Before you choose a contractor ...

• Plan the project carefully. Learn about home construction methods. Seek professional guidance as you select a site, design the home, and craft specifications.

• Make a list of builders with experience constructing the type of home you want in your price range. Your local builders’ association can provide you with referrals. Obtain references from family and friends. Real estate agents may also be helpful.

• Check out the reputation of each builder:

• Ask builders for a list of their recently built homes or subdivisions. Visit these owners, and find out if they are satisfied with their homes. Ask them how the builder has responded to any complaints.

• Check the builder’s complaint history with the Office of the Attorney General and the Better Business Bureau. Ask if the builder is a member of a local builders’ association, and then verify the builder’s professional standing with that association. You may also want to see if there is a history of court litigation against the builder, initiated either by other homeowners or by subcontractors.

• The construction of all one and two family dwellings and all buildings containing less than 35,000 cubic feet of enclosed space must be under the supervision of a person licensed by the State Board of Building Regulations and Standards as Licensed Construction Supervisor. You may check this license online.

• Find out how long the company has been in business. Be sure the company is financially stable. You may need to seek assistance to determine the builder’s credit rating.

• Ensure that the builder has adequate liability and worker’s compensation insurance. Ask to see a copy of the certificates of insurance and verify that they are current. Otherwise, you may be liable for any injuries and damages that occur during the project.

Before you sign a contract ...

• Hire an attorney to review the contract to ensure that your rights are protected.

• Be sure your contract contains detailed specifications, including the quality and brand of all building materials and amenities. Be sure that any agreed upon "upgrades" are included in the contract. Outline the procedures that should be followed if changes are to be made to the plans.

• Detail the warranty. Specify exactly what defects in materials and workmanship are covered and for how long.

• Set a payment schedule, and make the final payment contingent upon a walk-through prior to closing.

• Understand alternative dispute resolution clauses. Some standard construction contracts contain an arbitration clause that specifies that all legal disputes will be resolved in arbitration, either before or instead of court. While arbitration can be less expensive than court, it generally waives your right to a jury trial and to class action lawsuits.

During the project...

• Check in with the Building Inspector for your city or town. The Building Inspector will inspect the property to ensure that it meets the Massachusetts Building Code. The Building Code sets minimum standards for the construction, alteration, repair, demolition and use of all buildings and structures. The State Board of Building Regulations and Standards establishes the Code and certifies municipal building officials.

• Consider hiring your own independent inspector to monitor the quality of the builder’s work, and ensure that it is up to Code standards. NOTE: licensed home inspectors in Massachusetts are not required to perform engineering, architectural, surveying, plumbing, electrical, heating services, pest, urea formaldehyde and lead paint inspection(s) or any other job function requiring an occupational license and or registration; nor are they required to determine building code violations. To have these kind of inspections completed on your home, be sure to hire the appropriate licensed professionals.

• If a problem arises, speak with the builder about your complaint. Often, it is helpful to put your complaint in writing and state exactly how you would like the problem to be addressed.

• If you are unable to resolve the problem with the builder directly, then consider getting a third party involved. You may want to file a complaint with your local consumer program, which is affiliated with the Office of the Attorney General, or you may want to work with the Better Business Bureau. As a last resort, consider legal action under the guidance of an attorney.