CLIENT CASE STUDIES
Avoid $20,000, $25,000, $70,000 - Even $85,000 - Renovation Nightmares
Real Stories of Renovation Projects Gone Off the Rails
Jon and Lynne’s Dream Kitchen Came With an $85K Surprise – Here’s How to Avoid the Same Costly Mistake
Jon and Lynne were in their early 30s when they bought their charming Cape Cod-style home. Fifteen years later, Lynne is a pharmaceutical exec and Jon has a thriving medical practice. With their mortgage paid off, they dreamed of a bigger space to entertain their growing circle of friends and family. But they didn’t want to leave their beloved neighborhood. So, instead of buying a new home, they decided to expand and enhance their existing one. And they wanted it all – a big chef’s kitchen with an adjacent butler’s pantry, an addition for a large gathering room with a soaring ceiling and wood-burning fireplace, another addition for a plant-filled solarium, plus an outdoor terrace.
After meeting with several contractors, they went with a family acquaintance – 30 years in the business and trusted by everyone they knew.
The final renovation seemed perfect until…
Three years later both additions – the gathering room and the solarium – started leaking. And not just a drip here or there – water was coming in from multiple locations. Worse still, their contractor had retired two years earlier and moved 1,600 miles away. And John and Lynne had never negotiated a warranty on the work as part of their contract.
With no other option, they hired a new contractor to address the leakage issue, only to discover a cascade of problems: the roofing on both additions had been improperly installed, mold had spread throughout the walls, and the windows and French doors had been so poorly fitted on both addition that rain and snow had seeped in. As a result, the walls and the framing structure supporting the additions were completely rotting away.
After investing $300,000 into their dream kitchen and two additions, Jon and Lynne were forced to spend an additional $85,000 to tear out and repair the extensive damage. They had assumed their first contractor was a seasoned professional who would handle everything flawlessly, allowing them to take a hands-off approach. Unfortunately, that assumption proved costly.
The extra expense and headaches could have been avoided if they had learned the basics of home renovation, contracts, and warranties. They would have known all the right questions to ask, chosen a more skilled contractor, been prepared to provide oversight, and had the necessary tools and resources to ensure the proper steps were being followed before and during construction.
Several years later, they decided to build an addition – a living room, kitchen, bedroom, and an ADA bathroom – for Lynne’s mother so she could age in place. But this time, they consulted with me to review the architectural plans, help with the contractor vetting process, and review and explain the contractor’s project plans, work scopes, materials, contract, bonding, insurance, warranties, and payment schedules to avoid any pitfalls. They also set up twice-monthly consultations to review ongoing progress to ensure the project wouldn’t go off the rails. As a result, the new addition went much more smoothly because Jon and Lynne – both smart people – made the choice to educate themselves before embarking on another sizable home improvement investment.
Noreen’s Renovation Stand-Off: How She Took Control and Saved Her Dream Kitchen
Noreen, a human resources professional with an engineering firm, was nearing retirement and excited to finally create the beautiful, updated home she had dreamed of for years. Her kitchen renovation was both cosmetic and structural – she wanted to tear down a wall for an open-concept layout; install new cabinetry, an island, countertops, backsplashes, flooring, ceilings, and lighting; and relocate a couple windows for better natural light and replace them with energy-efficient upgrades. She was also doing some cosmetic upgrades to her primary bathroom.
She hired a local kitchen and bath contractor to bring her vision to life, but two months in, after spending $90,000 of her $120,000 budget, only 30% of the work was done. Her house was a dusty, chaotic mess, and the stress only mounted when her contractor started demanding an additional $10,000—threatening to place a lien on her home if she didn’t pay up.
Noreen was a widow and felt all alone and overwhelmed, Unsure of what to do, she consulted me to help her gain control of her project. She quickly learned the essentials of kitchen renovations and discovered her contractor didn’t have the grounds to place a lien at all. In fact, he was in breach of contract for failing to complete the work she’d already paid for, and for not securing the necessary permits and inspections from the city for the electrical work and the two windows that had been relocated.
