company that all aspects of the job were inspected and performed to the code at a minimum.  Building codes originated so that there would be a minimum guideline for building and construction. Without a permit and the subsequent inspections you are completely dependent on the contractor’s word and depending on the contractor it may not mean much.
·         Clean Job Site: Good Contractors always have clean jobsites. This helps ensure safety and health of those in and around the work area.  Although it takes a little more time to keep a site clean the results of this effort goes a long way.
·         Job Warranty:  Companies not working under permits or proper certifications may offer warranties on their work, but do you think they are going to be around to validate it? Established professional contractors offer warranties on their work and will perform the necessary repairs in the event something happens. Call around and check out the contractor and see what his/her previous clients have to say. 
·         Quality Work: Reputable companies don’t stay around for decades by doing shoddy work and claiming the lowest price. Quality work starts with a quality product. As an example most people don’t realize that many name brand windows come in three different classes – say a contractor series, an  A series and an B series. The difference in quality between these three windows even though they are the same type of window is night and day.  A good contractor will point this out to the potential client so they can make an educated decision.  
When you are looking to remodel your home or business use the same due diligence that you use when choosing your doctor or lawyer.  Do your homework, make some telephone calls, and check their Better Business Bureau rating before entering into a contractual obligation. Remember you get what you pay for.

Seth Baldelli
Licensed Construction Supervisor
DRG INC.
“Let us find a solution for you”



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