The Worst Basement Finishing Nightmare Ever and One Simple Tip You Can Follow to Avoid it!
More so than most industries, construction may be reeling while using a tough economy in the last couple of years. While it creates an outstanding building atmosphere when it comes to price, additionally, it creates some unique challenges for your basement finishing project.
One potential issue that no person thinks about will be the challenge with contractors who can’t pay their bills. You might ask: “Why should this matter in my opinion? I’ll pay my contractor 100% of the I owe in the event the job is fully gone.”
Listen carefully. Even though you paid the check on your basement finishing project, it is possible to always be subject to a mechanic and material liens!
If your basement finishing contractor utilizes subcontractors (the valuable thing – to learn more on this see our previous article titled “Basement Finishing – Will I Recoup My Costs?”) those subcontractors have rights to the work they’ve done in your house until to remain paid.
Further, should your basement contractor provides materials for that project (which a positive thing – for more information with this see “Basement Finishing – Benefits of Membership!”), the suppliers have rights to the people materials in your house until they are paid.
If your contractor is under honest, you aren’t can’t pay for the subcontractors and suppliers who helped on the project, then this basement project itself may be the only recourse those subcontractors and suppliers have for your money these are owed!
An unpaid subcontractor or supplier can file a lien with the municipality being placed against your property, pending final payment. This puts you inside a sticky situation! You’ve already paid for the project, though the funds didn’t live to the rightful party.
Removing these liens isn’t easy and will likely involve attorneys, which can be going to be expensive.
The best way to deal with a lien is to not get yourself a lien in the first place. While there are a couple of various ways to stop this from happening, the simplest and most effective would be to be sure you hire the right basement finishing professional.
You’ve probably shown to ask for past customer references, but perhaps you have considered requesting professional references? A while ago we got common practice use a professional reference sheet to clients.
With the number of failing businesses increasing, we felt it was vital that the customers knew our accounts were current. If you know your basement finishing contractor pays his bills quickly and completely, it’s a good bet that you won’t be troubled with liens. You might also be sure he understands upfront which you will want an unconditional waiver and relieve lien rights after the project. Alternately you’ll be able to request evidence of payment (check stubs or lien waivers from subcontractors and suppliers before giving your contractor final payment).
Unfortunately, there is nothing a sure thing anymore, but start using the right basement finishing contractor is a crucial step in the best direction.