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Hiring & Vetting

How to Vet a Contractor Before You Pay a Dime

Almost every contractor horror story has the same first chapter: money changed hands before anyone checked who they were dealing with. Vetting a contractor isn’t about being difficult — it’s a 30-minute routine that filters out the operators who count on you skipping it.

Why this matters to you

In Maryland and DC, the difference between a clean project and a costly one is usually decided before the first dollar moves. A contractor who is licensed, insured, and willing to put everything in writing behaves completely differently from one who isn’t — and the checks below tell you which one is standing on your porch.

1

Confirm the License Is Real and Current

In Maryland, home-improvement contractors must hold an MHIC license; DC issues its own home-improvement licensing. A license number on a business card means nothing until you look it up and confirm it’s active and matches the company’s name.

Do thisLook up the MHIC number on the Maryland Department of Labor MHIC license search (or DCRA for DC) and confirm it’s active before any deposit.
2

Ask for Proof of Insurance — in Writing

You want a current certificate of insurance showing general liability and, if they have a crew, workers’ compensation. Without it, an injury or accident on your property can land on you.

Do thisRequest the certificate directly from their insurer or agent, not a photo of an old PDF.
3

Call Two Recent, Local References

Online reviews can be gamed; a real conversation can’t. Ask for two homeowners in your area from the last six months, and actually call them. Ask whether the job finished on budget and on time.

Do thisAsk each reference one key question: “Would you hire them again without hesitating?”
4

Get Everything in a Written, Itemized Contract

Scope, materials, start and finish dates, total price, and a payment schedule should all be on paper before work begins. A vague one-line quote is how “extras” multiply later.

Do thisNever accept “we’ll sort the details as we go.” If it’s not written down, it isn’t agreed.
5

Tie Payments to Progress, Never to the Calendar

A reasonable deposit is fine; paying most of the job up front is not. Structure payments around completed milestones so your money always reflects work actually done.

Do thisKeep a meaningful final payment due only after the job passes your walkthrough.

The 30-Minute Vetting Checklist

  • License number verified active on the state site
  • Current certificate of insurance received
  • Two local references called and confirmed
  • Written, itemized contract in hand
  • Payment schedule tied to milestones, not dates

Common Mistakes Homeowners Make

The Bottom Line

Vetting a contractor is the cheapest insurance you’ll ever buy — it costs about half an hour and a few phone calls. The contractors worth hiring expect these questions and answer them easily. The ones who get annoyed are telling you everything you need to know. Check first, pay second.

Reviewed by the HomeGuard™ Team · AB Home Solutions

AB Home Solutions is a free homeowner-resources hub for Maryland and DC, on a mission to protect homeowners — especially seniors and the underserved — from predatory repair tactics. Built by people with years of hands-on trade experience, our HomeGuard™ resources stand for honest information, clear guidance, and zero pressure. Education over profits.

Hire With Confidence

The HomeGuard™ Guide ($3.99) and the free Contractor Clarity™ checklist walk you through verifying a license, comparing bids, and reading a contract — so you never pay before you’re sure.