When it comes to roofing, sometimes homeowners will fall victim to a roofing scam. Unfortunately, many people fall victim to these roofing scams every year. In this blog post, we will discuss some tips to help you stay safe when working with roofers. We will also cover what to do if you think you have been scammed by a roofer.
When Do Scammers Show Up?
it's common to see roofing scams happening right after windstorms or hail because scammers know homeowners are in need of repairs. The Colorado attorney general and the department of regulatory agency both warn Colorado homeowners not to let anybody in or on their house that knock on the door.
Insurance Claim
Most roofing insurance should cover the cost of roof repairs. That being said, they usually have a specific section for wind and hail damage. Homeowners should still be wary of repair scams by roofing contractors, especially after a storm, and should check with their insurance company if they have worked with the contractor before.
Research
It pays to do your research, not just on the company, but the owner as well. It is illegal to do large roofing jobs without a license because you can't pull a permit. You have to pull a permit on anything that is 100sqft continuous or more. Roofing contractors also need to renew their licenses annually.
A reputable contractor will have an up-to-date license and permits, and they won't wait until a client pays them upfront to start bringing over roofing materials. If upfront payments are made, they will keep it in trust until materials are delivered or work has been done.
Upfront Payment
In Colorado, one of the most common roofing scams is giving the payment upfront to roofing contractors. The scam artist will ask you to pay upfront to start the job but then never show up to do the work or drop off roofing materials. If you are asked to give a large down payment, you should make sure they hold it in trust and then deliver the roofing materials to your property.
Colorado SB 38 governs how a roofing contractor can collect a deposit and what he can do with the deposit that he collects. The contract also has to state if a deposit is collected that it will be held in trust until materials are delivered to the homeowner's property.
A big red flag would be if the roofing homeowner says they need 5K upfront to complete the job. This is a red flag because if you give someone money upfront like this then all the risk is on the homeowner and the roofing contractor has no commitment to return for the job.
Blank Contract
Another scam to watch out for is when the roofer asks you to sign a blank contract. They may say that they will fill in the details later, but this leaves you open to being charged for more work than was originally agreed upon. Be sure to read over any contract before you sign it. If there are any blank spaces, make sure that you understand what will be going into those spaces before you put your signature on the dotted line.
What To Do if You Were Scammed
If you think you may have fallen victim to roofing scams contact your local Better Business Bureau. They can help to investigate the roofer and see if there have been any complaints filed against them in the past. You should also contact your local police department to file a report. This will help to put a stop to the scam artist and prevent them from scamming anyone else in the future. Additionally, if you have information on the scammer and they owe you money, you could sue them in court and have their license suspended. The best thing to happen to a roofing scammer is to have their license suspended so that they can no longer take advantage of unsuspecting homeowners.
Roofing Licenses
These are licenses required for roofing contractors and vary by state. To get a valid license, you need proof of roofing insurance as well as demonstrate you have experience in the industry. These are important pieces of documentation that show a contractor is reputable and not trying you scam you out of your hard-earned money.
In Colorado, a roofing contractor is not required to be licensed, but they must have a business license which will show that they have been active for two years and have passed exams to qualify. In Colorado Springs, The Pikes Peak Regional Building Department manages the licensing for contractors. There are application fees and exams needed to qualify for a license.
How often do contractors update their licenses and registrations?
Usually, every year a contractor must update their license, but it varies by state. For instance, in Colorado, a business license must be renewed every one to two years.
How do you check your contractor for license or registration?
In Colorado Springs, the easiest way to determine whether or not your contractor has a valid license is to ask for the license ID and company name, then use the Secretary of State business organization page to check to see if they are a reputable contractor.
If you are in the market for a new roof, be sure to do your research. There are a lot of great roofers out there, but there are also some who will try to take advantage of you. By following the tips in this blog post, you can help to keep yourself safe.
We hope that you found this blog post helpful. If you have any questions, please feel free to contact us. We would be happy to help!
