How to Read a Roofing Contract Before You Sign
A roofing contract is one of the largest agreements many homeowners ever sign. Here's exactly what should be in it — and the red flags that mean you should walk away.
Before signing a roofing contract, you should be able to answer one question: what exactly am I paying for, and what happens if something goes wrong?
Most homeowners can’t, because most roofing contracts are designed to be vague. Here’s how to read one carefully — and what should be in there before you put your name on it.
What a complete roofing contract includes
1. Contractor information
- Full legal business name
- Physical business address (not a PO box)
- Phone number
- License number (NJ requires HIC registration for most exterior work)
- Insurance information (general liability + workers’ comp)
If any of these is missing or vague, stop and get clarity before going further.
2. Project scope
A clear, detailed description of the work, not just “new roof.” Specifically:
- Tear-off (yes or no, how many layers)
- Disposal of old material
- Decking inspection and replacement
- New underlayment (specify type)
- Ice and water shield (specify locations)
- Drip edge installation
- Flashing (new or reused)
- Shingle brand, model, and color
- Ridge venting and other ventilation work
- Starter strip and ridge cap shingles
- Cleanup
- Magnetic nail roller pass
If any of these is missing, the contractor may either skip it or charge extra later.
3. Materials specification
- Manufacturer
- Product name (e.g., “GAF Timberline HDZ in Charcoal”)
- Quantity (number of squares)
- Underlayment brand
- Ice and water shield brand
- Anything custom
Vague language like “premium shingles” is a red flag. Get specifics in writing.
4. Pricing breakdown
Not just a total. Look for line items:
- Materials cost
- Labor cost
- Disposal/dumpster fee
- Permit fees
- Per-sheet decking replacement cost (and what triggers it)
- Any additional services (chimney work, gutter work, etc.)
- Tax
A line-itemized contract protects you from “surprise” charges mid-project. A one-line “total: $X” contract gives the contractor room to add line items later.
5. Payment schedule
- Deposit amount (should be reasonable — typically 10–25%)
- Progress payments (if any)
- Final payment terms
- Acceptable payment methods
Red flag: Any contractor demanding more than 30% upfront, or requiring full payment before the work is done. Reputable contractors take a deposit, then collect the rest after completion.
6. Schedule
- Start date (or window)
- Estimated completion date
- What happens in case of weather delays
This isn’t a binding deadline — weather happens — but it sets expectations and gives you a reference point.
7. Warranty terms
- Manufacturer warranty (which tier — standard or enhanced?)
- Workmanship/craftsmanship warranty (length, coverage, transferability)
- What’s specifically excluded
- How to make a warranty claim
- Registration process
8. Permits
- Who pulls permits (the contractor should)
- Who pays for permits (usually the homeowner, but it’s negotiable)
- What inspections are required
- Who schedules them
In New Jersey, most roof replacements require a building permit. A contractor offering to skip the permit to “save money” is breaking the law and potentially voiding your insurance and home warranty.
9. Cleanup and protection
- Daily debris cleanup
- Tarping and protection of landscaping
- Magnetic nail sweeps
- Disposal of old materials
- Final walk-through
10. Change order procedures
What happens if something unexpected comes up — bad decking, hidden damage, weather delays. The contract should specify how changes are documented and approved.
11. Cancellation policy
NJ law generally gives consumers a 3-day right to cancel home improvement contracts signed at the home. The contract should reference this.
12. Signatures and date
Both parties sign and date. You should keep a fully signed copy.
Red flags to walk away from
”I need a deposit today to lock in this price”
High-pressure deposit tactics are a classic sign of either a fly-by-night operation or a contractor who knows their price won’t hold up to comparison.
Verbal agreements with no written contract
Never. Even if it’s a small repair, get it in writing. “Verbal contracts” are unenforceable when something goes wrong.
Storm-chaser door-knockers
After major storms, contractors from out of state often appear in damaged neighborhoods. Some are legitimate; many are not. Always verify a permanent local business address before signing anything.
”Cash only” or unusually large cash discounts
Cash is fine for small repairs. For a multi-thousand-dollar job, refusing to provide written documentation suggests tax evasion or a worse problem.
No license or insurance information on the contract
This is the #1 red flag. If a contractor isn’t licensed and insured, any worker injury or property damage on your job becomes your liability.
”We’ll find out the price after we start”
A real contract has a real price. “Time and materials” is fine for small repairs, but for a roof replacement, you need a fixed price with clearly defined exceptions.
Suspiciously low quotes
If three contractors quote $14,000–$18,000 and one quotes $7,000, the cheap one is doing one or more of these:
- Skipping ice and water shield
- Not replacing damaged decking
- Not pulling permits
- Not registering for the manufacturer warranty
- Cutting corners on ventilation
- Using sub-spec underlayment
- Not insured
The “savings” usually come back as problems within 5–10 years.
Pressure to sign immediately
Any contractor who won’t let you take 24 hours to read the contract isn’t a contractor you want to work with.
The right way to read a contract
- Take it home. Don’t sign on the spot.
- Read it twice — once for content, once for fine print.
- Check that everything verbal is also written. If they promised it but it’s not in the contract, it’s not real.
- Compare against quotes from other contractors. Are the line items similar?
- Search the company online. Look for reviews, BBB rating, complaints.
- Verify the license number on the NJ HIC database.
- Ask questions about anything you don’t understand.
If the contractor gets defensive when you ask questions, that’s your answer.
Our contracts
We provide detailed, line-itemized written contracts on every job — even small repairs. Every project includes scope, materials, pricing, schedule, warranty, and cancellation terms. You always have time to read and ask questions before signing.