What to Do if a Contractor SCAMS You

The scariest & most difficult part about investing in real estate is finding good contractors, and finding contractors that won't rip you off.

Months ago, I hired a team of contractors to do the electrical at a house flip of mine in Missouri. They do great work - however they ended up costing me about $10,000 from doing extra unneeded demolition, one thing led to another, and eventually I started receiving threats from one of them.

However, for my personal home, the contractor who was doing the electrical for it ended up getting sick & couldn't complete the job, so I figured I would give the past team a second chance at it, with two requirements: They make up for the damage they caused on the previous flip, and I do NOT want the person who sent me threats working on my own home.

...That person did anyway, and now we've got bigger problems. They admitted to me that they took my job because they wanted to take more money from me than they should. Watch & find out how to deal with contractors that scam you or contractors that rip you off, and let me know: should I file a complaint to the contractors board, or should I let it slide? This is the UGLY SIDE of contracting.

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[TroyKearns]

What would you do in this situation? Should I file a complaint with the Contractor's Board?

[xtreamv]

File a complaint. It's the only way to hold contractor's accountable especially since you know the ins and outs. This is part of the bad side of flipping but it's it's still positive energy because it isn't all sunshine and rainbows out here. You're 100% keeping it real and that's what really matters.

[jackofalltradesllc]

As a contractor #1 rule is you don’t piss off the boss/person who writes the check do your job as per the owners specifications and get TF out of the owners way period.

[kennethmartin]

This video was definitely an eye opener. Highly informative! Thanks for posting this!! 🔥 💯

[Saidoromo]

Good on you for confronting those scumbags and withholding payment until the work is done per state inspection. It sounds like they intended to take your money and run away with it. Don't allow them to victimized nextperson.

[davidbriz]

After learning that my mom just got the rug pulled from underneath her from a contractor. And see the evidence from your experience. I would love to learn that they get sent to the board.

[josephcokermusic]

How can you trust these guys to do the work if you know there is animosity? Man I would worry about every switch

[andreagarrison]

Do you have the issue of "change orders" in your initial contract that you and the contractor sign upon acceptance of bid? My husband was a master plumber for years and we added an addendum in our contracts that stipulated that any changes other than those that slightly deviated from the specs due to ascetics, mild changes required due to possible conflicts with other mechanical systems (electrical, structural, etc) would be considered a change order and they needed to be discussed and agreed to by both the client and us as the contractor. We'd then draw up the change order with the additional cost associated with it, in writing, sign it and have the client sign it.

[jason]

I work in construction nothing big we got 4 of us but we ever mess anything up we fix it before we’re done at that job site! Not saying we might have done something wrong and have a customer call us back but when we do we go back and fix it free of charge because that’s on us not you guys!! So yea these guys are in the wrong for their actions especially the one guy to threaten a customer you’re doing work for! Especially at the amount they’re being paid to do the job! I couldn’t imagine acting that way I got way more respect then that! That’s what a lot of people don’t understand when it comes to construction they think it’s all about reading a tape cutting a piece of wood and building something!! When in reality there’s a lot of rules and regulations when you are building a house, or you’re remodeling a handicap bathroom! There’s certain heights or measurements when it comes to the specs! Then you got electric that’s a whole other ball game! You’re not careful when you’re in a panel box or mess with wire over 120V that’ll be your last shift I promise!! I got lucky 2 times once there was 2 panel boxes the covers we already off then one of our guys told me the one was 120V and the other one was 240-480V! Well I’m wiring a breaker in the 120V panel it kept kicking my breaker when I tested the Voltage I kept getting 240-280V so I was told wrong I wasn’t in the 120V panel!! In a panel box the metal legs your break connects to and gets power in a 120V panel you can bump one of those and it shock you if you touch both at the same time chances are you aren’t walking away! On panels higher than 120V you don’t wanna touch anything not even one of those legs because it’ll fry you from the inside out!! Electric isn’t a thing to mess around with if you don’t know what you’re doing because you can get yourself killed or burn down your house!!

[edgarpadilla]

File it. He made his bed, let him lay in it! Let's see how arrogant they are in front of the contractor's board.

[franciscopichardo]

Wowww…. Is rough, im going through a similar situation right now and it really takes lots of patience, my mistake was i pay him too quickly.

[mrandretti]

How do u not have more views? U deserve it

[rmw]

Wow! Some people are just terrible. How can you go to sleep at night knowing you’ve ripped someone off? I hope I don’t run into someone like this ever!

[KidCity]

Sometimes you are feeling the fight, some times you aren't. I think you should fight.

[matthewrichardson]

It’s a shame this went the direction it did. I was in a similar situation 7 years ago. The fact your original electrician is in business with the whack job electrician—is a HUGE RED FLAG. The guy lied to you and I think they either wanted to scam some money from you or they needed some business. Either way, I’d be very wary of the work they performed as the whack job partner is a borderline PSYCHOPATH.

Personally, I wouldn’t have paid them a red cent and let them chase the money. Making these bozos sweat for cash always makes them behave. Make sure you lay down the hammer on these goons. I’m glad I don’t deal with clowns like these guys because it would’ve became physical very quickly 😉

[justycewittawhy]

You have a duty to file a complaint. His comments were very malicious and that type of stuff is why there’s regulations to being a contractor.

[metamillionaires]

Without a thought you should have filed a complaint with the board right away

[jnguyen]

Absolutely file a claim, you were given lots of lies

[Ryan-sloe]

File it. That system is there to protect people from contractors like that.

[kkamal-]

Love seeing you stay true to your morals and ethics as you’ve grown and continued to invest!

From a newbie - love watching your videos and hope to get started investing in real estate soon.