Although many homeowners hire contractors based on the lowest estimate price, you may want to rethink that strategy. If it sounds too good to be true, it likely is. With the possibility of fly-by-night companies, uninsured workers, and substandard workmanship, it's important for you to ask a lot of questions, and thoroughly do your homework before hiring a contractor.

Below is a checklist of things to look for when hiring a contractor:

• Have they had a permanent, long term address and business numbers?
• Are they affiliated with industry organizations, the BBB, or have they received any special certifications in their field?
• Ask to see proof of insurance and be sure they are completely covered when working on your roof. Otherwise, you may be liable if one of their workers becomes injured on your property
• Make sure the company is financially secure. If they do not pay their vendors for your supplies, you may become liable for those costs
• Ask for references and check on their track record with the BBB and Consumer Affairs
• Insist on a detailed contract stating exactly what services will be done
• Ask about the companies supervision and quality control procedures
• Lastly, do you feel comfortable and confident in the company?
• Warranty - Do they provide their own warranty or any manufacturers warranties, and if so, make sure to know exactly what is covered and the length of the warranty