Why do you need a home improvement contract?
Home improvement contracts are necessary to make sure that all parties are on the same page. They define the scope of work and what is to be done, and they outline payment schedules. The contract also outlines procedures in case something goes wrong with the project and someone needs to activate workers’ compensation insurance or enter arbitration.
What to include in a home improvement contract.
A home improvement contract often includes:
- The name and address of the homeowner
- The name, business address, and registration number of the contractor
- A description of the work to be done
- The scope of work, which includes the main work and what incidental work is and isn’t covered by the agreement
- Work to be done by subcontractors, if necessary
- Use of the premises and property during work
- Materials and suppliers
- Relevant regulatory requirements, such as zoning for the property
- The start date of a project
- The expected completion date of the project
- Relevant insurance, such as liability insurance
- Any necessary contractor license numbers, as required by local regulations
- A list of any required permits
- Any waivers, if necessary
- What happens in the event of a notice of cancellation
- The amount of down payment for the work
- A payment schedule and date of final payment
- Pricing and timeline expectations around change orders