Avoiding Home Repair Scams

Beware the 10-Slice Pizza

by Thomas Kraeutler

The other day when I stopped at a local pizza place looking for a quick slice, I noticed the handwritten sign on the wall:

Special: 2 slices for $1.25

Thinking this was a good deal, I was about to go for it when I noticed the slices looked small. Then, it hit me. The pizza guy was cutting his pies into 10 slices and trying to con me into thinking I was getting a good deal with his "special". Everybody knows that pizzas get cut into 8 slices. How dare he violate that age-old code for pizza cutting!

Home repair come-ons are a lot like the 10 slice pizza. An ad that offers some special deal designed to get you to make the call. Here's a few of the most common come-ons and how to avoid them:

"Free Inspection"

This is probably the biggest home repair rip-off going. A contractor advertises a "free", "no obligation" inspection of your home. He shows up all shined and polished and proceeds to conduct the inspection. The result, however, is always the same:

"Mr. and Mrs. Homeowner...
I'm afraid I have some bad news - your house is about to crumble into ruin and you'll need XYZ repair to be done just as soon as possible. Luckily for you - we're running the XYZ Whizbang Special today only - and if you'll just sign here on the dotted line - we can get started right away."

This approach is common with exterminators who always find termites, water proofing companies that always tell you your foundation will collapse if you don't sign up for an over-priced sump pump, and many others. In Ocean County NJ, a home repair contractor conducting free inspections was recently indicted for fraud. His "game" was to inspect crawl spaces, tell the homeowner he found a big problem that really didn't exist - and then charge for the repair. Since most of his victims were senior citizens, they were never physically able to go into the crawl space to check for themselves. Always remember the old adage: there's no such thing a free lunch. Contractors who conduct free inspections are just looking for an excuse to sell you something - whether you need it or not. Next time one comes your way, tell them "no thanks!"

Multiplication

Some home repair companies will offer seemingly great deals just for the privilege of getting into your house to see what other jobs they can stir up. This "multiplies" the number of sales they can make. Chimney sweeps are really famous for this one. They'll offer a $50 chimney cleaning special and almost always find that you need some kind of repair that involves an additional charge. One central New Jersey homeowner responded to an ad for a low cost chimney cleaning - only to be told by the contractor that he needed a $2500 chimney liner. The chimney company told him his house would probably burn down if it wasn't installed right away. Further investigation revealed the liner already existed and was functioning perfectly fine. Be wary of any contractor's attempt to "panic peddle" an expensive repair. Always get a second opinion from an impartial source, like a professional home inspector, before authorizing the work.

 

Limited Offers

Remember the old late-night TV commercials that said: "call before midnight tonight"? Salespeople have lots of tricks to make you think that the offer will vanish if you don't make a quick decision. A good deal today will probably be a good deal tomorrow. Don't be bullied into making a rash decision you may later regret.

 

Apples & Oranges

When shopping for any home repair product or service, be careful to always compare apples to apples. Some contractors will offer a cheaper price and switch the product to save money. For example, if you decide to install new windows - decide which brand you'd like to buy first. Then have all the contractors bid on the same product. Don't be lured in by a seemingly low price. Always ask yourself: what is he leaving out?

 

In-Home Sales

Some home repair contractors will do just about anything to get into your living room to make a sales pitch. They figure the chances are strong you will make the purchase decision if they stay around long enough. At a recent trade show for home owners, I feigned interest in a gutter guard product to test the company's sales pitch. The salesman claimed he could not give me a cost estimate for the product until he "saw the job". Even when I pressed him by describing the house as a typical 60 foot long ranch with a front and rear gutter and 4 spouts (about the easiest gutter job I could think of), he would still not give me an answer. Stay away from this kind of company. Prices for basic services should be quotable without the contractor sticking his foot in your door. If you do make a rash purchase decision and have second thoughts, remember that most states have a mandatory 3 day "cooling off" period during which you can cancel any home repair contract without obligation.

If you're ever unsure about the need for a repair, or the estimate you're given, getting a second opinion from an expert objective professional, like a home inspector, can be worth its weight in gold.

So, beware the 10-slice pizza when shopping for home repairs. Otherwise, you're likely to leave the table still hungry for the job you did not get.

Tom Kraeutler is a hands-on home improvement broadcast journalist and the kind of guy homeowners want to call at midnight when their basement floods. He earned his home improvement stripes as a professional home inspector, amassing over 20 years experience learning how houses are put together, and how they fall apart! Tom appears regularly on CNN, MSNBC, The History Channel, HGTV and the DIY Network. He's a columnist for House Beautiful and do! Magazine and his work has been featured in Smart Money, Reader's Digest and in hundreds of daily newspapers across the nation.