Home Improvement Contractor Scam

What is the definition of home improvement / contractor thievery? 

Home improvement / contractor thievery is when a company or individual contractor engages in illegal practices whilst doing work for a customer (homeowner, etc.). Oftentimes these less than ethical contractors trick homeowners into doing unnecessary work, doing substandard work, not doing agreed upon work, or not doing the work at all.

 

Which home improvement scams affect Floridians?

One of the most common scams affecting Floridians is mobile home damage from hurricanes and severe storms. According to an article in the Washington Post¹ Florida has more mobile homes than any other state – over 828,000. Construction experts say that because mobile homes are not anchored to permanent foundations, they are more prone to storm damage from earthquakes and hurricanes. Scammers know this and jump at the opportunity to ply their deadly trade, especially during hurricane season (June-November).

 

Common contractor scams targeting homeowners?

There are a plethora of scams targeting homeowners nationwide. Whilst doing research for this article, we came across a 2022 Miami Herald article that caught our attention by Tanasia Kenney “Contractor scams target homeowners across the U.S, – how to spot one” ² The article discusses how the Better Business Bureau’s scam tracking system caught asphalt paving contractors fleecing homeowners nationwide. This information is a must read for all homeowners seeking contractual services.

 

Looking even deeper into the homeowner scam dilemma, we came across the following nuggets of scam prevention knowledge:

• What you need to know about construction scams? Further information can be found at https://www.linkedin.com/pulse/scams-contruction-industry-moses-kamau/
• What you need to know about common concrete scams, and how to avoid them. https://spauldingconcrete.com/common-concrete-contractor-scams-and-how-to-avoid-them/ . Additionally, this article highlights the top five scam avoidance tips that consumers need to be aware of:

1. Never pay up front money,
2. Never take a contractor’s word without doing your homework,
3. Always personally verify whether a permit is need for the proposed project,
4. Always verify all contractor problems,
5. Always be wary of contractor’s offering to sell inexpensive surplus building materials.

• What you need to know about concrete resurfacing contractor scams https://creativesurfacingsolutions.com/concrete-resurfacing-contractor-scams/
• What you need to know about roofing scams

https://www.forbes.com/advisor/homeowners-insurance/roof-repair-scams/

• What you need to know about buying and selling mobile home scams https://www.sellmygroup.co.uk/blog/avoid-scams-ebay-mobile-homes-sale/
• What you need to know about ID Theft Scams – Unwanted Call Scams – Impersonator Scams – Health Insurance Scams – You’ve Won $ Scams – Charity Scams https://consumer.ftc.gov/pass-it-on/home-repair-scams
• What you need to know about contractor deposit scams – contractor insurance handling scams – fake company scams – handshake deal scams – lowball quote scams – knock on the door scams – left over supply scams – home improvement loan scams – free home inspection scams – flier advertisement scams – pulling the permit scams https://www.bobvila.com/articles/home-improvement-scams
• What you need to know about taking the money and don’t complete the work scam

https://www.bbb,org/article/news-releases/16924-bbb-tip-home-improvement-scams

• What you need to know about spring home repair scams

https://states-aarp.org/louisiana/beware-of-spring-home-repair-scams

• What you need to know about moving company scams https://www.faqtoids.com/knowledge/avoid-scams-requesting-mover-quotes-online

 

Some scam prevention tips.

Scam avoidance is both an art and a science. The art is knowing where to find the nuggets of knowledge necessary to stop would-be-scammers in their tracks before they ply their deadly trade, and the science involves climbing aboard the scam prevention express and reporting these miscreants to law enforcement officials.

 

Scam prevention tips include:

1. Always engage with reputable contractors!
2. Always check for licensing and bonding!
3. Always check for proof of insurance!
4. Always check with your insurance company!
5. Always get multiple written estimates!
6. Never pay up-front!
7. Always get a signed contract!
8. Always ask for references!
9. Always check all references!
10. Always ask for a business card!
11. Always check out the contractor’s website!
12. Always read all agreements!
13. Always check to see if other homeowners used this contractor!
14. Always search online directories like Angie’s List or HomeAdvisor!
15. Always check online review sites like Yelp or Google My Business!
16. Don’t fall for “I was just in your area contractor visits!
17. Always be aware of “storm-chasing contractors” (usually show up immediately after a storm or catastrophe)!
18. Always be aware of contractors furnishing extremely low bids!
19. Never be afraid to shop around!
20. Always remember – “if it sounds too good to be true it’s mostly likely a scam!

 

Conclusion

Home improvement contractor scams are unfortunately a way of life today. Homeowners need to become soldiers in the war on contractor fraud and learn how to peel back the onion on fraudulent practices. Homeowners need to keep their eyes on the prize and learn to draw a red line in the sand and never fall for contractor promises that defy logic. Following the recommendations herein will help to put pep in your step and hopefully help you to make better decisions when a scammer comes knocking at your door!

 

References

1. The Washington Post: “Florida has 828,000 mobile homes, and less than a third were built to survive a hurricane”. September 12, 2017, by Danielle Paquette.
2. The Miami Herald: “Contractor scams target homeowners across the US, consumer watchdog warns. How to spot one”. By Tanasia Kenney (updated July 28, 2022. https://www.miamiherald.com/news/nation-world/national/article263695833.html

 

Suggested Reading

Luizzo, A. Murphy, R. Taking a Big Bite Out of Senior Scams PI Magazine Vol. 23 Issue 185. pp. 16-19 March / April 2023

Our Seniors Magazine “Fraud & Security: Seniors Vs Crime, A Special Project of the Florida Attorney General” Winter 2024 (www.ourseniors.net).

 

About the Authors

Anthony J. Luizzo, PhD, CFE is a retired New York City Detective Specialist and the coauthor of “Healthcare Security: Solutions for Management, Operations and Administration” – Productivity Press 2022 – ISBN 978103210549-9.

 

Robert (Bud) Murphy, MSCJ is a DEPUTY DIRECTOR: SENIORS VS CRIME PROJECT – Attorney General’s Office State of Florida – Region Number 3.  After retirement from the Orlando PD, he worked for the State of Florida: Division of Insurance Fraud as a supervisor. He has extensive fraud-related investigative expertise.

 

Seniors vs Crime Project can be contacted at I 800 203-3099 / Volusia Office 724 Big Tree Road Room 7 South Daytona Florida 32118 – telephone 407-537-9509 / website www.seniorsvscrime.com / e-mail volusia@svcproject.org