Do You Tell Contractors Your Real Rehab Budget Before They Bid?
I’m split on this.
Say the most I can spend on a rehab is $70K. If I tell the contractor upfront, we can work backward from that number and figure out what stays, what gets cut, and where the money matters most. But part of me also thinks the quote will somehow come back at $69,800.
Do you share your actual budget before getting a bid, or keep it private until the contractor prices the scope independently? Has showing your hand ever helped—or did the bid just grow to meet the number?
Most Popular Reply
Ken M.
#4 Buying & Selling Real Estate Contributor
#4 Buying & Selling Real Estate Contributor
- Investor
- Get yourself trained before doing something inadvisable.
- 1,719
- Votes |
- 3,346
- Posts
Ken M.#4 Buying & Selling Real Estate Contributor
#4 Buying & Selling Real Estate Contributor
- Investor
- Get yourself trained before doing something inadvisable.
If you are going to quote numbers (I wouldn't) but let's say you do, tell them your budget is half of what you'd actually be able to pay. Let them try to convince you why they need more. It may be legit and maybe not, but at least they have a say.