All Forum Posts by: Patrick Goswitz

Please keep us updated! I’ve also seen a couple of 60k-70k MHs that’s pre-1976 in my area which has been sitting for a few months. It includes the land that it’s on (also about .2 acres), and was also thinking of rehabbing and flipping. But having second thoughts after reading this post! 

Look into a seller carry or keep it for a rental yourself if you don't need the immediate cash. Do you have an investor friendly agent that can keep an open ear for prospective cash buyers?

 Lease option? Seller finance? Surely you'll get at leaset 1K a month. There's not much in or around Knoxville that's renting for less that $1k/mo. 

 I get a 40% discount off retail with my supplier due to my volume purchaces and prompt payment .  You get charged retail . The 40% goes to the contractor .   

You can pay the contractor with your credit card for everything . 

Customer buys the materials , what could possibly go wrong .....................?

The minute a potential customer asks that question , its time to say , good bye . 

Everything contractors do and  should have a mark up , labor , materials , subcontractors , dumpsters , etc .  This is how we make a living and cover our bills .  Contracting is a business , profit is the goal , not a paycheck . 

If you want points on your credit card , ask your contractor if they take credit cards , I do . You pay 4%  credit card fee . 

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As a contractor, I never let anyone but me purchase the materials. Why? Because I know exactly what's needed, and how much. I don't want my time wasted by someone who doesn't purchase materials for a living.

When I worked mostly for home owners, I'd have some who wanted to buy the paint, or some such. Well, I'd bid the job, they'd buy the paint, only they'd show up with the cheapest Glidden product on the shelf that I'd have to put 3 coats onto a wall to cover. This costed me more in my time, yet my bid was submitted. A respectable paint would require a good first coat and a fast 2nd touchup fill in generally.

In another situation, my customer would buy faucets. They got the cheapest brand at the store. I installed them. I was back out there in 6 months replacing them because the gaskets leaked or the handles broke.

Over the last 10 years I've created and maintained relationships with investors, now friends. I don't mark up materials. I charge them what they cost me and I get a better price than anyone else because of the volume I spend.

I do charge for my time and 25+ years of experience as a contractor. This works the best for us but it takes some trust and you SHOULD know roughly what materials are gonna be so that you can get an idea of markups if any. This takes perhaps a few projects to get the hang of. 

Tons of responses here for you! It all depends on how you want to set up your business. For me personally, I want to control the finishes.. light fixtures, plumbing fixtures, cabinet pulls etc I will purchase and have shipped to the house. Everything else, I have the contractor buy. Its simpler and less on my plate and therefore I can focus on another house, finding another deal, etc.