Portland’s downtown hotel crash and a nationwide crackdown on unlicensed contractors both hit homeowners, and we break down why. I saw hotels in Portland go from hundreds of millions to pocket change, and that cascade matters even if you’re only worried about a kitchen remodel. We riff on jaw-dropping numbers. The Royal Sonesta was bought for $108M in 2016 and resold for about $6.8M. Yeah, you heard that right. We talk about how hotel and commercial fire sales reshape downtown cores, and why those downtown problems eventually trickle into neighborhood housing markets. I give the bleak-but-useful view: commercial collapse can depress surrounding residential values and change who’s buying and how properties get repurposed.
Then we flip gears into contractor land. State contractor boards are finally doing the thing we’ve been nagging about: going after unlicensed, unbonded contractors who show up with a van, a pocket full of cash and zero paperwork. I walk you through the real risks of hiring an unlicensed contractor, from injuries to illegal decks to bad wiring. Then there’s the nightmare scenario where your homeowner’s policy won’t save you because suddenly you’re their employer. I share how to check a contractor’s license before you hand over a deposit, plus a brutal real-world story of a guy who paid cheap, got $200k of trash work, and doubled down on bad choices. We wrap with product recalls you shouldn’t ignore: wire grill brushes, gas patio heaters and knockoff kids’ gear. The takeaway? Spend a little more on a licensed and bonded crew, or pay a lot more later, literally and emotionally.
Takeaways:
- I can’t believe downtown hotels are selling for pennies on the dollar. We’re seeing 70–90% collapses that could trickle into residential housing markets.
- State contractor boards and NASCLA are running nationwide stings against unlicensed contractors. Nevada’s undercover ops exposed unlicensed bidders offering work up to $100k, and that’s just the tip of the iceberg.
- Hiring an unlicensed, unbonded contractor can make you the employer on the hook for injuries, and your homeowner’s insurance likely won’t cover that mess.
- Here’s how to check a contractor’s license: I call the state or local licensing agency, dig through service records, and judge how complaints were handled before handing over any deposit.
- I watched a homeowner pay $200,000 to an unlicensed crew, then need another $100,000 in repairs because of illegal decks, bad wiring and dangerous workmanship. It’s a textbook contractor scam story.
- Product recalls to know about: wire grill brushes, gas patio heaters and cheap knockoff kids’ gear are getting pulled for safety reasons. Don’t ignore them, or dinner might fight back.
Links referenced in this episode:
- U.S. Consumer Product Safety Commission recalls: www.cpsc.gov/Recalls
- Oregon CCB contractor license lookup: search.ccb.state.or.us/search
- NASCLA: www.nascla.org
- Around the House: aroundthehouseonline.com
Companies and organizations mentioned:
- Royal Sonesta
- Hotel Zags
- NASCLA (National Association of State Contractors Licensing Agencies)
- Oregon Construction Contractors Board (Oregon CCB)
- California Contractors State License Board (CSLB)
- U.S. Consumer Product Safety Commission (CPSC)
- Hillsborough County Sheriff’s Office
- San Luis Obispo County District Attorney
- Lithonia Lighting
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Information given on the Around the House Show should not be considered construction or design advice for your specific project, nor is it intended to replace consulting at your home or jobsite by a building professional. The views and opinions expressed by those interviewed on the podcast are those of the guests and do not necessarily reflect the views and opinions of the Around the House Show.