Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 16%
$32.50 /mo
$390 billed annualy
MONTHLY
$39 /mo
billed monthly
7 day free trial. Cancel anytime
Contractors
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 2 years ago on . Most recent reply

User Stats

264
Posts
67
Votes
Wendy S.
  • Ellenwood, GA
67
Votes |
264
Posts

Paying contractor deposit on Labor

Wendy S.
  • Ellenwood, GA
Posted

Good day, I know this topic has been discussed numerous times so I may be venting or just tired that contractors believe they should get significant deposits on labor.

For projects under $50,000, with the owner paying for the materials sourced by the contractor, how much is a reasonable deposit on labor for the job to get started?

Contractors have more leverage as they can put a lien against your property for valid work done. So it's a no brainer for the owner to pay them.

What do owners have? The potential of a pyrrhic victory?

Looking at a job for $28,000.

Contractor wants $8,000 deposit for labor.

Another for $38,000 labor only

Labor request deposit $15,000???

Most Popular Reply

User Stats

1,240
Posts
3,065
Votes
Terrell Garren
  • Rental Property Investor
  • Concord, NC
3,065
Votes |
1,240
Posts
Terrell Garren
  • Rental Property Investor
  • Concord, NC
Replied

I've been paying contractors for decades. Never made a deposit on labor. 

Good contractors are not cheap. Cheap contractors are not good. 

Loading replies...