Homeowner protection guide
Protect your home and your money before you hire anyone
Gary Wake would rather you hire the right contractor than hire the wrong one and call him afterward. Here is what to verify, what to put in writing, and what never to pay up front, written for homeowners in Nevada and California.
- Maximum contract deposit
- Never over 10% or $1,000
- Unlicensed handyman cap
- $500 total (materials and labor combined)
- Contract requirement
- Detailed written contract before work begins
- Nevada verification
- nscb.nv.gov / nvcontractorsboard.com
- California verification
- cslb.ca.gov
Statutory deposit cap and written contracts
The deposit rule: never pay more than 10% or $1,000
Always require a signed written contract before work starts, never pay over 10% or $1,000 as a contract deposit, and never let progress payments get ahead of completed work.
Statutory deposit rule
Never pay over 10% or $1,000 as a contract deposit
Under California law, and as good practice anywhere, never pay more than 10% of the contract price or $1,000 as a deposit, whichever is less. That is enough to secure a contract. It is not enough to fund a project, and it is not supposed to be.
Operators who ask for 25%, 30%, or 50% up front before any work starts or any material arrives are asking you to carry their business. Established general contractors have trade credit with their suppliers for exactly this reason.
Every payment after the deposit should follow a milestone schedule written into your contract, tied to work you can walk outside and see. Never pay for a phase that is not finished or for materials that are not on your property.
Your rights on every project
- 01
The right to verify active licensing, bonding, and workers compensation insurance.
- 02
The right to pay no more than 10% or $1,000 as an initial contract deposit.
- 03
The right to a detailed written contract with itemized milestone progress payments.
- 04
The right to know every material, brand, and specification installed in your home.
- 05
The right to lien releases with each payment, so no unpaid supplier can lien your property.
What a real written contract has to say
Read CSLB contracts and binding agreements guideInsist on a clear, detailed written contract before anyone picks up a tool. It should state the exact deposit, the full scope of work, the progress payment schedule, the materials to be used, and the start and completion dates, in language you can understand.
You have the right to know every material, model number, and manufacturer going into your home. Keep a signed copy of the contract and of every change order, and make sure nothing changes without one.
As each progress payment is made, your contractor should hand you unconditional lien releases from subcontractors and suppliers. That paperwork is what keeps an unpaid supplier from placing a mechanics lien on your house.
- 01
Deposit amount
Itemized contract deposit never exceeding 10% of the contract price or $1,000, whichever is less.
- 02
Detailed scope of work
Every structural repair, trade phase, demolition boundary, and finish responsibility written in plain language.
- 03
Progress payments
Payments tied strictly to completed construction milestones, never ahead of work performed on site.
- 04
Materials to be used
Your legal right to know the exact materials, manufacturers, and specifications installed in your home.
- 05
Start and completion dates
Defined start and completion dates with written change orders for any scope adjustments.
- 06
Unconditional lien releases
Documentation confirming subcontractors and material suppliers are paid as each milestone is completed.
State contractors board verification
Verify the license before you verify anything else
Before signing any construction agreement, verify that your contractor holds a current license in good standing and carries active workers compensation insurance.
Before you sign anything, confirm that the contractor standing in your kitchen holds a current, valid license with the right classifications for the work, along with an active bond and workers compensation insurance. A business card is not a license.
In Nevada, check through the Nevada State Contractors Board (nvcontractorsboard.com). In California, check through the Contractors State License Board (cslb.ca.gov). Both boards let you search by name or license number in a minute or two.
The same public tools show bond status, workers compensation coverage, and disciplinary history. If a project goes wrong, with poor workmanship, unpermitted work, or a contractor who walks away, you can file a complaint directly with the state board.
- 01Nevada State Contractors Board (nscb.nv.gov)
Verify a Nevada contractor license (nvcontractorsboard.com)
Confirm active Nevada license classifications, bond status, monetary limits, and public license standing.
- 02Nevada State Contractors Board (nscb.nv.gov)
Nevada State Contractors Board official portal (nscb.nv.gov)
Access homeowner resources, license lookup tools, and consumer protection guidance for Minden and Carson Valley projects.
