Renovation Due Diligence

Bathroom Renovator Red Flags: What to Watch For Before You Sign Anything

Every year, Australian homeowners hand over deposits to tradies who aren’t licenced, aren’t insured, or just aren’t good enough to be doing the work. Most of them had no idea until it was too late.

Before You Sign Anything

Bathroom renovations aren’t a DIY trade you can pick up off YouTube. They involve plumbing, waterproofing, tiling, electrical — and depending on the scope of the job, multiple licences from different regulatory bodies. That doesn’t stop some operators from skipping the paperwork and taking your money anyway.

The frustrating part is that you often can’t tell from a quote. A dodgy operator looks almost identical to a legitimate one until the job is done and the defects start appearing. And with bathroom work — particularly waterproofing failures — those defects can take twelve months or more to surface. By then, the tradie is long gone.

Bathroom renovation is a licenced trade across Australia. That means the person doing the work — not just quoting — needs the right credentials for your state. If you’re not sure what to look for, our contractor licensing guide covers what’s required and how to verify it. But before you get to that, here’s what to watch for in the tradies you’re considering.

The Red Flags Worth Taking Seriously

Not every warning sign means you’re dealing with a crook — sometimes it’s just poor organisation. But poor organisation in a licenced tradie is still a problem when they’re managing a multi-thousand-dollar renovation in your home. These are the things that should at minimum slow you down before signing.

1. They won’t give you their licence number

A licenced renovator has a number. It’s on their paperwork, it’s on their ute, and when you ask for it they don’t hesitate — because they’ve given it out a hundred times. If your quote shows up with no mention of a licence, or you ask and suddenly get vague about it, stop. You can verify a licence through your state building authority in under five minutes. Any resistance to that process tells you everything. See what licences your renovator must hold.

2. The quote is verbal, or so vague it’s basically verbal

A quote should tell you what’s happening, where, with what materials, and by whom. If you receive a quote that says “bathroom renovation — supply and install” with a lump sum figure underneath, that is not a quote — it’s a number on paper. A legitimate renovator itemises: demo and disposal, waterproofing system and product, tiling (including area and tile rate), fixtures, plumbing rough-in and fit-off, any subcontractors involved. Vague quotes are how costs blow out without accountability.

3. Waterproofing barely gets a mention

Waterproofing is the most consequential part of a bathroom renovation. It’s what sits between your wet area and your subfloor, your walls, your joists. Done wrong — or skipped — the damage doesn’t show up immediately. You might get two years before the mould appears in the ceiling below, or the tiles start cracking. Under AS 3740, waterproofing in wet areas isn’t optional — it’s a mandatory standard. A renovator who doesn’t mention their membrane system in the quote, or gives you a vague “fully waterproofed” assurance with no specifics, isn’t treating it seriously. And waterproofing shortcuts are more common than most homeowners realise.

4. The quote is noticeably cheaper than the others — not slightly, noticeably

Bathroom renovation pricing has a floor. Materials cost what they cost, licenced labour costs what it costs, and compliance work takes the time it takes. When a quote comes in 25–35% below the others, something is usually missing — either a trade that’s been assumed, a product that’s been substituted, or compliance work that isn’t planned at all. Cheap can sometimes mean efficient. At that gap, it usually means something else.

5. A large deposit is required before work begins

Deposits are standard practice. Fifty per cent upfront is not unusual on smaller jobs. But any request for more than fifty per cent before a tool hits your bathroom warrants scrutiny — and a request for the full project cost in advance is a red flag regardless of how confident the tradie seems. A reasonable payment schedule ties milestones to payments. Full payment before completion gives the operator no reason to return.

6. Evasive answers when you ask about timelines or subcontractors

Who’s actually doing the waterproofing? Is that the same person doing the tiling? Do they have a regular plumber they use, or are they ringing around? If the renovator can’t answer basic questions about their own project schedule and crew without getting cagey, that’s a sign of either disorganisation or concealment. Both are problems. You’re entitled to know who is working in your home.

7. No mention of Home Building Compensation coverage

In NSW, licenced contractors carrying out residential building work above a certain value are required to hold Home Building Compensation (HBC) insurance — formerly known as Home Warranty Insurance. If something goes wrong and the contractor can’t complete the work, or becomes insolvent, HBC is your safety net. A renovator who doesn’t mention it and hasn’t included a certificate of insurance with their quote either doesn’t have it or doesn’t think it matters. Neither is good. For NSW projects, confirm coverage before you sign anything.

8. You can’t find a single recent bathroom job they’ve completed

Everyone has to start somewhere, but a bathroom renovator quoting you a $20,000 job should be able to show you at least three completed projects. Photos, a reference you can call, a suburb and year. If their portfolio is limited to renders and stock photography, or the completed jobs they can show you are from five years ago, push for more. A renovator doing good work regularly doesn’t have trouble producing evidence of it.

