- Report: #90377
Complaint Review: Shirey Contracting - Issaquah Washington
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Shirey Contracting
230 NE Juniper St. Issaquah, 98027 Washington, U.S.A.
Phone:
425-427-1300
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Shirey Contracting, Shirey Handyman ripoff fraud liar Charged $16,000 for a Quote, no physical work, put lien on property, foreclosed on house, ripoff Issaquah Washington
We contracted with Shirey Contracting to remodel a very modest 2-bdr/1 ba house. We told the salesperson we had $50,000-$75,000 to spend. We told them we were new to the process. We received a sample contract to perform a design and feasibility study and it would cost 5-7% of total job. The next meeting we were persuaded to round up our budget to $100,000. The actual contract we signed was changed from 5-7% to 7-9% without mention. Summary: According to the contract a $100,000 remodel would cost $7,000 -$9,000 to design.
The company brought in a house designer who sketched out a concept that had very attractive features. Within 4-6 weeks he had plans suitable for the permit process. The permit was rejected due to a county code violation from a previous owner. The new design called for a wall surrounding the foundation and the addition of windows. This required an engineering study. The heath department found violations regarding an existing community well. Summary: Elements of the design and existing code violations made this project infeasible and prevented permits from being granted.
Even with two rejections from the permit organizations, Shirey continued to make product selections (i.e., flooring, tile, counter, sink, toilet, shower) without our participation for the project and sub contractors were invited to make bids for construction. Summary: Although performed without our knowledge, Shirey claims that we demanded only the best materials. (Both the salesperson and the interior designer are no longer with the company.)
On the day we were to receive our quote we had already been billed over $6,200. We sit down with our salesperson and she tells us that we would normally receive a book with samples, pictures and illustrations of the design elements we selected along with our quote. We received only a spreadsheet printout of the estimate for... ready... $176,000 (not including the cost of the design). I walked out of the meeting in disbelief. This house is under 1,000 sqft. The cost of the remodel exceeds the cost of new construction of a larger house in our region. Summary: We did not have $200,000 to spend on a remodel nor was it feasible to do so.
Three days later we get a new invoice for additional design fees for $7,800. We were to pay over $14,000 for a spreadsheet and blueprint (not certified by an architect) We expected to pay something for this design and quote, we did not expect to pay money for a house we did not contract for and could not possibly use. When we refused to pay the additional money for this ridiculous quote we were informed that they placed a lien on the property for the unpaid amount. We consulted a lawyer. The lawyer said that the law allows contractors to place liens on properties to recover for materials or worked performed, but they MUST provide you lien notification prior to contract signing. The law is specifically designed with this element to protect the consumer, but there is enough of a loophole to sneak through. The cost to debate this loophole in the law would cost much court time.
So we buy a modest home. Ask a local contractor to perform a remodel. They end up creating a remodel we cannot afford. They cannot obtain building permits. They run up our bill with ridiculous items and they charge us over $14,000 to do this. A qualified contractor would help you create a home and make money for performing real work. Apparently it is more profitable to sell infeasible designs and spreadsheets.
Summary:
Watch out for Shirey's design contract. There are no limits to how much money they can bill you. They call it "valued engineering", we call it a rip-off.
Drew
Fall City, Washington
U.S.A.
The company brought in a house designer who sketched out a concept that had very attractive features. Within 4-6 weeks he had plans suitable for the permit process. The permit was rejected due to a county code violation from a previous owner. The new design called for a wall surrounding the foundation and the addition of windows. This required an engineering study. The heath department found violations regarding an existing community well. Summary: Elements of the design and existing code violations made this project infeasible and prevented permits from being granted.
Even with two rejections from the permit organizations, Shirey continued to make product selections (i.e., flooring, tile, counter, sink, toilet, shower) without our participation for the project and sub contractors were invited to make bids for construction. Summary: Although performed without our knowledge, Shirey claims that we demanded only the best materials. (Both the salesperson and the interior designer are no longer with the company.)
On the day we were to receive our quote we had already been billed over $6,200. We sit down with our salesperson and she tells us that we would normally receive a book with samples, pictures and illustrations of the design elements we selected along with our quote. We received only a spreadsheet printout of the estimate for... ready... $176,000 (not including the cost of the design). I walked out of the meeting in disbelief. This house is under 1,000 sqft. The cost of the remodel exceeds the cost of new construction of a larger house in our region. Summary: We did not have $200,000 to spend on a remodel nor was it feasible to do so.
