Ask the Builder: Stop Giving Contractors Money Upfront

If your contractor asks for money before the work even starts, that’s a big red flag!

The banker financing this project would roll on the floor laughing if the builder asked for money upfront to build this house. Tim Carter/Tribune Content Agency

I’ve set an ambitious goal for this column. I hope it will save collectively at least $100 million. If you and every other reader follow the advice I’m about to share, we can make sure your money will not disappear into the hands of a dishonest contractor.

I do quite a few 15-minute consultation phone calls each week with homeowners. Recently, I talked with a man who wanted to know how he could motivate his contractor to start work on a small room addition. The contract sum for the job was just a bit over $100,000.