Hiring a Contractor
Hiring a contractor may seem like an easy task. However, an HOA contractor should be used to keep your property and your legal standing safe. Before you hire a contractor, there are some things to consider. You should always utilize a consultant such as National Property Management as well as legal counsel prior to beginning any new project within your HOA. Let’s discuss the ins and outs of hiring a contractor for your HOA.
You MUST hire a licensed contractor for your HOA. In California, anyone who performs construction work or repair at a cost of $500 or more must be licensed through the state. This is to protect you as well as the contractor. If they are not licensed, they can suffer extreme legal consequences due to breaking the law and you may be subject to legal trouble as well.
There are over 44 types of licenses for the specific work the contractor does. You should choose a contractor licensed in your project to assure they have the skill and the papers required for work.
Use a Written Contract
Whether you choose to hire a subcontractor or general contractor, it is best practice to use a written contract. You should make sure to consult legal counsel if anything in the contract seems off. You should also negotiate a proper price and put this in writing before beginning any work.
Be careful to understand who the contractor is hiring to help if it is required. They should also be licensed through the state to avoid any legal issues and payment issues later.
Use Progress Payments
You should only pay for work that is completed, also known as progress payments. Any payments made towards work that is incomplete could land you in trouble waters if the contractor decides to leave the project too soon.
It is always best to consult a legal party or consultant prior to contract work. National Property Management in Santa Clarita understands all of the necessary precautions when it comes to hiring contractors for your HOA. Our office is ready to help you with every step of the way to ensure that you are hiring the right contractor under the right circumstances. Give us a call today or visit our website for more information.
National Property Management Group
25115 Avenue Stanford A300
Valencia, CA 91355