Hiring the wrong contractor can turn an exciting renovation into a stress-filled nightmare. In the Denver metro area, a few local wrinkles make things worse: permit rules, seasonal schedules, and an overheated home-improvement market where bad actors sometimes show up. Below are the most common problems we see (and what Denver homeowners should watch for).

1. No permits, or the wrong permits

A contractor who skips pulling proper permits to “save time” can leave you with failed inspections, redo costs, or trouble when you sell the house. Denver has an online e-permit system where you (or your contractor) can track permits and inspections — ask to see the permit numbers and check them yourself. 

Denver tip: Ask for the permit record and inspector sign-offs before final payment.

2. Unlicensed or improperly licensed tradespeople

Some contractors rely on unlicensed subs (or aren’t properly licensed for the scope of work). Colorado has a statewide license lookup you can use to verify licensed trades (electricians, plumbers, etc.). Always verify the license number yourself. 

Denver tip: If a contractor resists providing license numbers or insurance certificates, treat that as a red flag.

3. No insurance or expired insurance

If your contractor doesn’t carry general liability and workers’ comp, you could be liable for injuries or property damage. Ask for certificates of insurance and call the carrier to confirm coverage and dates.

4. Shoddy workmanship and cutting corners

Poor installation (hidden under cabinets, behind walls, under flooring) often shows up after final payment — and fixing it costs a lot more than doing it right the first time. Insist on references and recent photo/video documentation of finished projects.

5. Bait-and-switch and hidden cost creep

Low bids that balloon with “unexpected” charges are common. A clear, detailed contract with itemized scope, allowances, and a change-order process protects you.

6. Slow, poor communication: you’re left guessing

A contractor who doesn’t respond, misses deadlines without notice, or can’t give a reasonable schedule makes the whole project miserable. Contractually require regular updates and a single point of contact.

7. Liens from unpaid subs or suppliers

If a contractor doesn’t pay subs or suppliers, those parties can file a mechanic’s lien against your property. Colorado has specific notice and filing requirements for mechanics’ liens. If you're worried, learn the steps for defending or addressing a lien quickly. 

Denver tip: Require lien waivers from the contractor as part of payment milestones.

8. Scam or fraud (advance-payment scams, disappearing contractors)

Colorado saw a big rise in consumer complaints in recent years, many tied to home-improvement and imposter scams — so vigilance is essential. Always document communications and avoid paying large sums in cash or wiring money.

9. No written warranty or poor warranty follow-through

Some contractors offer verbal promises that vanish after final payment. Get warranties in writing with clear terms for workmanship and materials.

10. Poor vetting — no references, fake reviews

Rushed hiring leads to contractors with no real local track record. Use multiple sources for vetting: local BBB profiles, customer reviews, and references from homeowners in the Denver area.

Contractor Red Flags (quick list)

• Requests for large cash deposits or full payment up front.
• No written contract or one that is vague about scope and schedule.
• Refuses to provide proof of insurance or license numbers.
• No local references or professional online presence.
• Pressures you to sign quickly or uses high-pressure sales tactics.

How to Protect Yourself — A Practical Checklist

1. Verify licenses & insurance. Use Colorado’s license lookup and ask for COI (certificate of insurance). 
2. Check permits yourself. Ask for permit numbers and check Denver’s e-permit system. 
3. Get a detailed written contract. Include scope, materials, model numbers, schedule, payment schedule, and change-order terms.
4. Stage payments to milestones + get lien waivers. Don’t pay the last 10% until you’ve confirmed permits/inspections are closed. Learn about Colorado lien rules so you can insist on waivers. 
5. Check reviews and complaints. Look at BBB, Google, and past clients — and call references.
6. Keep records. Save all texts, emails, contracts, invoices, and photos of progress.
7. Don’t pay large cash or wire transfers. Use traceable methods and tie payments to completed work.

If Things Go Wrong — What You Can Do

1. Stop paying (if contractually allowed) and document the issues.
2. Try to resolve directly — demand a written fix plan and timeline.
3. File complaints with the Colorado Attorney General’s consumer protection site or local Denver offices and file with the BBB if appropriate. In Colorado, consumer complaints have been rising — the AG’s office is an active resource for homeowner disputes. 
4. Consider legal options — mechanic’s lien defense or small claims (or hire an attorney for larger disputes). Learn Colorado’s lien process early to protect your options. 

Final Thoughts (and how we help)

Hiring the right contractor in the Denver metro area takes a little extra homework, but that small effort usually saves time, money, and a lot of stress. At Building While Giving, we:

• Pull and manage permits transparently,
• Carry proper insurance and provide certificates on request,
• Use clear, itemized contracts with milestone payments and lien waivers, and
• Keep homeowners updated every step of the way.

If you want a team that treats your project like it’s our own and gives back to the community while doing it, reach out to us at 720-968-7874 or visit www.buildingwhilegiving.com. We’ll help you hire smart, avoid the common pitfalls, and finish with work you can trust.