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Updated almost 7 years ago on . Most recent reply

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Marian Smith
  • Real Estate Investor
  • Williamson County, TX
961
Votes |
1,855
Posts

Agree with my revised take on contractors?

Marian Smith
  • Real Estate Investor
  • Williamson County, TX
Posted
I pretty much have always used solo guys in rehabs thinking they had lower overhead so reasonable pricing and liking that I would get the same person each time. But I ha g have had some good experiences using larger locally run businesses the few times I used thee,m, too. After my last experience needing a 40 ft dead tree cut a fewfeet from my home, I am starting to rethink. One guy whose name I got off a RE investing facebook site came out and bid the job. Pretty high, I thought, so I got a couple more bids from larger companies with answeting sernNNMMNMBNMBMHH:vices, guys that bid jobg x /bn bnk bbs and the crew. High overhead I thought, but both came in substantially below the solo guy! n n n n n n ;b N n dmfg /** m So my new “theory“n is that smaller operators size you up and try to bid what they think you will pay...especially in a hot market with a demand for all kinds of services. Larger operators can”t afford to gamble with the job because they have higher sunk costs in crew, trucks, estmators and answeing services and they just follow their business plan...bidding a job at what they n eed to pay overhead and make a reasonable profit. This is anecdotal after also getting an absurdly high bid on some framing and drywall. its the only thing that makes sense to me. Orher experiences? Thanks.

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