How to Select a General Contractor for Your Whole-Home Remodel
Your general contractor is the most important hire of your entire project. They manage every subcontractor, solve problems daily, control your budget, and determine whether your remodel is a success or a nightmare. This decision deserves serious time and due diligence.
Quick Summary
Time needed
4-8 weeks to select
Difficulty
High (critical decision)
Cost
GC fee: 10-20% of project cost
Why the Right Contractor Makes All the Difference
A great contractor turns beautiful plans into beautiful reality. A bad contractor turns your life into a nightmare of delays, cost overruns, poor quality, and endless stress. This isn't hyperbole—contractor horror stories are common because many homeowners don't vet thoroughly enough.
For a whole-home remodel lasting 8-14 months, you'll interact with your GC almost daily. They need to be competent, communicative, and someone you can work with under stress. This is a partnership, not just a purchase.
Warning Signs of Bad Contractors
- • Asks for large upfront payment (more than 10-20%)
- • Can't provide license number or insurance certificates
- • Offers a verbal-only agreement or vague contract
- • Pressures you to decide immediately
- • Significantly lower bid than everyone else
- • Few or no references they're willing to share
- • Bad online reviews or BBB complaints
- • Won't provide a detailed scope of work
- Project management: GCs coordinate 10-20 different subcontractors, schedule work, and solve daily problems.
- Quality control: They ensure work meets standards, catch mistakes early, and maintain craftsmanship.
- Budget management: Good GCs track costs, warn about overruns, and find ways to save without cutting quality.
- Timeline management: Keeping dozens of trades coordinated to avoid delays requires constant attention.
- Problem solving: Hidden issues arise in every remodel. Good GCs handle them calmly and fairly.
Step-by-Step: Finding and Selecting Your GC
1. Build Your Candidate List
Start with 6-10 candidates and narrow to 3-4 for bids. Quality referrals are your best source.
Where to Find Contractors:
- • Your architect/designer: They know who builds quality and who doesn't.
- • Friends and neighbors: Ask anyone who's completed a similar project recently.
- • Online platforms: Houzz, Yelp, Google reviews—but verify everything independently.
- • Trade associations: NARI, NAHB, local builders associations.
- • Showrooms: Kitchen, bath, and tile showrooms know local contractors.
- • Permit office: Look up who pulled permits for nice remodels in your area.
2. Verify Credentials
Before investing time in interviews, verify that candidates are legitimate and properly licensed.
Required Credentials:
Verify through your state's contractor licensing board. Check for any disciplinary actions or complaints.
Minimum $1-2 million coverage. Protects you if someone is injured on your property.
Required if they have employees. Protects you from liability for worker injuries.
Provides recourse if the contractor fails to complete work or pay subcontractors.
3. Initial Screening Calls
Before formal interviews, do phone screenings to narrow your list efficiently.
Screening Questions:
- • Are you taking on new projects? When could you start?
- • Have you done whole-home remodels of similar scope?
- • Are you licensed, bonded, and insured? (Verify specifics)
- • How do you typically structure your contracts?
- • Can you provide 3-5 references from similar projects?
- • What's your typical communication style during projects?
4. In-Person Interviews
Meet with your top 4-6 candidates at your home so they can see the project firsthand.
Critical Interview Questions:
Experience
- • How many whole-home remodels have you completed?
- • Can I visit a project you're currently working on?
- • What's the largest project you've managed?
- • How long have you been in business?
Process
- • Who will be on-site daily? Will I have a dedicated PM?
- • How do you communicate progress and issues?
- • What's your process for handling change orders?
- • How do you handle disputes or quality issues?
Subcontractors
- • Do you use your own crews or subcontractors?
- • How long have you worked with your key subs?
- • Can I meet the electrical/plumbing/HVAC subs?
Financial
- • What's your payment schedule?
- • How do you handle material procurement?
- • What happens if we discover unexpected issues?
5. Request and Compare Detailed Bids
Get 3-4 bids from qualified contractors. All should work from the same architectural plans and specifications.
