Whether you're planning a new kitchen, start a new dream home with your loved ones or an addition for a growing family, finding a competent and reliable contractor is the first step to a successful and satisfying home improvement project. Hiring a good contractor is not as simple as making a phone call and picking the first person to call back. Most homeowners find that home improvement companies vary widely in terms of cost, professionalism, availability, and expertise in your particular area. Taking the time to research and choose the right contractor can easily save you hundreds, if not thousands, of dollars and countless headaches. Here are some guidelines to remember : Always get at least 3 estimates on any project. You'll be surprised at how two contractors can bid the same project for completely different prices. Be sure they are drafting the proposal on the same scope and quality of work. Remember to "compare apples to apples, and oranges to oranges." Ask to SEE a copy of the contractor's license and certificate of insurance. Most states require a contractor to carry worker's compensation, property damage and personal liability insurance, but many contractors still don't have it or have let their policy lapse. If they don't have the necessary coverage, you could be held liable for an injured employee or damage to your neighbour's home caused by the contractor. Your home may be your most valuable financial asset. That's why it's important to be cautious when you hire someone to work on it. Get written estimates from several firms. Ask for explanations for price variations. Don't automatically choose the lowest bidder. Most Importantly - Ask yourself, "Do I feel comfortable working with this person for the duration of the project?" The key to a successful relationship with your contractor and a successful project is communication. If you don't feel comfortable communicating with this person, it is likely that problems could arise. Not all contractors operate within the law. Here are some tip-offs to potential rip-offs. A less than reputable contractor: solicits door-to-door; offers you discounts for finding other customers; just happens to have materials left over from previous job; only accepts cash payments; asks you to get the required building permits; does not list a business number in the local telephone directory; tells you your job will be a "demonstration"; pressures you for an immediate decision; offers exceptionally long guarantees; asks you to pay for the entire job up-front.