Homeowners – Beware of Unlicensed Contractors

Homeowners – Beware of Unlicensed Contractors

Hamidou KeitaPro Member
Member since 2024 · 47 posts · 16 votes

I want to share a cautionary experience in case it helps others avoid the same headache.

I hired a general contractor (GC) here in Tucson, Arizona for a cosmetic remodel on my property. Before we started, I specifically asked him if a permit was needed. He said no, claiming that since we weren’t adding rooms, moving plumbing, or breaking down walls, it wasn’t required. He also said he was licensed for both residential and commercial work.

He seemed professional at first, and I paid a 33% deposit upfront. But soon after the project began, he started asking for more money before finishing major parts of the job. I ended up paying almost the full amount before realizing something wasn’t right.

Then a city inspector stopped by randomly and issued a stop work order, saying the work did require a permit. That’s when things fell apart. The GC became uncooperative, wouldn’t assist with the permit application, and once I obtained the permit myself, he refused to be listed as the GC and completely ghosted me.

I then consulted another GC, who helped me confirm that this person is not licensed at all, despite his earlier claims. I have since filed a complaint with the Arizona Registrar of Contractors (AZ ROC). They confirmed he is unlicensed and have opened an investigation.

Luckily, I paid with a credit card. I’m currently disputing the charges, and the credit card company has frozen the funds while it’s under review. They told me if the contractor can’t prove he did the work as agreed, I may be able to recover the money.

I also learned that because he’s unlicensed and abandoned the project, he likely can’t place a mechanic’s lien on my property.

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Chris SeveneyBusiness Member
Moderator
Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
1y
Quote from @Hamidou Keita:

I want to share a cautionary experience in case it helps others avoid the same headache.

I hired a general contractor (GC) here in Tucson, Arizona for a cosmetic remodel on my property. Before we started, I specifically asked him if a permit was needed. He said no, claiming that since we weren’t adding rooms, moving plumbing, or breaking down walls, it wasn’t required. He also said he was licensed for both residential and commercial work.

He seemed professional at first, and I paid a 33% deposit upfront. But soon after the project began, he started asking for more money before finishing major parts of the job. I ended up paying almost the full amount before realizing something wasn’t right.

Then a city inspector stopped by randomly and issued a stop work order, saying the work did require a permit. That’s when things fell apart. The GC became uncooperative, wouldn’t assist with the permit application, and once I obtained the permit myself, he refused to be listed as the GC and completely ghosted me.

I then consulted another GC, who helped me confirm that this person is not licensed at all, despite his earlier claims. I have since filed a complaint with the Arizona Registrar of Contractors (AZ ROC). They confirmed he is unlicensed and have opened an investigation.

Luckily, I paid with a credit card. I’m currently disputing the charges, and the credit card company has frozen the funds while it’s under review. They told me if the contractor can’t prove he did the work as agreed, I may be able to recover the money.

I also learned that because he’s unlicensed and abandoned the project, he likely can’t place a mechanic’s lien on my property.


 Very important to work with good contractors - I have been in real estate and construction for 25+ years and one way I got scammed was hired a roofing company (Said they were a roofing company) to come out and fix a small roof leak. Got their insurance certificate (permit was not required), and they cause some additional damage and found out that their insurance DID NOT cover them for this type of work. That was a first....

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  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    1y
    Quote from @Hamidou Keita:

    I want to share a cautionary experience in case it helps others avoid the same headache.

    I hired a general contractor (GC) here in Tucson, Arizona for a cosmetic remodel on my property. Before we started, I specifically asked him if a permit was needed. He said no, claiming that since we weren’t adding rooms, moving plumbing, or breaking down walls, it wasn’t required. He also said he was licensed for both residential and commercial work.

    He seemed professional at first, and I paid a 33% deposit upfront. But soon after the project began, he started asking for more money before finishing major parts of the job. I ended up paying almost the full amount before realizing something wasn’t right.

    Then a city inspector stopped by randomly and issued a stop work order, saying the work did require a permit. That’s when things fell apart. The GC became uncooperative, wouldn’t assist with the permit application, and once I obtained the permit myself, he refused to be listed as the GC and completely ghosted me.

    I then consulted another GC, who helped me confirm that this person is not licensed at all, despite his earlier claims. I have since filed a complaint with the Arizona Registrar of Contractors (AZ ROC). They confirmed he is unlicensed and have opened an investigation.

    Luckily, I paid with a credit card. I’m currently disputing the charges, and the credit card company has frozen the funds while it’s under review. They told me if the contractor can’t prove he did the work as agreed, I may be able to recover the money.

    I also learned that because he’s unlicensed and abandoned the project, he likely can’t place a mechanic’s lien on my property.


     Very important to work with good contractors - I have been in real estate and construction for 25+ years and one way I got scammed was hired a roofing company (Said they were a roofing company) to come out and fix a small roof leak. Got their insurance certificate (permit was not required), and they cause some additional damage and found out that their insurance DID NOT cover them for this type of work. That was a first....

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  • Investor · Las Vegas, NV · Member since 2013 · 8k+ posts · 10k+ votes
    1y

    You sure got lucky he took a credit card. That SHOULD be a win for you. I use a credit card whenever I possible. 

  • Patrick O'SullivanBusiness Member
    Property Manager · Phoenix, AZ · Member since 2024 · 551 posts · 210 votes
    1y

    Hey @Hamidou Keita

    Thanks for sharing this cautionary tale. It’s a tough situation, but it sounds like you handled it as well as anyone could. Kudos for paying with a credit card – that’s a smart move, and it might just be the key to getting your funds back.

    For others reading this thread, a few takeaways:

    1. Verify Licensing – Always double-check a contractor’s license status with the state’s licensing board (like the AZ ROC in your case) before work begins. Many states have online verification tools for this.

    2. Permits Matter – If there’s any doubt about permit requirements, it’s often worth a quick call to your local building department. Even seemingly minor renovations can sometimes require them, depending on the scope.

    3. Contract Details – Make sure your contract clearly outlines payment terms tied to project milestones. This can prevent situations where you’ve paid for work that isn’t completed.

    4. Dispute Options – As you did, paying with a credit card can provide a critical layer of protection in disputes like this. It’s also a good idea to document all communications and work progress.

    Thanks again for the heads-up, and best of luck getting this resolved. You’re helping others avoid similar pitfalls.

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    • Hamidou KeitaPro Member
      OP
      Member since 2024 · 47 posts · 16 votes
      1y
      Quote from @Patrick O'Sullivan:

      Hey @Hamidou Keita

      Thanks for sharing this cautionary tale. It’s a tough situation, but it sounds like you handled it as well as anyone could. Kudos for paying with a credit card – that’s a smart move, and it might just be the key to getting your funds back.

      For others reading this thread, a few takeaways:

      1. Verify Licensing – Always double-check a contractor’s license status with the state’s licensing board (like the AZ ROC in your case) before work begins. Many states have online verification tools for this.

      2. Permits Matter – If there’s any doubt about permit requirements, it’s often worth a quick call to your local building department. Even seemingly minor renovations can sometimes require them, depending on the scope.

      3. Contract Details – Make sure your contract clearly outlines payment terms tied to project milestones. This can prevent situations where you’ve paid for work that isn’t completed.

      4. Dispute Options – As you did, paying with a credit card can provide a critical layer of protection in disputes like this. It’s also a good idea to document all communications and work progress.

      Thanks again for the heads-up, and best of luck getting this resolved. You’re helping others avoid similar pitfalls.


       Thank you.

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