Contractor Red Flags: Warning Signs to Walk Away

# Contractor Red Flags: Warning Signs to Walk Away

Bad contractors dont announce themselves. Knowing the warning signs helps you walk away before signing.

Legitimate contractors rarely cold-call or knock on doors. The ones who do are often storm chasers or unlicensed operators.

In 2026, even small operations have websites. A contractor with no online presence either just started or has something to hide.

Pressure to decide immediately is a red flag. Legitimate contractors dont need high-pressure tactics.

Reluctance to provide references is a major red flag.

If one quote is 40% below others, something is off - they dont understand scope, plan to cut corners, or will make it up with change orders.

Resistance to putting things in writing is a dealbreaker.

Every legitimate contractor carries general liability insurance minimum $2 million and WSIB coverage. Walk away if they cant provide certificates.

A contractor who suggests skipping permits is either not qualified or trying to avoid accountability.

Standard is 10-15% deposit with progress payments tied to milestones. Red flags include 50%+ upfront or cash only.

Trust your gut. If something feels off during sales, it wont improve during construction.