How to approach contractor hires when flipping

[Spence Kal]

Hi BP community, I’m working on my first flip and wondering how much I should disclose about what I’m doing. Everyone so far asks what I’m planning on doing with the house, and I’ve been telling contractors that I’m not sure yet, maybe renting out or selling. Should I be upfront and just say I’m flipping a house? I hesitate to do that because they might raise their price if they think I’m making money off it. Do you guys tell all your contractors if they ask?

[Aaron K.]

Yes be honest, contractors are not stupid, nobody rehabs a trashed house just for kicks with no hope of either getting a deal or making a profit.