Investor · Pasadena, MD · Member since 2015 · 52 posts · 20 votes
I've just begun rehabbing my first flip. It's my first time working with this contractor. We have a good repertoire so far and there's no reason for me to not trust him. I work full time but the property is close to my home and work.
My question is how often should I check in on the property to inspect the work and with the contractor to get updates, without becoming burdensome?
Ultimately, I know it's my property and I'm at the most risk, so it's my responsibility to oversee the project. However, I don't want to make it seem like I don't trust him to do his job. Any advice from fellow rehabbers or general contractors would be appreciated.
Real Estate Agent · Southington, CT · Member since 2008 · 5k+ posts · 3k+ votes
10y
What I do is go to the house everyday after the contractors have been working there and see what they have gotten done.
If what they have completed does not match your expectations in terms of production or quality be sure to have that conversation right away. Do not put that conversation off.
I do not go there while they are working unless they contact me with a specific question while they are working that they need answered for the work to move forward.
Real Estate Agent · Southington, CT · Member since 2008 · 5k+ posts · 3k+ votes
10y
What I do is go to the house everyday after the contractors have been working there and see what they have gotten done.
If what they have completed does not match your expectations in terms of production or quality be sure to have that conversation right away. Do not put that conversation off.
I do not go there while they are working unless they contact me with a specific question while they are working that they need answered for the work to move forward.
Real Estate Agent · Las Vegas, NV · Member since 2015 · 2k+ posts · 1k+ votes
10y
i would check everyday to gauge progress,catch mistakes.This way you know if you are on time and budget,the matierals are there and to correct any mistakes in the early phases
If this is the first time you work with this contractor, I would recommend checking the work everyday at the end of the day. I love to talk to the GC, and let the GC walk me around and tell me the progress. This is also a good time for bonding. :) Bring a six-pack, chill with those guys (the GC and the workers), and they will take care your house better. If you have a project plan from the contractor, you can use that to check on their progress too. (if you don't have a project plan, you might want to consider having one, especially if the project is time bound).
However, one of my problem when I visit the house too often, I tend to make change requests. This is bad, and I don't recommend it. Not only it might delay your completion date, it will give the contractor a chance to easily add 20% more to your initial project cost.
Investor · Princeton, TX · Member since 2014 · 1k+ posts · 1k+ votes
10y
I agree with everyone EVERY DAY is probably the best practice. Normally the visit is done at the same time every day.
You might also want go there to ok any major deliveries before the materials are you used. Don't expect things to look exactly like how they will finished but... watch for wrong color and pattern of Brick, Shingles, Siding, Carpet, Tile, Paint.
REALTOR® · Brockport, NY · Member since 2015 · 3k+ posts · 4k+ votes
10y
@Donny Widjaja brings up a great point about change requests. In many industries it almost instantly makes the people doing the work throw their hands up and lose all sorts of motivation. I know it works that way in computer software development. What the person making the change sees is "just a little adjustment" but someone with intimate knowledge of how it all goes together can see a host of things that touch it. They did all the plumbing and electrical behind the wall and then the decision to move the vanity over 36 inches. Rip out the drywall, put some funky connectors to piece it together, call the electrician back out, have drainage problems in the future.....
Investor · Pasadena, MD · Member since 2015 · 52 posts · 20 votes
10y
Thanks for the great feedback gentlemen! This makes a lot of sense. We do have a general timeline broken out into three phases for the project, along with a deadline for completion. I'll start to check in on the property daily to make sure work is being completed in a timely manner and ensure quality is up to my expectations.
@Donny Widjaja I really enjoy the rehab process and I think it's a great idea to take some time to bond with the team.
Appraiser · Des Moines, IA · Member since 2015 · 25 posts · 9 votes
10y
There is no way you should have to check on you gc everyday and if so you need a new one. Not only does it show a trust issue but is a waste of your time you can spend doing more important things like setting up more deals. I understand the worry at first so maybe swing by on a weekend or something at first. But after you she the quaility and decision making you will know. 3 times per flip is the right way to do it. One to set up walk through go over plans and budget, 2nd inspection at 50% done and for a draw, and 3rd final walk through to make sure everything is done right to pass inspection. I flip one every month and this is the best way for both sides. And if you have a trust issue up front ditch him right away and find someone with integrity for the job. Be very careful anyone can say they know how to do the work see it all the time and results are bad and poor desicions are made. Best way to avoid this is find someone who takes pride in there work and ask to see a portfoilo, most who do will have one. Good luck!
Contractor · Los Angeles, CA · Member since 2015 · 4k+ posts · 1k+ votes
10y
I like what Mike Cumbie and Jerry Houk wrote, telling contractors how to do their job only slows everyone down, give a weekly or overall goal and that's it. If you have enough scope and material finish list, make your write-ups really clear, you shouldn't have any problems with it. Couple pictures at the end of the day should suffice. Most of my commercial clients after award and walk through don't see me until punchlist time, and they never see me after it is done, I'll just send them a couple of pictures then that is it. This happens not because they trust me, but because they gave me enough information that I could work with and if there is conflicting or missing info, I ask ON PAPER or EMAIL, not over the phone (text messaging them is not allowed). Daily management is your contractor's job, not yours, unless it is a GC that is described as "three men with truck and tools" and advertises on craigslist, then maybe, it needs to be visited per day.
Real Estate Investor · Opa Locka, FL · Member since 2015 · 15 posts · 0 votes
10y
Ding. Ding. Ding. Right on John Houk. Making daily visits is a wait of time. 3 visits s/b the goal. But I say once when u 1st look to see if is a deal. Once with your contractor/sub-contractor. And a 3rd to do a final inspection before paying the final draw.
Solution: Have contractor sign agreement to take pics wkly and submit them wkly w/an invoice early in the wk.(Tues.) to allow time to get draw from lender to pay contractor by Fri. Check the pics and invoice (of ea. wall in ea. rm. even if work's not being done it) in the comfort of your home.