What a Bid Should Include:
- • Detailed scope of work matching your plans
- • Line-item breakdown by trade/area
- • Material specifications and allowances
- • Labor costs separated from materials
- • Permit fees and inspection costs
- • Contingency amount (5-10%)
- • Payment schedule tied to milestones
- • Projected timeline with key milestones
- • What's included vs. excluded
| Factor | Bidder A | Bidder B | Bidder C |
|---|---|---|---|
| Total price | $____ | $____ | $____ |
| Timeline | __ months | __ months | __ months |
| Contingency included | ___% | ___% | ___% |
| Years in business | ____ | ____ | ____ |
| Reference quality | ____ | ____ | ____ |
| Communication quality | ____ | ____ | ____ |
6. Check References Thoroughly
Don't skip this step. Call at least 3 references and try to visit at least one completed project.
Questions for References:
- • Was the project completed on time? If not, why?
- • Was the final cost close to the original bid?
- • How did they handle problems or unexpected issues?
- • How was their day-to-day communication?
- • Did they clean up each day? What was site management like?
- • Would you hire them again?
- • What would you do differently?
- • Any issues after project completion? How were they resolved?
7. Review and Sign the Contract
The contract protects both parties. Have an attorney review before signing. Don't let eagerness override prudence.
Contract Must Include:
- • Complete scope of work with detailed specifications
- • Total contract price and what's included
- • Payment schedule tied to completion milestones
- • Start date and expected completion date
- • Delay penalties (if applicable)
- • Change order process and pricing method
- • Insurance and bonding requirements
- • Warranty terms (typically 1 year workmanship)
- • Dispute resolution process
- • Termination clauses and conditions
- • Cleanup and debris removal responsibilities
- • Permit responsibility and costs
Understanding Payment Structures
How you pay your contractor affects your leverage and risk. Never pay for work not yet completed.
Fixed-Price Contract
One set price for the entire scope. Risk of overruns is on the contractor.
Cost-Plus Contract
You pay actual costs plus a percentage (typically 10-20%) or fixed fee. More flexibility but less cost certainty.
Time and Materials
Pay hourly rates plus material costs. Least predictable but most flexible.
Recommended Payment Schedule:
Never Do This
- • Never pay more than 10% upfront (20% max in some states)
- • Never pay in cash without receipts
- • Never pay ahead of completed milestones
- • Never release final payment before punch list is 100% complete
- • Never let the contractor get too far ahead on payments
Common Mistakes to Avoid
Choosing the lowest bidder
Why it's a problem: Low bids often mean cut corners, inexperience, or planned change orders
What to do instead: Focus on value: quality, communication, references, and fair pricing. Middle bids from qualified contractors are often best.
Not getting everything in writing
Why it's a problem: Verbal promises are unenforceable and easily forgotten
What to do instead: Document everything in the contract. If it's not written, it doesn't exist.
Skipping reference checks
Why it's a problem: Past behavior is the best predictor of future behavior
What to do instead: Call at least 3 references. Ask specific questions. Visit completed projects if possible.
Rushing the decision
Why it's a problem: Pressure tactics are a red flag, and hasty decisions lead to regret
What to do instead: Take your time. Good contractors don't pressure you. This decision deserves weeks, not days.
Paying too much upfront
Why it's a problem: Contractors who've been paid have less incentive to perform
What to do instead: Tie payments to completed milestones. Never pay more than 10% before work begins.
Frequently Asked Questions
How do I find a good general contractor for a whole-home remodel?
Start with referrals from architects, designers, and friends. Verify licenses through your state's board. Check reviews and BBB ratings. Interview 4-6 candidates and get 3-4 detailed bids. Call references and visit completed projects. The best contractors often have wait lists.
How many bids should I get for a whole-home remodel?
Get 3-4 detailed bids from qualified contractors. Fewer doesn't give enough comparison; more becomes overwhelming. Ensure all bidders work from the same plans and specifications for accurate comparison.
Should I always choose the lowest bid?
No. The lowest bid often indicates cut corners, inexperience, or deliberate underbidding. Focus on value: detailed scope, realistic timeline, good communication, solid references, and fair pricing.
What licenses and insurance should a general contractor have?
Requirements vary by state, but typically: contractor's license, general liability insurance ($1-2M minimum), workers' compensation, and a contractor's bond. Verify all documents are current and request certificates directly from insurers.
What should be in a general contractor's contract?
Essential elements: detailed scope, specifications, price and payment terms, start/completion dates, change order process, warranties, insurance requirements, dispute resolution, and cleanup responsibilities. Have an attorney review before signing.
Ready for the Next Step?
For complex whole-home remodels, you might also consider hiring a project manager to oversee the process and protect your interests, especially if you'll be living elsewhere during construction.