What Is Home Repair Fraud?

Home repair fraud involves scammers posing as contractors or repair professionals to exploit homeowners. These scams often lead to unfinished, low-quality work or financial loss.

How Do They Work?

Scammers typically:

• Offer unsolicited services claiming urgent repairs are needed.
• Demand upfront payment but fail to complete the work.
• Use high-pressure tactics to secure quick commitments.
• Provide fake credentials or references to appear credible.

Examples of Home Repair Fraud

Home repair fraud targets homeowners, often exploiting their trust and urgency after natural disasters or emergencies. Below are common examples:

• Storm Damage Repair Scams: A door-to-door contractor claims your roof or siding has been damaged by a recent storm. They demand full payment upfront to start repairs but either disappear or perform substandard work, leaving the homeowner with more damage and additional costs.
• Driveway Paving Fraud: Scammers offer discounted driveway paving, claiming they have leftover materials from a nearby job. The work is poorly done or incomplete, and the homeowner is left with a driveway that requires further repairs and additional expenses.
• Roofing Scams: Fraudsters pose as roofing contractors, claiming they have leftover materials from another job and offer to complete the roofing work at a discounted price. They take the payment upfront but either never return to do the work or perform substandard roofing that leads to further damage and costly repairs.
• Unlicensed Electricians or Plumbers: Fraudsters pose as qualified professionals to offer electrical or plumbing repairs. They charge high fees but perform unsafe or substandard work, which often leads to costly repairs or hazardous conditions later on.
• Fake Inspection Claims: A scammer claims to be a building inspector and identifies supposed "code violations" that require immediate repairs. They then offer to fix these issues themselves, charging inflated fees and leaving behind substandard work.
• Foundation Repair Scams: Fraudsters scare homeowners by claiming their home has dangerous foundation issues. They charge hefty fees for repairs that either don’t exist or are not properly addressed, leading to further damage down the line.
• Prepayment for Supplies: Scammers request advance payment for materials needed for a repair job. Once paid, they fail to return to begin the work, leaving the homeowner out of pocket with no services rendered.

How to Avoid Home Repair Fraud

• Verify the contractor’s credentials and references.
• Get multiple quotes before committing to any work.
• Never pay the full amount upfront.
• Check online reviews and ratings for contractors.

Category

In-Person Scam