Hiring a contractor is one of the largest financial decisions most homeowners make. A good contractor delivers a beautiful result on time and on budget. A bad one can leave you with unfinished work, code violations, and a legal headache that takes years to resolve.
Here is what every Maryland homeowner should know before signing a contract.
Verify the MHIC License
In Maryland, any contractor who performs home improvement work valued at $500 or more must be licensed by the Maryland Home Improvement Commission (MHIC). This is not optional — it is the law.
You can verify any contractor's MHIC license at the Maryland Department of Labor's online lookup tool. A valid license means the contractor has passed a background check, carries the required insurance, and is subject to the MHIC's dispute resolution process if something goes wrong.
Never hire a contractor who cannot provide their MHIC number. Maya Construction's MHIC number is 114285 — you can verify it anytime.
Ask for Proof of Insurance
A licensed contractor should carry two types of insurance:
1. General liability insurance — covers damage to your property during the project
2. Workers' compensation insurance — covers injuries to workers on your property
Ask for certificates of insurance before work begins, and make sure the coverage amounts are adequate for the scope of your project. If a worker is injured on your property and the contractor does not carry workers' comp, you could be liable.
Get Multiple Quotes — But Do Not Just Choose the Lowest
Three quotes is the standard recommendation, and it is good advice. But the lowest quote is not always the best value. A significantly lower bid often means the contractor is cutting corners on materials, underestimating the scope, or planning to make up the difference with change orders later.
When comparing quotes, make sure they are covering the same scope of work. Ask each contractor to break down their quote by labor, materials, and subcontractor costs so you can make an apples-to-apples comparison.
Read the Contract Carefully
Maryland law requires home improvement contracts to be in writing and to include specific information: the contractor's name, address, and MHIC number; a description of the work; the total price; a payment schedule; and the estimated start and completion dates.
Watch out for contracts that:
- Require full payment upfront (a reasonable deposit is 10–30%; never pay in full before work begins)
- Have vague scope descriptions ("kitchen remodel" with no specifics)
- Do not include a warranty on workmanship
Red Flags to Watch For
- No physical business address (just a phone number or P.O. box)
- Pressure to sign immediately or "lock in" a price
- Requests for cash payment only
- No written contract offered
- Cannot provide references from recent local projects
- Significantly lower bid than all other contractors
Ask for References and Actually Call Them
Most contractors will provide references, but few homeowners actually call them. Call at least two or three. Ask specifically: Did the project finish on time? Was the final cost close to the original quote? Were there any problems, and how did the contractor handle them? Would you hire them again?
---
Maya Construction: Licensed, Bonded & Insured
Maya Construction has served Silver Spring and Montgomery County for over 20 years. We are fully licensed (MHIC# 114285), bonded, and insured. We provide detailed written contracts, transparent pricing, and references from completed local projects.
Call (301) 366-4742 or request a free quote to get started.
Ready to start your project?
Get a free quote from Maya Construction — 20 years serving Silver Spring and the surrounding area.
Request a Free Quote