Speed of offers and contracts

[Martin Guerrero]

I am just starting out and it seems that by the time I look at a property, do the initial analysis, find a contractor and finally start the offer process, too much time could pass and the deal could be gone.  Would a strategy then be to put that property under contract right away?  If you do and the deal is no good what is a good exit strategy for houses under contract, and how exactly do you put a house under contract?  Thank you 

[Jerryll Noorden]

Hey man,

I feel your pain, everyone has gone through it.

This is what you should know...

As you keep doing it, you will start to get better at it. My first few times I brought a contractor with me, but it soon became too much drama, Then I offered a contractor 100 dollars to walk a house with me. Some accept it, but most don't. It is just too much work for them for too little money. Keep on trying.

Get connected and make friends with people doing flips, and pick their brains. Ask them for before and after pictures of a kitchen and ask them how much it cost.  Do the same with a bathroom hahallwayach room etc. etc. Seems daunting right? It is not that bad seseriouslyYou look at 3 kitchens and you start to clearly see where the cost goes in.

$400 for backsplash tile in a moderate kitchen. $600 for labor..

$3000 for all appliances.

$4K - 7K for cabinets. Another grand or 2 for countertops.

$120 for all cabinet hardware.

$300-$500 for a fancy kitchen Faucet.

Look at different kitchens and study their repair costs and you will become good at it.

If you put the house under contract and the deal is no good, tell the seller you made a mistake and dissolve the contract. Not ideal of course, but anyone that tells you that they didn't make mistakes when they started out is full of poop!

But indeed it is not sustainable to bring a contractor to the walkthrough every time unless the contractor works for you. (This is what we do, we have our own crew).

One other way, go to homeadvisor and they show you how much contractors in that area have charged homeowners for any job. Good way to learn.

Dude, this is something everyone goes through. Don't worry too much about it. Just keep on trying!