All Forum Posts by: Drew Osifalujo

@Joshua McMillion

Thanks for the feedback. Def a big fan of David Greene and totally get having a strong real estate agent in place to provide leads and referrals. In this situation, I haven't connected with a local agent in the market just yet. This is because I have the opportunity to coordinate the rehab work for someone who has owned a SFH outright for many years, but has also not made modernizing upgrades in many years, so there is an opportunity to add some equity to the property and turn it into an investment property. It is actually going to be really good practice for the BRRRR model minus the B part.

As far as the contract, I was initially hesitant to set time-based incentives and penalties because I am hoping to purchase the materials myself and coordinate their delivery rather than taking the contractor's word for it at the beginning of our relationship. My thinking was that if I slow the process down due to inexperience, can I really hold that over the contractor's head. After more thought, I will go with that approach and let the contractor know the process & expectations upfront and ask him/her to provide a timeline based on my process. Even though I have the luxury of not being up against the clock because there is currently no loan, I will not tell the contractor that and will look to strictly hold them to their timeline. 

Thanks, 

Drew

My question is around identifying the appropriate General Contractor to renovate an investment property. I am looking to make some moderate renovations to a SFH investment property that includes flooring, kitchen, bathrooms and drywall/paint. In preparation for requesting bids, I have gathered (Googled) some estimate costs for the scope of work I believe will need to completed to raise the value of the property to align with recent comps; however, after checking reviews on Angie's list of local contractors, it became clear that many of the reviews that I was seeing were from happy homeowners who didn't mind spending an arm and a leg for a kitchen remodel that they would be enjoying. I believe I may need to look for contractors with lower than A+ ratings, who still do adequate work (judged by their pictures) to meet my budget goal. While I would never invest in materials that I felt were above and beyond what I need to be comparable to the market, I am interested in what tactics other investors have used to ensure they were not requesting bids from Rolls Royce contractors for a Toyota level project.