Home Improvement & Contractor Scams: Protect Yourself Before You Renovate

As the weather warms up, many homeowners begin planning repairs and renovation projects. Unfortunately, this time of year also brings an increase in home improvement scams. Knowing what to watch for can help you avoid costly mistakes and protect your finances.

Common Home Improvement Scams

Scammers often go door-to-door offering repair services after storms or seasonal damage. They may claim to notice issues like roof damage, driveway cracks, or siding problems and offer a quick, low-cost fix. In many cases, they take payment and either perform poor-quality work or never return at all.

Warning Signs to Watch For

Be cautious if a contractor:

• Pressures you to act immediately or says the offer is “today only” 
• Claims urgent damage that must be fixed right away 
• Requests large upfront payments, especially in cash, gift cards, or unusual payment methods 
• Avoids providing written estimates or contracts 

How to Protect Yourself

Before hiring a contractor:

• Do your research: Verify licenses and insurance 
• Check references: Ask for past work examples or reviews 
• Get it in writing: Always request a detailed written estimate 
• Compare options: Get multiple quotes before making a decision 
• Be cautious with payments: Avoid paying the full amount upfront; reputable contractors typically use partial payments or installments 

If You’re Targeted by a Scam

If you believe you’ve been approached by a fraudulent contractor or have already made a payment act quickly:

• Contact your financial institution to discuss your options and help secure your accounts 
• Report the incident to the Federal Trade Commission or your state’s consumer protection agency 
• Incidents can be reported to the Tennessee Division of Consumer Affairs (DCA), the Virginia Department of Agriculture and Consumer Services (VDACS), and the Texas Attorney General's Consumer Protection Division.

Home improvement projects should be exciting and not stressful. Taking a little extra time to verify who you’re working with can go a long way in protecting both your home and your finances.