9. They push back when you raise permits or compliance certificates

Not all bathroom renovation work requires a formal building permit — but some does, and a renovator should know exactly which parts of your job trigger that threshold. If you ask about permits and the response is dismissive — “nah, bathrooms don’t need that” or “we don’t bother with that for small jobs” — take it seriously. Work done without required permits can create issues when you sell, and non-compliant installations under the NCC can be costly to rectify. A competent renovator isn’t annoyed by compliance questions. They’ve answered them before.

10. The communication changes once you show serious interest

A good sign early in the process — they were responsive, detailed, followed up promptly. Then you say you’re interested and suddenly you’re chasing them. Slow follow-through after a positive first impression is one of the more reliable signals that the quality you saw up front won’t extend to the actual project. How a renovator communicates when they want the job is the best version of how they’ll communicate when they have it.

Important: Hiring an unlicensed contractor for bathroom renovation work can void your home insurance, leave you with no legal recourse if the work fails, and create costly compliance issues when you come to sell. In NSW, complaints about unlicensed traders can be reported to NSW Fair Trading. ACT residents can contact Access Canberra.

What a Good Renovator Actually Looks Like

There’s no checklist for it, exactly — it’s more of a feel you get in the first conversation. They ask about your subfloor type before they quote. They tell you which membrane system they’re planning before you ask. They give you a start date and a realistic completion window and don’t hedge both ends of it.

When you ask for their licence number they hand it over like it’s nothing, because it is nothing — they’ve done it a hundred times. They have a plumber they work with regularly and a tiler whose work you can go and look at.

The written quote is specific enough that if something goes wrong, there’s no ambiguity about whose scope it falls under. And when you ask a question they don’t immediately know the answer to, they find out rather than guessing.

That’s not a high bar. But it’s genuinely rarer than it should be.

Our Standards: If you want to understand how we vet the specialists in our network — what we actually check — our vetting standards page explains the process.

Five Questions Worth Asking Before You Commit

Ask these before you hand over a deposit. A legitimate renovator will take them in their stride.

Question 1

Can I have your licence number to verify independently?

You can check a building licence through your state authority — NSW Fair Trading, the VBA in Victoria, QBCC in Queensland. Takes a few minutes. Any renovator who hesitates when you ask this question is giving you your answer.

Question 2

What waterproofing system are you using, and does it meet AS 3740?

The answer should be specific — a product name, a membrane type, the areas being treated, and confirmation of the standard. “Fully waterproofed” is not an answer.

Question 3

Is the quote itemised, and does it include all trades?

Find out whether plumbing and electrical are included or assumed. Ask who’s doing each trade. A quote that lists individual line items gives you a basis for comparison and a clear record if something ends up out of scope.

Question 4

What’s the defects liability period, and is that in the contract?

Under Australian consumer law, work needs to be done with due care and skill. But having a written defects period — typically six to twelve months — gives you clearer grounds to come back if something fails.

Question 5

Are you covered by Home Building Compensation insurance for this project?

For NSW projects above the threshold, ask for the certificate before signing. In other states, ask about equivalent warranty insurance. The answer — and how readily they provide documentation — tells you a lot. Learn more about HBC insurance.

Skip the guesswork.

Our network includes only licenced, insured specialists — pre-vetted so you don’t have to start from scratch.

Licenced
All Trades
AS 3740
Compliant
HBC
Insured Work
NSW & ACT
Coverage

Frequently Asked Questions

Go to the NSW Fair Trading licence check at the Service NSW website and search by the renovator’s name or business name. You’ll be able to see whether their licence is current, what it covers, and whether any disciplinary action has been recorded. Do this before you pay any deposit — it takes about two minutes and is free.

Practically speaking, the insurance protections that apply to licenced building work don’t apply. If the work is defective and the contractor disappears or disputes liability, you’ll be dealing with a civil matter rather than a regulated complaint process. There’s also a risk that the work fails inspection when you sell or refinance — and rectification costs sit with you, not the person who did the job.

It depends on three things: whether there’s a written contract, whether the renovator holds the right licence and insurance, and what the defect actually is. If the contractor is licenced and insured, you have access to formal complaint processes through your state regulator and potentially Home Building Compensation in NSW. If they’re not — you’re looking at consumer tribunals like NCAT or QCAT, which take time.

At minimum: a description of all works by trade (demolition, waterproofing, tiling, plumbing, electrical if applicable), a list of materials and finishes being supplied, the waterproofing product and standard, any compliance certificates that will be provided on completion, a project timeline, and a payment schedule tied to milestones. If the quote doesn’t include all of these, ask for them before signing.

Not always — but suspiciously cheap usually means something’s been excluded rather than efficiently delivered. The main areas where cost gets cut are waterproofing quality, tile substrate preparation, and compliance work. These are also the areas where defects are most expensive to fix. If one quote comes in significantly below the others, ask specifically what’s different about their waterproofing spec and material selections.

Waterproofing failure — by some margin. The problem is that it often doesn’t show up quickly. Moisture works its way through an inadequate membrane slowly, and by the time you see staining, mould, or tile movement, the damage to the subfloor or wall cavity is already significant. This is why AS 3740 compliance matters, and why vague assurances about waterproofing on a quote should concern you.