Armed with her newfound knowledge, Noreen took control. She called a meeting with her contractor and demanded the remaining payment schedule be revised to match the actual progress on the project. No more payments until the work caught up with her investment. And if he didn’t agree, she was ready to report him to the authorities and pursue legal action. She also contacted her local building department to call for an inspection of the work, which forced the contractor to get the necessary permits. As it turned out, when the city inspector reviewed the work, it was discovered the window installations and electrical work had been done incorrectly, which would likely have led to problems – potentially dangerous ones – in the future. The contractor fixed them.
Once her contractor realized Noreen now understood her rights – and the construction process – his attitude quickly shifted. He had no other choice but to agree to her terms, and the project was finally completed to her satisfaction.
Robert and Cherise’s $70,000 Wake-Up Call: How Misplaced Trust Led to a Costly Regret
When Robert and Cherise inherited some money after the passing of Cherise’s mother, they saw it as the perfect opportunity to update their 1990s home. The kitchen and three bathrooms were in desperate need of a refresh—not only to modernize the space but also to maintain their home’s value when it came time to sell. Using part of their inheritance for these renovations felt like a smart, long-term investment.
Cherise’s brother, Tim, is a carpenter who works with home builders. He had some connections, including a good friend—a general contractor. Since her brother was vouching for him, they decided to hire his friend. With a $200,000 budget, the contractor requested an upfront payment of $70,000 to cover floor plan drawings, structural engineering fees, permits, and initial materials. This was a reasonable request, however…
Shortly after demolition had begun, he vanished with their money.
Rob and Cherise were blindsided. They had just lost a huge chunk of their inheritance, and Tim was equally devastated to learn his friend had betrayed them all. It later came to light that the contractor had been in severe financial trouble and, in a desperate move, decided to steal from people he knew.
Feeling responsible for the recommendation, Tim offered a portion of his inheritance to help his sister and brother-in-law move forward with a new contractor. That’s when he brought me on board to help his sister and brother-in-law vet their next contractor, review the contract, plans, work scope, payment schedules, bonds, and warranties. In the end, this helped them maintain better control of their budget and project. And most importantly, the skills they learned could be applied to future home improvement projects including the new roof they eventually needed.
Marcus and William’s Renovation Nightmare: How a Lack of Oversight Cost Them $35,000
Marcus and William, busy professionals living in Southern California, were excited to renovate their older home but knew they couldn’t get involved in the day-to-day management of such a major project. With demanding careers, they needed a contractor who could handle everything independently. So, when a friend recommended someone they trusted, Marcus and William jumped on board.
The project started without a hitch until the contractor discovered a serious issue: the foundation under the kitchen was compromised. He reassured them it was a simple fix, removed the entire kitchen foundation down to the dirt, and “repaired” it. But when a city official came to inspect the work, they learned most of it was done improperly, and the whole thing would need to be ripped out and redone. It was clear the contractor’s crew didn’t have the expertise and worse yet, he failed to catch it.
Before the situation could be resolved, their contractor had a heart attack and was unable to return to work for several weeks, leaving Marcus and William no choice but to hire another contractor to finish the job. This is when they discovered the original contractor’s bond wasn’t sufficient to cover the added expense of a new contractor and the extensive foundation repair. Plus, the original contractor’s general liability insurance didn’t cover this type of “damage.” They were now stuck with having to pay for a portion of the mistake themselves.
What was supposed to be a three-month renovation turned into a 7-month stressful ordeal. This is when they consulted me to get their project back on track. I advised them on the vetting process for a new contractor; reviewed and removed potential ambiguities, loopholes, omissions, and vulnerabilities in their new contract; and educated them on the remaining work that needed to be completed so they would have peace of mind knowing the proper process was being followed.
In the end, not being aware of the construction process – or having the right tools to manage their project – ended up costing Marcus and William an extra $25,000.