Most contractors are honest. A small minority are not, and they tend to target the same kinds of homeowners: those recovering from a storm, those aging in place, and those who've never hired a tradesperson before. The scams evolve, but the patterns don't. Here are the five most commonones still active this year.
1. The storm chaser
The pitch: "We're working in your neighborhood and noticed hail damage on your roof. We can file the insurance claim for you and start tomorrow."
What's really happening: Out-of-state contractors follow storm reports. They're gone before the work is inspected. The "repair" is often cosmetic, and they pocket the insurance check. Worse, you've now signed an "Assignment of Benefits" form that hands your insurance claim proceeds to them directly.
Never sign an AOB form. Once you sign, the contractor — not you — controls the insurance money. You lose all leverage over quality and completion.
How to shut it down: Get three local bids. Verify the contractor's license is in-state with a local address. Check they've been in business longer than the storm's news cycle.
2. The "leftover materials" discount
The pitch: "We just finished a job nearby and have extra stone/asphalt/paint. We can do your driveway for half price if you pay cash today."
What's really happening: There are no leftover materials. The "discount" is a pressure tactic to stop you from getting competing bids. Once cash changes hands, the quality drops and the warranty evaporates.
How to shut it down: Real contractors don't have leftover custom-measured materials for your specific job. Ask for an itemized written quote. They'll leave.
3. The unlicensed "handyman" doing licensed work
The pitch: "I can do that electrical/plumbing/HVAC work for half what a licensed guy charges. No permit, no fuss."
What's really happening: In most states, a handyman cannot legally do work that requires a trade license, period. The work is unpermitted, uninspected, and not covered by your homeowner's insurance. When you sell, the buyer's inspector flags it, and you pay a real contractor to redo it at full price.
How to shut it down: Ask for the trade license number. Not a "business license" — a trade license. If they can't produce it, the conversation is over.
4. The ever-expanding scope
The pitch: A contractor bids a job at $4,000. Two weeks in, they "discover" $7,000 of additional work that "has to be done" or your house will fail inspection.
What's really happening: Sometimes it's legitimate — old homes have surprises. But a contractor who didn't price in reasonable contingency and is now using change orders as a profit center is a problem. The bid was a hook.
How to shut it down: Before signing the original contract, ask for the change order process in writing and a clause that says any work beyond the original scope requires your written approval.
5. The "we'll handle the permit" lie
The pitch: "Don't worry about the permit, we'll pull it and it's all included."
What's really happening: They never pull it. They do the work, get paid, and disappear. The unpermitted work surfaces years later when you refinance or sell, and you're the one the city comes after — not the contractor who's already left.
How to shut it down: Ask the contractor to name the permitting jurisdiction and the estimated permit cost. Ask for the permit number before work begins. Real contractors know this number off the top of their head.
Common denominators in every scam
| Feature | Ice Dams | Attic Condensation |
|---|---|---|
| Root Cause | Heat escaping attic melts snow on roof; meltwater refreezes at cold eaves. | Warm, humid house air leaks into attic and condenses on the cold roof deck. |
| Primary Location | Roof edges, eaves, gutters, and exterior wall top plates. | Underside of the roof decking, rafters, and throughout the attic insulation. |
| Key Visual Signs | Thick ridges of ice along the roofline; huge icicles; water pooling on the roof. | Frost or water droplets on roof decking; black mold/mildew; rusted nails; damp insulation. |
| Best Long-Term Fix | Add attic insulation, seal warm air leaks from the living area, and ensure proper eave/soffit ventilation. | Seal air leaks, ensure exhaust fans vent outside (not into attic), and balance attic ventilation. |
- Urgency. "Today only." Real contractors book weeks out.
- No written contract. Verbal scope, verbal price, no recourse.
- Cash only. No paper trail, no warranty, no legal standing.
- Unsolicited approach. Knock on door, flier on porch, "we noticed your…" All pressure tactics.
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The homeowners who get scammed aren't dumb. They're busy, overwhelmed, or recovering from a disaster. The scams work because the contractor catches you in a moment of pressure. The defense is always the same: slow down, get three bids, and verify the license. Every time. Without exception.