Guide

Best practices when hiring a pro.

Hiring someone to work on your home can feel stressful. These are practical, neighbor-tested guidelines to protect your money, your timeline, and your peace of mind.

Deposits and payment terms

  • Small jobs (under $1,000): No deposit should be required. Payment on completion is standard.
  • Medium jobs ($1,000–$5,000): A 10–20% deposit is reasonable. Never pay more than 25% upfront.
  • Large jobs ($5,000+): A 10–25% deposit is normal, with additional draws tied to project milestones.
  • Final payment: Hold back the last 5–10% until you verify the work is complete and you are satisfied.
  • Avoid cash-only contractors: Pay by check or credit card so there is a paper trail if something goes wrong.

Verify their identity before work starts

  • Ask for a copy of a Texas driver license or state ID for the owner and anyone who will be on your property. Snap a photo or keep a printed copy with your contract.
  • Match the name on the ID to the name on the contract, the insurance certificate, and any license. They should all line up.
  • For larger crews, ask the owner to vouch in writing that workers on site are their employees or properly insured subcontractors.
  • A reputable pro will not be offended. Anyone who refuses to show ID is a hard no.
  • Privacy tip: when you store the photo, you can have them cover the DL number — name, photo, and address are what matter.

When you need a contract

  • Always get a written contract for jobs over $500. It should include the scope of work, materials, start and end dates, payment schedule, and warranty terms.
  • For large projects (roofing, pools, additions), the contract should include a detailed breakdown of costs and a change-order clause for extra work.
  • Get all promises in writing — verbal agreements are hard to enforce. Text and email count, but a signed document is best.
  • Make sure the contract includes the contractor’s license number and insurance information.

Need one fast? Use the fillable contract template below — fill it in on screen or print it blank and write it in by hand.

Insurance and licensing in Texas

Texas does not have a general contractor license. Only specific trades are licensed by the state — for everything else, the work is legal without a state license (though insurance still matters).

State license required

  • Electricians — TDLR. Verify at tdlr.texas.gov/LicenseSearch.
  • Plumbers — Texas State Board of Plumbing Examiners. Verify at tsbpe.texas.gov.
  • HVAC / Air conditioning & refrigeration — TDLR.
  • Irrigators (sprinkler systems) — TCEQ.
  • Well drillers and pump installers — TDLR.
  • On-site septic / wastewater — TCEQ.
  • Pest control — Texas Department of Agriculture.
  • Elevator and boiler work — TDLR.

No state license required

  • General contractors and remodelers
  • Handymen
  • Roofers (Texas does not license roofers; look for RCAT voluntary certification)
  • Painters
  • Landscapers and lawn care
  • Flooring, drywall, tile, carpentry, fencing, concrete
  • Tree trimmers (look for ISA-certified arborists)
  • Cleaning services

New Braunfels and Comal County may still require a permit for certain work even when no license is required — check with the city or county before starting structural, electrical, plumbing, or roofing jobs.

Always check insurance

  • Ask for a certificate of insurance showing general liability and, if they have employees, workers’ compensation.
  • Call the insurer directly to confirm the policy is active — certificates can be faked.
  • If a worker is injured on your property and the contractor is uninsured, your homeowner’s policy may be on the hook.

Red flags to watch for

Demands full payment upfront
Pressures you to sign today for a discount
Only accepts cash
No local address or references
Shows up unannounced after a storm
Asks you to pull the permit in your name
Price is dramatically lower than other bids
Won't put details in writing
Refuses to show a Texas ID
Cannot produce a current certificate of insurance

Neighbor tip

If something feels off, it probably is. The best contractors answer your questions, put things in writing, and do not rush you. Take your time, compare at least two bids, and never feel pressured to decide on the spot.

Fillable home services contract

Fill in the fields below, then click Print. This is a starting point for small-to-medium jobs — not legal advice. For large projects, have an attorney review.

Home Services Agreement

State of Texas — Comal County

Homeowner (Client)

Contractor

1. Scope of work

Describe the work in plain language. Be specific about materials, brands, colors, sizes, and what is not included.

2. Schedule

3. Price and payment schedule

Homeowner will hold back at least 5–10% until the work is complete, inspected, and any punch-list items are finished.

4. Change orders

Any changes to the scope, price, or schedule must be in writing and signed by both parties before the change is performed. Verbal change orders are not binding.

5. Permits, licensing, and insurance

  • Contractor will pull any required permits in the contractor’s name and provide copies to the homeowner.
  • Contractor confirms current general liability insurance and, if applicable, workers’ compensation, and will provide a certificate of insurance.
  • Contractor has provided a copy of a valid Texas driver license or state ID.

6. Warranty

7. Cleanup and damage

Contractor will keep the work area reasonably clean, haul off all job-related debris, and repair any damage caused by the contractor or crew to landscaping, finishes, or property.

8. Termination

Either party may terminate this agreement with written notice for material breach not cured within 7 days. Homeowner will pay only for work satisfactorily completed up to the termination date.

9. Additional terms

Homeowner signature

Printed name

Date

Contractor signature

Printed name

Date

This template is provided as a neighbor-to-neighbor convenience and is not legal advice. For projects over $10,000 or anything structural, have a Texas-licensed attorney review.