Anyone have a written contract for out of state GC’s?

[Gina Coleman]

I recently closed on my first property and it’s going to need a full rehab. My realtor recommended a GC he’s used in the past for his personal properties. I’m wanting to know there are specific things I should add into the contract before beginning the work, ie: terms, payments, timeline, etc. I don’t want to miss anything since I am out of state and will not be present weekly. Perhaps a template or current contract for anyone out of state that I could look at would be helpful! 

Thanks in advance!

[Jack Krusinski]

The GC should provide you with a contract. Here are the things I would recommend looking for in that contract. 

1. Scope of Work: Clearly define the tasks and responsibilities the contractor will undertake. I can't tell you how many times I have heard, "That was never in the bid." Put it in writing so there is no miscommunication. 

2. Payment Terms: Outline how and when payments will be made. There will be an initial deposit, progress payments tied to milestones, and a final payment upon project completion and satisfactory inspection.

3. Project Timeline: Specify the start and completion dates, including any deadlines for specific milestones. Include clauses for delays and how they will be managed.

4. Change Orders: Detail the process for handling any changes to the scope of work, including how they will be documented, approved, and the impact on the timeline and budget. This is a big one! Change orders will most likely happen! 

5. Permits: Clarify who is responsible for obtaining necessary permits! Contractors should do this, but to be safe, I would outline it in the contract. 

6. Termination Clause: If things don't work out, define the circumstances under which either party can terminate the contract.

7. Lien Waivers: Require the contractor to provide lien waivers from themselves and all subcontractors to prevent any future claims against the property.