Top 8 Mistakes To Avoid When Hiring Contractors in 2025
Hiring the right contractor can make or break your home improvement project. Whether you’re planning a kitchen renovation, installing new flooring, or adding a deck, the contractor you choose will determine not only the quality of the finished work but also your stress levels, timeline, and overall investment return. According to recent industry data, American homeowners lose an average of $12,000-$15,000 annually due to contractor-related issues, including poor workmanship, project delays, and cost overruns. Unfortunately, many homeowners make critical errors during the selection process that lead to these costly outcomes and endless frustration—mistakes that are entirely preventable with the right knowledge and approach.
Our sales team has heard from thousands of customers about contractor projects and their experiences to identify the most common, and costly, pitfalls that homeowners encounter. From choosing based solely on price to ignoring proper licensing and insurance requirements, these eight mistakes can turn your dream project into a nightmare. By understanding these critical errors before you start your contractor search, you’ll be equipped to make informed decisions that protect your investment, ensure quality results, and create a smooth project experience from start to finish.
1. Making Hiring Decisions Based Solely on Price
At the end of the day, get what you pay for. This fundamental law of economics has withstood the test of time in the contractor industry. As the saying goes, “The bitterness of poor quality remains long after the sweetness of low price has been forgotten.” When you choose the cheapest contractor bid, you’re often choosing substandard materials, rushed installation, and corner-cutting techniques that will cost you significantly more in repairs and replacements down the road.
Consider this: hiring a low-cost contractor may save you 20-30% upfront, but poor workmanship can reduce your home’s value and require expensive fixes that cost 2-3 times the original project budget. A quality contractor using professional-grade materials and proper installation techniques will increase your property value and provide long-term satisfaction with your investment.
What to do instead: Get multiple detailed quotes, compare materials and methods, and choose contractors based on value—not just price.
2. Hiring Contractors Without Proper Experience or Expertise
Ensuring your contractor has the right experience and expertise is crucial for project success. Don’t just look at how many years a company has been in business—investigate their specific experience with your type of project. A general contractor with 20 years in business but only 2 years of kitchen renovation experience isn’t the right choice for your kitchen remodel.
Key qualifications to verify include: relevant project portfolio, specialized certifications, manufacturer training credentials, and references from similar projects completed within the last two years. Remember, “the little things do matter; it’s all about the details,” and only experienced professionals know how to handle the complexities that arise during installation.
Red flags to watch for: Contractors who can’t show examples of similar work, lack manufacturer certifications, or seem unfamiliar with current building codes and best practices.
3. Skipping Due Diligence and Research
Avoid buyer’s remorse by conducting thorough due diligence before signing any contract. In today’s digital age, researching contractors has never been easier, or more important. Start with online reviews on Google, local Facebook community groups, and check with your local Builder’s and Business Associations. Look for patterns in feedback, crew behavior, and photos—not just overall ratings.
Your Due Diligence and Research Checklist:
- Verify business license and insurance coverage
- Check Social Media Groups, Online Forums, and Neighborhood groups for reviews or complaints
- Visit their physical location and showroom, if available
- Request and contact recent customer references
- Search for the company name plus “complaints” or “problems”
- Verify they’re not frequently changing business names (a red flag for poor business practices)
Remember: “Invest the time now, so it doesn’t cost you both time and money later.” Companies that are transparent about their work history and customer feedback are typically more reliable partners.
4. Accepting Weak or Empty Guarantees
Understanding what warranties and guarantees really mean—and what actions will be taken if you’re dissatisfied—is critical for protecting your investment. A legitimate contractor should offer comprehensive warranties backed by both the manufacturer and their installation work.
Essential warranty components:
- Written workmanship guarantee (minimum 1-2 years)
- Material warranties transferred from manufacturer
- Clear process for addressing defects or problems
- Money-back guarantee for seriously defective work
- Responsive customer service for warranty claims
Ask specifically: “If I’m unsatisfied with the installation quality, what exactly will you do to make it right?” and “Are you willing to provide a money-back guarantee if the work doesn’t meet industry standards?” Professional contractors with confidence in their work will provide clear, written answers to these questions.
Warning sign: Contractors who are vague about warranties or refuse to put guarantees in writing.
5. Overlooking Property Protection and Liability Issues (Negligence)
Professional contractors should protect your property, your neighbors’ property, and themselves throughout the construction process.
This goes far beyond basic insurance coverage—it includes active property protection measures and comprehensive liability coverage.