- 03California CSLB (cslb.ca.gov)
CSLB online license check
Look up any California contractor by license number or business name to verify bonding and workers compensation insurance.
- 04California CSLB (cslb.ca.gov)
CSLB consumer protection resources
Official homeowner checklists, disaster recovery guidance, and tips for hiring a licensed general contractor.
- 05California CSLB (cslb.ca.gov)
CSLB complaint filing process
Step-by-step instructions for filing a formal complaint with the licensing board if you encounter poor workmanship or contract violations.
- 06California CSLB (cslb.ca.gov)
CSLB contracts and binding agreements guide
Statutory requirements for home improvement contracts, deposit limits, change orders, and three-day cancellation rights.
Unlicensed handyman warning
Why a handyman cannot do your structural work
By law, an unlicensed handyman is strictly limited to $500 for small repairs including both materials and labor combined, and has no state trade examination or licensing oversight.
Wake Construction gets regular calls from homeowners who hired a handyman for an addition, a foundation repair, or an electrical job and now need it fixed. Handymen bid on this work all the time. The law says they should not.
An unlicensed handyman is limited by law to $500 per job, including both materials and labor. Anything bigger than that, and anything structural, plumbing, or electrical, belongs to a licensed contractor.
A handyman passes no state trade examination, carries no contractor bond, and often has no workers compensation insurance. The skills get learned on your house, at your expense, and if someone is hurt on your property the liability can land on you.
| Qualification | Unlicensed handyman | Licensed general contractor (Wake Construction) |
|---|---|---|
| Statutory project limit | Limited by law to $500 total, including both materials and labor combined. | Licensed for complete residential and commercial structural, mechanical, and finish scopes. |
| Education | None required. | Documented trade qualification, building code mastery, and supervisory experience. |
| Training | On your project, at your financial and structural risk. | 40+ years in the building trade across foundations, framing, and custom builds. |
| State examination and certification | None. | Tested, background-checked, and certified by the state contractors licensing board. |
| Bonding and workers compensation | Unbonded and rarely insured for worker injuries on your property. | Active contractor license bond and workers compensation coverage verifiable online. |
| Contract and deposit rules | Frequently demands large upfront cash deposits without statutory contract protections. | Written contract itemizing scope, materials, schedule, and statutory deposit cap (never over 10% or $1,000). |
Field quality control report
Supplier accountability report: Art Glass Etc. Inc.
Gary Wake's documented field report on post-construction window defect inspection and supplier service accountability.
Before a family takes possession of a custom home, Wake Construction does a thorough final cleanup of every room, windows included. On one custom build, that cleanup revealed a serious product defect in the window units supplied by Art Glass Etc. Inc.
We clean every window from every manufacturer with the same procedure, and it has never caused a problem. We contacted Art Glass Etc. Inc. with the details, and their customer service promised a response the next day.
Several days passed with no call, so we contacted them again. The delay went on for more than a week. We eventually spoke with their field service representative out of the Sacramento area, and the defect was never resolved.
These were high-end architectural windows and doors that should never show glass defects during an ordinary cleaning. The company did not call back in a timely way, declined to inspect the job site, and insisted from the start that the defect was not their fault. We share this factual record so homeowners and other contractors can make informed decisions about their suppliers.
- Supplier
- Art Glass Etc. Inc. (Sacramento area field service)
- Inspection stage
- Final custom home post-construction window cleaning prior to homeowner possession
- Documented issue
- Window glass defect upon first cleaning using the standard procedure used across all window brands
- Vendor response
- Over a week of unreturned calls, refusal to inspect the job site, and denial of responsibility
- Our standard
- Wake Construction stands behind our workmanship and inspects every finished room before turnover. Explore our completed projects
Talk with Gary Wake
Have a question about a contract or a bid?
Gary Wake is happy to look over a scope of work, a foundation problem, or a contract clause and tell you what he sees, with no obligation. Call (775) 515-5649 or send a project inquiry.