Foundation Repair GuideFree, source-cited foundation information

How to Hire a Foundation Repair Contractor: A Checklist Based on FTC Guidance

Last reviewed October 28, 2026 · 3 sources cited

The most expensive mistakes in foundation work happen before the first pier goes in: accepting a diagnosis from someone who profits from the repair, signing a vague contract, or paying too much up front. This checklist uses the Federal Trade Commission's contractor guidance and adds foundation-specific points.

Before you call anyone

Finding and vetting contractors

  • Ask friends, neighbors and co-workers who have used contractors, and check ratings sites you trust. Search the company's name with terms like "scam" or "complaint." The FTC advises looking for an established firm with a track record.[1]
  • Verify the license. Many, but not all, states require contractors to be licensed or bonded; confirm requirements with your local building department or consumer agency, and make sure any license is current.[1] The FTC also advises asking for proof of insurance.[2]
  • Ask for current certificates for liability, workers' compensation and property damage insurance, and confirm that subcontractors are insured and licensed.[1]
  • Ask how many similar projects they completed in the past year, and request at least three recent references; ask about on-time completion, unexpected costs and cleanup.[1]

Bids

The FTC advises getting written estimates from several firms and asking why prices differ; the lowest bid is not necessarily the best.[1] For foundation work, make sure bids are for the same scope: number and location of piers or injection points, depth, lift target, restoration, engineering and permits. See what foundation repair costs.

Foundation-specific questions

The full list is on questions to ask a foundation contractor. The essentials:

  • Who designed the repair, and is it stamped by a licensed engineer?
  • What caused the problem, and how does the proposal address the cause?
  • How will you verify the result? The ASCE Texas Section guidelines recommend post-remediation floor elevation measurements and say remedial measures cannot achieve perfection and their limits should be stated.[3]
  • Will you test plumbing after lifting? The guidelines advise testing water, sewer and gas lines.[3]

The contract, payment and permits

See contracts, warranties and permits for the details. In short: get everything in writing, limit the down payment, tie payments to milestones, make sure the contractor obtains permits, and collect lien waivers before final payment.[1][2]

Walk-away signs

The FTC lists contractors who show up unsolicited claiming to be "in the area," pressure to decide immediately, requests for full payment up front or cash only, and requests that you obtain the permits yourself as warning signs.[2] See foundation repair scams and red flags.

Common questions

How do I check a foundation contractor's license?

Requirements vary by state. The FTC advises confirming licensing requirements with your local building department or consumer agency and checking that any license is current.[1]

Should I use the first company that inspects my foundation?

Not without comparing. The FTC advises getting several written estimates and asking why prices differ.[1] Consider an independent engineer for the diagnosis.

How much deposit is reasonable?

The FTC advises limiting the down payment, noting some states restrict how much a contractor can request, and tying payments to completed milestones.[1]

Sources

Figures and claims marked with a number come from these sources. Dates are the publication or last-update dates shown by the publisher, where one was shown. Older sources are flagged in the text.

  1. Hiring a Contractor. Federal Trade Commission, Consumer Information; March 2014.2014 publication. Cancellation-right and licensing rules vary by state.
  2. How To Avoid a Home Improvement Scam. Federal Trade Commission, Consumer Advice; dated July 2022, page modified December 10, 2025.
  3. Guidelines for the Evaluation and Repair of Residential Foundations, Version 1. Texas Section, American Society of Civil Engineers; adopted October 3, 2002, effective January 1, 2003.Written for Texas conditions and by its own terms not a standard of care. Widely used as a reference for slab and pier-and-beam evaluation. Published in 2002.