It is a good business practice to get 3 estimates that way you'll know if you are getting the best value for your money. You may want to consider painting your home and investing in some energy efficient things instead and receive an up to $1500 tax credit. You can learn about this at http://www.energystar.gov/taxcredits. Good Luck!
Please let me know if I can be of further assistance. Nancy Chambers GRI.CRS selling homes thruout southern NJ sice 1967, Broker/salesperson Weichert Realtors. i-sell-homes@msn.com; http://www.njhomes4u.com

Amy,

As you have found out by now, Siding, like almost anything else, comes in different styles, qualities, materials, etc.
The best idea, IN MY OPINION, is to first, choose the material (vinyl, stainless, cedar, etc). Then, call 3 or 4 contractors for an estimate. Demand, with their estimate, they give you three or more referrals they have done siding before. CALL THOSE REFERRALS. Don't discard the higher priced estimates, until you have contacted all the referrals for All the Contractors. Talk to everyone you know for anyone THEY know who has had siding installed.
We wanted a cedar deck put on. Had 3 estimates. $3200, $3800, and $4400. After talking to the Referrals, we chose the $4400, and never regretted it.
Sometimes the SIZE of the Contractor is a factor in the pricing. A large contractor may need a larger price since the "profit" has to be distributed to managers up the line. Smaller contractors might not have that overhead.
In NJ All Contractors MUST Be Licensed. Ensure the contractor you choose is Both Licensed & Insured. Some of the really smaller ones may be missing either or both of these requirements.
Hopefully this all helps.

Lawrence "Larry" Ludden L & F Real Estate, realtor0128@yahoo.com