Key protection requirements:
- General liability insurance ($1 million minimum coverage)
- Workers’ compensation insurance for all crew members
- Property damage protection plans and procedures
- Utility line location and protection protocols
- Landscape and hardscape protection measures
- Daily cleanup and job site maintenance
Remember that utility lines, irrigation systems, and landscaping often run along property boundaries. Professional contractors know how to locate and protect these systems while completing your project safely. “Just being insured isn’t enough”—you need contractors who actively prevent damage through proper planning and protection protocols.
6. Hiring Unreliable or Incomplete Service Providers
Reliable contractors complete projects efficiently and communicate clearly throughout the process. They should provide realistic timelines, stick to schedules, and finish work without requiring constant supervision or follow-up from homeowners.
Signs of a complete, professional contractor:
- Detailed project timeline with milestone dates
- Regular communication and progress updates
- Consistent crew attendance and work quality
- Problem-solving capabilities when challenges arise
- Clean, organized job sites maintained daily
Most professional projects should be completed within the estimated timeframe (industry average varies by project type and size). Contractors who drag out simple projects, frequently reschedule, or require constant homeowner supervision often lack the resources, skills, or work ethic needed for successful project completion.
Make this an enjoyable experience, not a source of stress for your family and neighbors.
7. Selecting Products and Materials Without Physical Inspection
Never choose materials or products based solely on photos, catalogs, or online images. The importance of seeing, touching, and understanding how materials look and feel when properly installed cannot be overstated.
Essential evaluation steps:
- Visit showrooms to see full-size displays and installations
- Compare material samples in different lighting conditions
- Ask about material performance in your local climate
- Understand maintenance requirements and long-term durability
- See examples of the contractor’s previous work with similar materials
“Not all products should be treated equally”—materials that look identical in photos can have vastly different quality levels, installation requirements, and longevity. Professional contractors will make viewing displays, asking questions, and comparing options an easy part of your decision process.
Quality indicators: Contractors who maintain well-organized showrooms and can explain material differences in detail typically work with higher-quality products.
8. Ignoring Local Regulations, Restrictions, and Requirements (The 3 R’s)
“Restrictions, regulations, and requirements”—the 3 R’s can make or break your project if ignored. Professional contractors must understand local building codes, permit requirements, HOA restrictions, and zoning regulations that affect your specific project.
Critical compliance areas:
- Building permits and inspection requirements
- Local zoning restrictions and setback requirements
- Homeowners Association (HOA) architectural guidelines
- Environmental regulations and restrictions
- Historic district or neighborhood overlay requirements
- Utility easement and right-of-way considerations
The consequences of non-compliance are severe: fines, legal action, forced removal of completed work, and the expense of fixing problems after the fact. You are ultimately responsible for ensuring compliance if your contractor doesn’t handle it properly.
Knowledge is king—hire contractors who demonstrate expertise in local regulations and can guide you through the compliance process from start to finish.
BONUS: Think Twice Before DIY Projects
DIY projects can seem appealing, but before starting, honestly assess your capabilities, available time, and the true costs involved.
Key questions to consider:
- Material sources: Are you limited to big-box store products that may not withstand local climate conditions?
- Warranty coverage: Can you match the 1-year installation warranties that professional contractors provide?
- Installation expertise: Do you have the specialized knowledge to handle unexpected challenges and ensure long-term performance?
- Time investment: Is your time worth more than the labor savings?
- Risk management: Can you handle mistakes that could cost thousands to correct?
Remember: “Price is what you pay. Value is what you get.” Professional installation often provides better long-term value than DIY attempts, especially for complex projects involving structural, electrical, or plumbing work.
Don’t Let Your Outdoor Project Become a Contractor Nightmare
You want a beautiful outdoor space that increases your home’s value and brings your family joy. But navigating contractor selection feels overwhelming, and you’re worried about making a costly mistake that could haunt you for years.
Here’s the truth: Bad contractors abandon projects, deliver poor workmanship, and disappear when problems arise. Every month you delay, other La Crosse and Winona area homeowners are discovering that choosing the wrong contractor doesn’t just waste money—it destroys peace of mind and creates lasting regret.
Phillips Outdoor Services eliminates these risks completely. As your trusted guide through the contractor selection process, we’ve systematically solved every problem outlined in this guide: zero abandoned projects, 99.9% customer satisfaction, transparent pricing with money-back guarantee, $2 million liability insurance, 5-year workmanship warranty, and complete permit handling for fences, decks, landscapes, and irrigation systems.
Success looks like this: Your project completed on time, within budget, with workmanship so exceptional that you eagerly recommend us to friends and neighbors. Failure looks like this: Dealing with abandoned work, hidden costs, property damage, and contractors who won’t return your calls.
The choice is yours, but the window is closing. Every day you wait increases the risk of hiring the wrong contractor.
Stop worrying about contractor horror stories. Choose Phillips Outdoor Services and transform your outdoor space with confidence.
