Hello, I am a new investor interested in SFR and multi-family rentals. The part of finding a good deal I struggle the most with is determine what needs to be repaired and rehabbed to bring a property up to snuff and how much it costs. Does anyone know a reliable contractor with investor friendly pricing and who would come to a potential property and accurately quote what it would cost to rehab it?
Property Manager · Gilbert, AZ · Member since 2009 · 1k+ posts · 451 votes
10y
This is the part you will likely struggle with the most going forward! I hire new contractors every 3-6 months because the good ones disappear. Stay in touch maybe we can help each other!
Property Manager · Gilbert, AZ · Member since 2009 · 1k+ posts · 451 votes
10y
This is the part you will likely struggle with the most going forward! I hire new contractors every 3-6 months because the good ones disappear. Stay in touch maybe we can help each other!
Residential Real Estate Broker · Paso Robles, CA · Member since 2015 · 196 posts · 58 votes
10y
Hi Matthew,
Trusty contractors are something I'm always looking for... even if/when I already have 5 that I trust. PM if you want some recommendations. -Local broker
Queen Creek, AZ · Member since 2014 · 2k+ posts · 1k+ votes
10y
I have done several flips in the East Valley and would be willing to walk a property and give you my thoughts on it. We have done some very extensive rehabs. For rentals, depending on the neighborhood, the standards are usually quite a bit lower then a retail buyer would demand.
On lower end basic rent houses things need to be clean safe and functional. We have a friend with a rental in Mesa along the following lines- built in early 90's all the fixtures are polished brass vs the brushed nickel you see now. Tile is dated but he has it freshly painted and the carpet finally got to the point where he replaced it.
Beyond that hire an inspector to check all the major systems.
Note - Unless you find a smoking off market deal I would not expect to get a high cap rate in Phoenix right now. We are getting north of 10% on our midwest properties but not here in Phoenix.
Investor · Orange County, CA · Member since 2015 · 2k+ posts · 3k+ votes
10y
I'm in SoCal but invest in Phoenix. As such, I have some good realtor, contractor, PM, etc. contacts ... if they can help me from afar without leading me astray, they can likely help you local. Also, I'm selling off some of my rental portfolio and will be in town this weekend as such if you want to chat ... all retail priced turn-key SFRs, so not likely what you are looking for investment wise if you're asking about contractors, but am happy to talk shop anyhow.
Investor · Orange County, CA · Member since 2015 · 2k+ posts · 3k+ votes
10y
Just listing them, but fixed up pristine and will probably sell as a primary residence at full blown retail price because I can (that's one of many reasons why I love SFRs), so not likely what investors are looking for price-wise.
This is the part you will likely struggle with the most going forward! I hire new contractors every 3-6 months because the good ones disappear. Stay in touch maybe we can help each other!
I absolutely agree with Mr. Rosen.
The excellent contractor that I worked with for a few years was recently gobbled up by higher end Scottsdale flippers/investors. It is a sort of evolution where you hire and fire until you find one that provides quality work at a reasonable price.
The guy I hired and fired this week thought it best to simply paint over Teenage Mutant Ninja Turtle stickers rather than remove them (this was one of the more humorous problems I had with this worker).
I'm currently searching for: Tile Installer, Painter, Plumber and handyman for small repairs ...or a good contractor to handle the project.