Can a contractor in Virginia require a deposit before starting work?

In Virginia, a contractor can indeed require a deposit before starting work, and the guidelines stipulate specific limits on the amount. The correct answer states that the deposit must not exceed 10% of the total contract amount or $1,000, whichever is less. This regulation is in place to protect consumers from excessive upfront costs that may not be justified by the scope of the work.

This approach balances the needs of contractors to secure some form of commitment from clients while ensuring that homeowners are not overburdened with large deposits before any work has started. It fosters a fair business practice and helps build trust between contractors and clients.

While the other options suggest varying degrees of deposit enforcement or prohibition, they do not align with the regulations set forth in Virginia pertaining to home improvement contracts. This ensures that both parties adhere to fair contracting practices within the state’s legal framework.