With the growing popularity of Accessory Dwelling Units (ADUs), many contractors have entered the space, leading some homeowners to worry about being taken advantage of or having their projects delayed or poorly executed. Unfortunately, there are some bad apples in the industry who exploit homeowners by failing to deliver on their promises.

To protect yourself and ensure your project runs smoothly, it’s essential to establish a trusted relationship with a licensed and insured general contractor (GC) in California. Knowing your rights and understanding the construction process can help you make an informed choice when selecting a contractor for your next remodel or ADU project. Here are some critical steps you can take:

1. Verify the Contractor’s License

Before hiring any contractor, check their license on the California State License Board (CSLB) website. You can verify the current status of their license, review bonding information, workers’ compensation coverage, and other personal details associated with their license. Make sure the license is active, covers the scope of work for your project, and that the contractor has a solid company history.

2. Beware of Sales Tactics

Some contractors may try to rush the process or offer “deals” that seem too good to be true. Be cautious of any contractor asking for large sums of money upfront. Your bid should be itemized, and payments should be based on milestones—such as completed inspections or stages of work—not verbal agreements. This protects you from paying for work that hasn’t been completed.

3. Ask for References and Testimonials

Reputation matters in the construction industry. Before committing to a contractor, ask for references and review client testimonials. If possible, visit past projects to see their work firsthand. Check for red flags like negative reviews or a pattern of dissatisfied clients. How a contractor treats their clients and subcontractors is a strong indicator of how your project will go. Be wary of contractors using unlicensed or uninsured workers, as this could result in poor workmanship, delays, or unpermitted work—all of which can cost you more in the long run.

Trust in AE Carlson Design & Build

Since 2001, AE Carlson Design & Build has successfully managed projects from the ground up with a commitment to integrity, transparency, and effective communication. Our in-depth understanding of building practices and procedures ensures that every project is completed with the highest standards of quality and professionalism.

Avoiding Bad Contractors: Real Stories

The risk of being scammed by a contractor is real, as seen in the case of Anchored Tiny Homes, where homeowners and subcontractors were left stranded with unfinished projects. More than 60 customers have reportedly lost a combined $5.5 million, and the Contractors State License Board (CSLB) has launched an investigation into allegations of abandonment, poor workmanship, and financial misconduct. Unfortunately, stories like this highlight the importance of working with a trustworthy, licensed contractor from the start.

Why Housing Costs Matter for ADUs

In today’s housing market, California’s median home prices are significantly higher than the national average, making ADUs an appealing option for families looking to add living space or create rental income. According to Redfin, the median sale price of a home in California was $858,600 in June—almost double the national median price. With housing costs on the rise, building an ADU can help families generate income or accommodate multi-generational living, which is becoming more common. Nearly 1 in 5 Americans now live in multi-generational households, with 57% of adults describing the experience as positive.

Your Next Steps

To avoid contractor issues and ensure your project is completed to the highest standards, work with a contractor you can trust. AE Carlson Design & Build brings decades of experience and a commitment to transparency in every project we undertake. Whether you’re building an ADU or renovating your home, we’ll guide you through the process with open communication and expert craftsmanship. Contact us today to schedule your consultation and take the first step toward a successful project.

FAQs:

  • What does it mean if a contractor is ghosting me?
    If a contractor is ghosting you, they may be ignoring your calls or failing to show up for scheduled work. This is often a red flag for poor communication or future project delays.
  • How can I ensure my contractor is trustworthy?
    Start by verifying their license on the CSLB website. Always ask for references, check reviews, and ensure they use licensed and insured workers to avoid potential issues.
  • Why are licensed contractors so important for ADU projects?
    Licensed contractors offer legal protections and are accountable for their work. They are required to meet industry standards, ensuring your ADU is built safely and correctly.

Relevant References:

Skip to content