Three days later we get a new invoice for additional design fees for $7,800. We were to pay over $14,000 for a spreadsheet and blueprint (not certified by an architect) We expected to pay something for this design and quote, we did not expect to pay money for a house we did not contract for and could not possibly use. When we refused to pay the additional money for this ridiculous quote we were informed that they placed a lien on the property for the unpaid amount. We consulted a lawyer. The lawyer said that the law allows contractors to place liens on properties to recover for materials or worked performed, but they MUST provide you lien notification prior to contract signing. The law is specifically designed with this element to protect the consumer, but there is enough of a loophole to sneak through. The cost to debate this loophole in the law would cost much court time.
So we buy a modest home. Ask a local contractor to perform a remodel. They end up creating a remodel we cannot afford. They cannot obtain building permits. They run up our bill with ridiculous items and they charge us over $14,000 to do this. A qualified contractor would help you create a home and make money for performing real work. Apparently it is more profitable to sell infeasible designs and spreadsheets.
Summary:
Watch out for Shirey's design contract. There are no limits to how much money they can bill you. They call it "valued engineering", we call it a rip-off.
Drew
Fall City, Washington
U.S.A.
1 Updates & Rebuttals
Melinda
Seattle,Washington,
U.S.A.
Do your due dilligence
#2Consumer Suggestion
Wed, December 01, 2004
Shirey Contracting built our house in Seattle in 1992 and we recently hired Shirey Handyman Service to help us remodel a store. Our experience has been 100% positive and I'm sorry that Drew's did not turn out so well. Carefull reading of Drew's complaint hints that permit issues may be at the root of his problems: "The permit was rejected due to a county code violation from a previous owner. .... The heath department found violations regarding an existing community well. Summary: Elements of the design and existing code violations made this project infeasible and prevented permits from being granted." It sounds like Drew was either unaware of or did not inform the contractor of the two existing violations, the unpermitted work by the previous owner and the well problem. The property was red tagged, which means no permits could be issued until the problems were fixed. This is not the fault or responsibility of the contractor. It's not clear from Drew's comments, but I'm guessing that the cost of fixing these permit problems contributed to the project going over budget. When you are considering purchasing property, it's very important to make sure you know about any current liens, restrictions, violations, or other encumberances. In Washington State the seller is required to give the buyer a disclosure form listing any problems with the property. They buyer should also check with applicable agencies, check that the zoning allows the anticipated use, hire an independent inspector (don't depend on someone recommended by the real estate agent or seller), get a title report, investigate previous uses and potential for hazardous material, and possibly hire a real estate attorney to help with the deal. Be willing to walk away from your "dream" property if problems turn up. In this case, Drew may want to consult a real estate attorney to see if he has any recourse agaist the seller if the seller did not disclose that the property was red tagged prior to the sale. When I was looking for a building to lease for my new store, I found a location I thought was perfect. But while doing my due dilligence, I found several problems with the building that made me cautious. After investing weeks negotiating the lease and trying to work through the problems, the Lessor finally let slip that a bathroom had been added recently without any permits. The Lessor was not willing to pay to fix this and the other problems and I ended up walking away from the deal. The building still hasn't been leased. The moral is, in any real estate transaction, it pays to do your research. When working with a contractor, again, it pays to make sure you know ahead of time what you are getting into. A 7% to 9% fee for feasability studies and design is not unreasonable. An architect would charge 10% to 15%. Read contracts and make sure you understand them before signing. If you don't understand something, ask. Don't feel embarassed to request clarification. Don't sign until all your questions are answered. Do your own research if you need independent info. If you have a maximum budget, make that clear in the contract. Enforce discipline on *yourself* and the designer. It's very easy to get carried away adding everything on your wish list. Find out how much things will cost before you give the okay. Drew says "Shirey claims that we demanded only the best materials." Drew's unclear about what he did ask for. It's good to start with a maximum amount as Drew did. You need to be realistic about what work will fit within your budget. Before you even get to the point of hiring a contractor, you can get some ballpark figures using web research. For example, if you're remodeling a kitchen and you find some great ideas in Architectual Digest, you can check to see if they're feasible within your budget. Say you want fancy custom-built cabinets with granite slab countertops. You need x linear feet of cabinets and y square feet of countertop. You do some checking and find that your ballpark cost will be $30,000. Oops, your total budget is $50,000. Maybe you can find suitable cabinets at Ikea and use granite tile instead of granite slab. A competent designer or architect can help you figure out how to work within your budget if you're willing to be flexible. When I worked with engineers, they had a saying: Fast Cheap Good Pick two. If you want a project to turn out good and you want to pay a reasonable price, you have to put in the *time* to do your due dilligence, research your options, and invest in good communication. There really aren't any shortcuts. Yours, Melinda
