How to Choose a General Contractor for Your Home

Start with the right check for your state. Florida licenses general, building and residential contractors through DBPR, so verify the license and its class. Texas has no state general contractor license, so check city registration where it exists, references and permits. In both states, get a written contract and understand the lien rules before you pay.

Key facts

Texas abolished its Texas Residential Construction Commission in 2009, when House Bill 2295 failed to pass.
Houston says a general contractor's license is not required for the structural portion of work, though mechanical, electrical and plumbing work must be done by licensed people.
Texas law requires a homeowner to reserve 10 percent of the contract price during the work and for 30 days after it is completed.
Texas requires the original contractor to give the owner a Know Your Rights and Responsibilities disclosure before a residential construction contract is signed.
Florida licenses general contractors, building contractors and residential contractors, each with a different scope of work.
Florida requires direct contracts for improvements to homes of up to four units, above a statutory threshold, to include a construction lien warning.
Florida's recovery fund for homeowners covers only violations committed by a licensee.

How are contractors licensed in Texas and Florida?

Texas has no state license for general or residential contractors. The state's Residential Construction Commission was abolished in 2009 (Sunset Commission). Some Texas cities register contractors instead. San Antonio, for example, requires residential building contractors to register, carry insurance and pass an FBI background check (City of San Antonio).

Florida licenses contractors by class. A general contractor's scope is unlimited. A building contractor is limited to buildings of up to three stories, or to non-structural remodeling of any size building. A residential contractor is limited to one- to three-family homes of up to two habitable stories (Florida Statutes 489.105).

What must a Texas construction contract include?

Before a residential construction contract is signed, the contractor must give you a Know Your Rights and Responsibilities disclosure (Property Code 53.255). It tells you to verify references and to get a written agreement that describes the work, the timeline, the cost and how payment works.

Texas also requires you to hold back 10 percent of the contract price while work is underway and for 30 days after it's done (Property Code 53.101). That reserve protects you against liens from unpaid subcontractors and suppliers.

How do Florida's lien laws protect you?

Florida requires direct contracts for home improvements above a set threshold to carry a construction lien warning (Florida Statutes 713.015). It explains that unpaid subcontractors and suppliers can claim against your property even if you paid your contractor in full, and advises requiring written lien releases from anyone who sent you a Notice to Owner before you pay.

Why does hiring a licensed contractor matter in Florida?

Florida's Homeowners' Construction Recovery Fund can help homeowners recover certain losses, but only for violations committed by a licensee (Florida Statutes 489.141). Hiring an unlicensed contractor leaves that protection off the table. Search every contractor on the DBPR license search.

Who pulls the permit?

Usually the contractor. Homeowners can often pull their own permits for their own homes, but rules differ. Houston says a general contractor's license isn't required for structural work, but mechanical, electrical and plumbing work must be permitted and done by licensed people (Houston Permitting Center). The City of Miami limits owner-builder permits to owner-occupied one- and two-family homes and requires licensed contractors for roofing, electrical, mechanical, plumbing and gas (City of Miami).

How to choose a provider

In Florida, check the contractor's license and class on DBPR.
In Texas, ask whether your city registers contractors and confirm the registration.
Get and check references for projects like yours.
Get a written contract with scope, timeline, cost and payment schedule.
Confirm who pulls the permits and that licensed trades will do electrical, plumbing and HVAC work.
In Texas, hold back the 10 percent statutory reserve until 30 days after completion.
In Florida, collect lien releases from anyone who sent you a Notice to Owner before paying.
Never pay the full price up front.

General and residential contractors guides by state and city

Questions people ask

Does Texas license general contractors?

No. Texas has no state license for general or residential contractors. Some cities, such as San Antonio, require contractor registration.

What license should a Florida remodeler have?

A general, building or residential contractor license that covers the scope of your job. Check the license and class on DBPR.

How much should I hold back in Texas?

Texas law requires owners to reserve 10 percent of the contract price during the work and for 30 days after completion.

What is the Texas Know Your Rights disclosure?

A statement the contractor must give you before you sign a residential construction contract, covering references, written contracts and payment.

Can a subcontractor put a lien on my Florida home?

Yes. Florida's required contract notice explains that unpaid subcontractors and suppliers may claim against your property even if you paid your contractor in full.

Can I be my own contractor?

Often, for your own home, with limits. Florida's owner-builder exemption requires you to supervise the work and not sell or lease the home soon after.

Sources

This guide was written by our editorial team from the public sources listed above. It is general information, not legal advice; confirm licensing and terms directly with any provider.

How do you choose a general contractor for a home project?