What is the typical payment schedule for a renovation in Ottawa?

Most Ottawa renovation contractors, including Justyn Rook Contracting, follow a structured payment schedule that protects both the homeowner and contractor while maintaining steady cash flow throughout the project.

The standard payment structure in Ottawa typically breaks down into three to five payments tied to project milestones rather than arbitrary dates. For a typical renovation, you'll see an initial deposit of 10-20% upon contract signing, followed by progress payments of 25-30% at key completion stages like demolition completion, rough-in inspections, and substantial completion. The final payment of 10-15% is held until all deficiencies are addressed and you're completely satisfied with the work.

Larger projects like kitchen renovations ($25,000-$80,000) or secondary suite conversions ($80,000-$200,000) often use a five-payment schedule to better manage cash flow. This might include: deposit at signing, payment after demolition and permits, payment at rough-in stage (plumbing/electrical), payment when drywall and flooring are complete, and final payment upon project completion. For smaller bathroom renovations ($15,000-$50,000), a three-payment structure is more common.

Ontario's Consumer Protection Act provides important safeguards for homeowners. Contractors cannot legally demand more than 10% down payment or $1,000 (whichever is less) until work actually begins. Be extremely wary of any contractor asking for large upfront payments or full payment before completion - this is a major red flag in the Ottawa market.

Reputable contractors will never ask for payment in cash and should provide detailed invoices tied to specific work completion. Each payment should correspond to measurable progress you can verify. For example, you shouldn't pay for materials until they're delivered to your site, and you shouldn't pay for installation until you can see the completed work.

The payment schedule should be clearly outlined in your contract before work begins, including what specific milestones trigger each payment. Quality contractors understand that homeowners need this protection and will be transparent about their payment structure. If a contractor pressures you for upfront payment or won't provide a clear milestone-based schedule, consider it a warning sign.

For your specific project timeline and payment structure, contact Justyn Rook Contracting for a free consultation where we'll explain exactly how payments align with your renovation milestones.