The remodel mistakes homeowners regret most, and how to avoid each one

How common is remodel regret?

It's very common. In a survey of 1,000 homeowners by a real estate research firm, 74% of people who had remodeled said they regretted something about it. That included 24% who regretted spending too much money and 22% who said the project took too long. Paying with credit made it worse. Among homeowners who used credit to fund a renovation, 73% had regrets, and in the same survey 36% said they struggled to pay their credit card bill after funding their remodel.

Cost and schedule regrets get most of the attention. Several of the paperwork mistakes below can surface long after the job is done, sometimes not until you sell the house.

Mistake 1: Hiring someone who can't legally do the job

Since January 1, 2025, California has required a CSLB contractor license for any project worth $1,000 or more, counting labor and materials together. Assembly Bill 2622 raised that limit from $500, and some older pamphlets and websites still show the old number. Add up labor and materials. If the total is $1,000 or more, the person doing the work needs a license.

How to avoid it:

• Look the license up at cslb.ca.gov/LicenseCheck. It shows license status, bond, workers' compensation insurance, and pending or prior legal actions.
• Ask to see the pocket license and a current photo ID.
• Check that the license number appears on the ads and the contract. California requires it.
• Walk away from door-to-door offers and high-pressure pitches.

If an unlicensed worker does cause losses, California treats the homeowner who hired them as a crime victim who is eligible for restitution. That remedy comes after the damage, though. The license check takes a few minutes.

Doing it yourself carries its own version of this regret. In one homeowner survey, almost two-thirds of people who took on DIY projects regretted it, and about a third of those paid a professional to redo the work.

Mistake 2: Paying a big deposit

California caps the down payment on a home improvement contract at $1,000 or 10% of the contract price, whichever is less. If a contractor asks for a third of the job before starting, that is over the limit. The exception is a contractor with a Blanket Performance and Payment Bond on file with CSLB, who can ask for the entire contract amount up front. If someone cites that bond, confirm it with CSLB before you pay.

Every payment after the deposit has to be clearly listed in the contract. If the schedule just says "balance due as work progresses," ask for real amounts tied to real milestones.

Mistake 3: Signing a contract that leaves things out

"That's not what we agreed" usually means it was never written down. CSLB says a home improvement contract should spell out the work, the price, when payments are due, who gets the building permits, and when the job will be finished. It must name the contractor and give their address and license number. A good contract also carries notices about your right to cancel, mechanics liens and allowable delays.

The small details count too. CSLB suggests listing sizes, colors, who does which part of the work, quantities of materials and manufacturer model numbers. If the tile or the faucet is described as "standard" or "TBD," pin it down before you sign. And if someone promises you something verbally, get it into the contract.

Mistake 4: Approving changes in conversation

Costs creep when changes happen on the fly. Under CSLB rules, any change in price or scope has to go through a written change order, signed by you and the contractor before the change is made. The change order then becomes part of the contract. CSLB's sample contract says it should describe the extra work, the cost added or subtracted, and how it affects the schedule of progress payments.

A quick "sure, move the outlet" in the hallway can turn into a charge you never saw coming. Ask for the change order and read the number before you sign it.

Mistake 5: Signing before you've slept on it

If you sign a home improvement contract anywhere other than the contractor's place of business, you generally get a three-day right to cancel (contracts under $25 are the exception). The contractor has to give you information about that right. To cancel, you send the contractor written notice that you don't intend to be bound by the contract.

Service and repair contracts work differently. The three-day right ends the moment you sign and the contractor starts working. Keep that in mind after a leak, when it's tempting to sign the first thing put in front of you. CSLB's advice is not to rush into repairs or cleanup, no matter how badly they're needed. Get the water stopped, then take the time to read what you're signing.

Mistake 6: Assuming everyone got paid because you paid the contractor

Paying your contractor doesn't guarantee the subcontractors and suppliers were paid. Any of them who goes unpaid can file a lien on your property, even if your own payments were made in full.

The protection is a lien release. As you make payments, ask for releases from the subcontractors and suppliers on that part of the job, and check which kind you're getting. A conditional release is only binding if there's evidence the claimant was actually paid, so keep the proof of payment that goes with it.

Mistake 7: Skipping the permit

Dana Point requires permits for almost all construction, including kitchen and bathroom renovations, deck and guardrail repairs and replacements, additions, and work that changes the structural components of the house. The exemptions are narrow. A one-story detached tool shed or playhouse of 120 square feet or less is one example.

The bill for skipping a permit often shows up when you sell. Under California Civil Code section 1102, sellers must disclose known unpermitted additions or alterations on the Transfer Disclosure Statement. It doesn't matter whether you did the work or a previous owner did. Checking "no" when you know about unpermitted work can lead to lawsuits long after the sale closes.

Your contract should say who is responsible for permits. On our projects, Carrieri Construction handles the city permits.

Planning a remodel in South Orange County?

Carrieri Construction is a family-owned general contractor based in Dana Point, licensed under CSLB #1138940. We work in Dana Point, Laguna Niguel, San Clemente, Laguna Beach, Aliso Viejo and Irvine. If you're planning a remodel, call (858) 776-6692 or request a quote.