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7 Reasons Why Hiring a Licensed Remodeler Is Important

February 22nd, 2024 | 4 min read

By Isabelle Braeutigam

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Is your dream of a stunning project hindered by the uncertainty of hiring a licensed remodeler? The last thing you want is a project filled with risks, poor craftsmanship, and non-compliance with regulations. Without a licensed professional, you might face costly repairs and even insurance issues if things go wrong.

With over 15 years of experience, we understand the risks associated with unlicensed contractors.

In this article, you’ll learn about why hiring a licensed remodeler is important for your project:

  1. Risk Mitigation
  2. Professional Expertise and Systematic Project Execution
  3. Ethical Business Practices
  4. Compliance with Regulations
  5. Insurance Coverage
  6. Industry Connections and Collaborative Excellence
  7. Warranty and Guarantees

1. Risk Mitigation: Quality Work and Professionalism

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When you hire a licensed and insured remodeler, you increase the chance of receiving high-quality work. Licensed contractors are accountable to government rules.

This reduces the risk of poor work or unprofessional behavior. Choosing a licensed professional jumpstarts a successful remodeling project.

2. Professional Expertise and Systematic Project Execution

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Licensed contractors bring a wealth of professional expertise to your project. They typically follow a systematic process that takes you from concept to completion. This structured approach ensures your project progresses and adheres to a well-defined plan.

Asking questions upfront becomes comfortable and necessary. Licensed remodelers focus on clear communication and transparency throughout the project.

Here are a few questions you can ask your remodeler regarding their licensed status:

  1. Are you currently licensed to operate as a remodeler?
  2. Can you provide me with your license number, and how can I verify it?
  3. Do you carry insurance, and what type of coverage do you have?
  4. Have you faced any legal issues or complaints related to your remodeling work?
  5. Are your subcontractors also licensed and insured?

3. Ethical Business Practices

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Associating with licensed remodelers often involves aligning with reputable business practices. Organizations like the Home Builders Association (HBA) only include licensed and insured contractors. This promotes fair competition and safeguarding both homeowners and builders.

Choosing licensed contractors also protects against unlicensed competitors undercutting prices. An issue like this could:

  • Lower the industry standard.
  • Pose risks to other businesses.
  • Compromise the quality of your project.

4. Compliance with Regulations: Building with Confidence

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When you hire a licensed remodeler, you can be confident that your project complies with all city and government regulations. Unlicensed contractors might compromise on meeting these requirements. This puts you at risk of legal implications and extra repair costs.

A licensed and insured contractor will help protect your valuable project investment.

5. Insurance Coverage: A Safety Net for Homeowners

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It’s worth noting that Michigan does not require insurance for a contractor to obtain a Residential Builder's license (or a Maintenance and Alteration contractor license). However, many licensed contractors have insurance.

Selecting an insured contractor guarantees insurance coverage for your remodel. In case of errors or mistakes, a licensed remodeler's insurance takes responsibility. This spares you from potential legal complications.

The contractor's business registration increases the chances they will address unforeseen issues.

6. Industry Connections and Collaborative Excellence

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Licensed and insured contractors are often well-connected within the industry with reliable subcontractors. This teamwork makes the construction process smoother and more efficient, reducing potential issues. A licensed contractor's commitment to quality extends to the subcontractors they choose.

7. Warranty and Guarantees: Protecting Your Investment

Licensed and insured contractors are more likely to provide warranties and guarantees. It's important to check the specific policies yourself on your candidate's website. But clear, upfront information about these aspects shows reliability and professionalism. 

Warranty coverage can include workmanship, labor, and materials.

Ways to Check Your Remodeler's License Status

Take advantage of resources like the LARA website in Michigan. There, you can verify a contractor's licensing status.

Don't hesitate to ask your contractor about their license. Confirm the information with official records.

Look for transparency cues and willingness to share licensing details. A licensed remodeler takes pride in displaying their credentials. By investing time in thorough research, you're not just checking a box. You're ensuring the foundation of a secure and reliable remodeling journey.

Here are a few more ways you can check your remodeler's status:

  • Go to Home Shows: Attend events like home shows. You can meet remodelers, ask questions, and learn about their licenses.
  • Contact Local Building Department: Call or visit your local building department. They can confirm if the remodeler has the right license.
  • Read Reviews Online: Explore reviews on sites like Yelp or Google. Other homeowners' experiences can tell you if a remodeler is good.
  • Ask Past Clients: Talk to people who have hired the remodeler before. Happy clients can show if the remodeler is good and follows the rules.
  • Check Industry Groups: Contact industry groups like the Home Builders Association (HBA). They might know about licensed remodelers in your area.
  • Read Contracts: Look at any contracts or paperwork from the remodeler. Licensed contractors usually include their license details in these documents.

Next Steps to Hiring a Remodeler for Your Project

Remember the potential pitfalls of hiring an unlicensed contractor. Shoddy workmanship and legal complications can turn your dream project into a nightmare.

In this article, you learned why hiring a licensed remodeler is essential to your project’s completion.

Our 15+ years of experience have brought us into contact with many projects derailed by unlicensed remodelers. We understand the consequences of hiring the wrong contractor, and we want to ensure you choose a remodeling partner who will protect your investment.

Ready to turn your remodeling dream into reality? Contact our team of design-build professionals at Custom Built Design & Remodeling. We're here to guide you through the process, ensuring your project meets the highest standards of quality and compliance.

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Now that you know more about the reasons why hiring a licensed remodeler is important, let’s explore the red flags to look out for in a contractor, the best questions to ask a contractor before hiring them, and if a design-build firm like Custom Built is right for you:

Isabelle Braeutigam

Isabelle has worked at Custom Built for 7 years, learning the Custom Built Systems from all sides. She has become an industry advisor in the customer relations software HubSpot, has a keen talent for elements of design, and currently leads the marketing team under the innovative TAYA system.