Tuesday, June 7, 2016

Scam Alert

Scenario: A roofing salesman comes out and meets with a homeowner and proceeds to inspect the homeowner's roof. Using a modicum of fear as a selling tactic, the salesman, or if he does not have a sales license, he may refer to himself as "estimator," proceeds to explain that all of the flashings on the home need to be replaced, (whether they need it or not). Or the chimney needs X,Y or Z. While this scenario is a scam within itself, the full scam has yet to play its full self out.



The homeowner unknowingly agrees to work suggested by the "estimator" and the work is scheduled. After the work progresses, one of the slate mechanics will inform the customer that ________ (fill in the blank) is in desperate need of replacement, which is usually a big ticket item like chimney flashing, a valley, chimney repointing, etc. The foreman on the job will call the original "estimator" out to the job and berate him in front of the customer and the "estimator" salesman, (whatever), will apologize profusely to the customer for missing the big ticket item.

Now, it is not unusual for additional slate being needed on a job, but to use fear as a selling tactic is unethical. Additionally, there may be houses where all of the flashings needs to be replaced, BUT the more likely scenario is that the flashing on the side of a dormer may never need to be replaced, at least during the present owner's tenure in the home. The scam is that the "estimator" intentionally leaves off one big ticket item, with the intention of frightening the customer into doing it once the job is underway.

It is hard for a homeowner to know what is really going on 28' above their head, and distinguish between truth and fiction.

If you find yourself in this position, or if you are hiring a company, avoid scams by:

  • Check for complaints with the BBB. The company should also have a rating. Be careful however, the BBB has had unlicensed contractors listed on their site. Otherwise, the BBB is often a good source for reputable companies.
  • Check with the Maryland Home Improvement Commission (or your state's licensing agency if required), for active/inactive licenses.  http://www.dllr.state.md.us/pq/
  • Get a second opinion. It is your house and you do not need to make a decision on the spot. 
  • Services like Angie's List & Yelp. While the information is not always reliable, you can get an overall picture of a company. (We've had people flat out lie and there is nothing you can do as a business owner). 
  • Never pay more than 1/3 up front. 
  • Have a written contract with a description of the work to be done, warranty, and other important information
  • A contract with an unlicensed contractor is not a valid contact. 
  • If you are unsure of something, ask questions like "how are you going to ...", "what materials do you plan to use?" (which should be spelled out in the contract. 
  • Avoid contracts with language like "Repair slate ....$300"  -- That could mean anything- roof cement, nail and bib, face nailing, etc. 
  • Neighbor's are not necessarily good sources for contractor's, especially roofing contractors. People can see kitchens and baths and judge the work for themselves, but often, work that is done 28' in the air is very hard to judge quality. We get tons of referrals from neighbors, but we often find ourselves in situations where the former roofer was fired and was referred to our new customer by a neighbor. 

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