The contract is the single most important document in any remodeling project. It defines what gets built, how much it costs, who's responsible for what, and what happens when things go wrong — because on some level, something always goes wrong. In Charlotte's active renovation market, a thorough contract protects you far more than any online review or verbal promise.
Here are the questions every Charlotte homeowner should ask before signing.
About the Contractor
1. "What is your NC General Contractor license number, and is it current?" North Carolina requires a General Contractor license for projects over $30,000. Verify the license at nclbgc.org — don't just take their word for it. Specialty trades (electrical, plumbing, HVAC) require separate state licenses. If your project involves multiple trades, the GC should be coordinating all of them under their license.
2. "Can you provide a certificate of insurance that names me as additionally insured?" You need to see proof of general liability insurance (at least $1M) and workers' compensation coverage. Call the insurance carrier directly to verify the policy is active. If an uninsured worker is injured on your property, you could be liable. This is non-negotiable.
3. "Can I speak with 3-5 homeowners from projects you completed in the past year?" Not references from five years ago. Recent references from Charlotte-area projects similar to yours in scope and budget. Ask those homeowners: Would you hire them again? How did they handle problems? Did the project finish on time and on budget?
About the Scope of Work
4. "Can you walk me through exactly what's included and excluded in this contract?" The most common source of disputes is scope misunderstanding. "Kitchen remodel" could mean new countertops and paint, or it could mean a full gut renovation with relocated plumbing. Every assumption should be written down. If it's not in the contract, it's not included.
5. "What happens if we discover unexpected issues once demolition starts?" Hidden water damage, outdated wiring, structural problems — these are common in Charlotte homes, especially in older neighborhoods like Dilworth, Plaza Midwood, and Myers Park. A good contractor has a clear process for documenting, pricing, and getting your approval before proceeding with unforeseen work.
6. "Who selects and orders the materials? What happens if something is backordered?" Material lead times have been volatile in recent years. Clarify who's responsible for material selection, who orders, and what happens if your first choice is unavailable. Get specific about allowances — if the contract says "$50/sq ft allowance for tile," understand exactly what that buys you and what happens if you choose something more expensive.
About Money
7. "What is the payment schedule, and is it tied to completed milestones?" Never agree to a payment schedule based on dates rather than completed work. A typical structure: 10% at signing, then progress payments tied to completion of demolition, rough-in, drywall, finishes, and final walkthrough. Never pay more than the value of work completed.
8. "What is your change order process, and what's the markup?" Changes happen on almost every project. The contract should spell out how changes are documented, priced (materials + labor + markup), and approved before work proceeds. A standard markup on change orders in Charlotte is 15-20%. Get this in writing before you start.
9. "Is there a contingency built into this estimate?" Industry standard is 10-15% contingency for renovations, 5-10% for new construction. If the contractor hasn't included contingency, ask why. Either they're overly optimistic, or they plan to make it up in change orders.
About the Timeline
10. "What is the realistic start date and completion date?" "We can start next week" from an in-demand Charlotte contractor should raise eyebrows — quality contractors are typically booked 4-8 weeks out. Get specific dates in the contract, and ask what happens if the timeline slips. Does the contract include a completion deadline with penalties for excessive delays?
11. "Who will be my daily point of contact, and how often will I receive updates?" You should know exactly who to call with questions — and it usually shouldn't be the company owner for day-to-day issues. A dedicated project manager or lead carpenter who provides weekly written updates is the standard for quality contractors in Charlotte.
12. "How will the work site be managed during the project?" This matters more than people think, especially if you're living in the home during renovation. Ask about dust containment, debris removal schedule, work hours, bathroom access for crews, and how they protect finished areas of your home.
About Warranties and Completion
13. "What does your warranty cover, and for how long?" NC law requires a minimum one-year warranty on workmanship. Better contractors offer 2 years on systems and up to 10 years on structural. Get the warranty terms in writing as part of the contract — not as a verbal promise.
14. "What is the final walkthrough and punch list process?" Before final payment, you should do a detailed walkthrough to identify any incomplete or unsatisfactory work. The contract should define how punch list items are documented, who tracks them, and the timeline for completion. Hold back 5-10% of the final payment until the punch list is complete.
15. "What happens if there's a dispute we can't resolve?" The contract should include a dispute resolution clause. Mediation is generally preferable to arbitration or litigation — it's faster, cheaper, and usually results in a reasonable outcome for both sides.
Charlotte-Specific Contract Considerations
- Permit responsibility — The contract should clearly state who pulls permits with Mecklenburg County (or your specific municipality) and who coordinates inspections. The contractor should handle this, not you. - HOA approval — If you're in a neighborhood with an architectural review committee, clarify who handles the submission and what happens if the HOA requires design changes after the contract is signed. - Lead paint and asbestos — Homes built before 1978 in Charlotte neighborhoods like Myers Park, Dilworth, and Eastover may contain lead paint or asbestos. The contract should address testing and abatement responsibilities and costs. - Tree protection — Charlotte has a tree preservation ordinance. If your project affects trees on your property, the contractor should understand the requirements and factor compliance into the scope.
A Final Word
Read every word of the contract. Ask every question that comes to mind. A good contractor will welcome your thoroughness — it shows you're serious and reduces the chance of misunderstandings later. If a contractor is impatient with your questions or reluctant to put things in writing, that tells you everything you need to know.
Frequently Asked Questions
- What must a North Carolina remodeling contract include?
- Full scope, price and payment schedule, start and substantial completion dates, allowance detail, change-order process, warranty terms, lien-waiver requirements, and both parties' contact and license information.
- How should payments be scheduled?
- Tie payments to completed milestones rather than the calendar, keep the deposit proportionate to mobilization and materials, and hold a final retainage until punch list completion and final inspection.
- What is a lien waiver and why does it matter?
- It documents that subcontractors and suppliers have been paid. Collecting waivers with each draw protects the homeowner from a mechanic's lien filed after money has already left your account.