Do You Track Contractor Performance or Just Go Off Memory?

Question

Doing repeat BRRRR projects means reusing contractors a lot. How do you keep track of who's actually reliable across deals, who hits their bids, who's always late, who nickel-and-dimes? Spreadsheet? System? Memory? Trying to figure out if I'm the only one without a real system for this.

Amit Prasad · Answer

If you don't have a group chat with your GC, that's the first step. Trust takes time to build but you want to start everything the right way. We've learned a lot over the past few years and work with only 3 GCs for all our deals (for now). Break the scope into weeks and make sure you stay in communication and check in every day! Set expectations at the beginning. Good luck!

G. Brian Davis · Answer

Honestly, I think most investors start with memory and eventually realize that's not a system. A contractor who comes in on budget and on time is worth their weight in gold. I'd absolutely track bid vs. actual cost and timeline. After a few projects, the data usually tells a very different story than your recollection.

Ismael El Hamdouchi · Answer

@G. Brian Davis "The data tells a different story than your recollection" that's exactly the thing. Memory quietly edits out the guy who burned you if he was charming. Thanks for weighing in.

Ismael El Hamdouchi · Answer

@Denise Supplee Yeah, the four-column version (cost, time, communication, quality) seems to be what most people land on. Appreciate it.

Denise Supplee · Answer

You're definitely not the only one. Even a simple spreadsheet with notes on cost, timeliness, communication, and quality of work can be incredibly helpful. After a few projects, it's much easier to see who consistently delivers and who creates headaches.

JD Martin · Answer

I promise you I remember anyone who's ever screwed me over in this business, and I don't have a very good memory. It's a pretty short list. If you need a list to keep track of worthwhile contractors you need to spend more time looking for and working with good contractors. I can have any of the major ones I need on the phone/text in minutes, ask them to go take care of a property and e-mail me the bill and that's pretty much the end of it. Once you develop good relationships you don't have to do much except trust and verify.

Matt Waggoner · Answer

This is trauma based for many of us. Building your team is the hardest part of REI. Though as you scale having a way to track contractors would be helpful. We have started to use some AI workflows to get bids for jobs from contractors that we trust, but I will say, getting reasonable estimates from quality contractors is the major issue. Either they are trustworthy and you pay a fortune, or you save money and roll the dice with whether they will no show. So frustrating as a business owner.