All Forum Posts by: Shannon Mogilinski

For Builder's Risk try Nationwide--I've had decent rates with them.

Take the cost hit and use the good GC.  A GC is much more than a rolodex.  As a GC by trade, they also provide you with one pivotal point of liability coverage as well as being contracturally obligated to meet your deadlines, quality standards, plan implementation, and inspections with the municipality.  

You could be looking at 8-12 subs that you will need to individually contract and negotitate with.  (I'd advise against signing whatever subs hand you)  If you GC yourself, you need to put that under a corporation, get insurance, and create your OWN contract the subs signs (who will then need to get you their W9, insurance naming your co. as additional insured, and their license depending on trade--make sure it is all current and active!!)...You need to set a timeline you provide that is referenced in their contract too...All this before anyone picks up a hammer.  

YOU can GC absolutely, but if that is what you want to do going forward, use this good GC as an example before you launch--many of us are happy to mentor others--ask and see if you can make this part of your arrangement.  GCs absorb liability and run the risk of absoring problems on the jobsite, so yes they are expensive, but they buffer poor subs on a job.  Without that, I'd set aside at least 10% of your budget for this purpose if you do it on your own.  Good luck!!

Hi Monica--I'm in Chicago suburbs.  You need an architect absolutley and that is where you start.  I have a couple of referrals for you if you need one.  (Interview them like anyone else and price shop).  I have been a GC for 15 years and licensed in Chicago.  (Now I only work my GC role through my own investments).  I say this to all who are working in the fix/flip arena--architects are pivotal in protecting you from liability.  Permits are pivotal for the same. A tried and true veteran of the construction shark tank both commercial and residential, you really want to take the extra few dollars and protect yourself.  Priortize it in your budget as the most crucial elements of a project.  A GC will add another layer of accontability as well.  We all tend to take more risks until suddenly you need to answer for an issue.  ANYONE can decide at anytime to sue you because they don't like the color of your shirt.  You will always be left to defend it or negotitate it no matter how ridiculouos, so don't cut yourself short by not having the correct professional sign off on your projects.  And that pricey insurance really only comes in handy for catastrophic events.

We stage every house every time...If you have an area that may cause questions 'Can a queen bed fit in here' or 'Where do I put the TV' or 'How do I center up the room'...staging is crucial.  It enhances the hard work you have put into the property and can distract from sore spots.  That said, I always stage BUT like many other comments around flipping, your point to the market is relevant.  I sell between $500 to just under a million dollar homes.  If I were selling $250k-$450K in MY market (Chicago suburbs) I would still stage if the budget allowed but lower ARVs can have smaller budgets.  In that case, do minimal touches--if nothing else I mentioned applies.  I wholeheartedly believe in a GOOD on-trend staging co. (I use Chicagoland Staging) and would not do it if the furnishings were anything but on-trend.  My comment on doing it yourself, i.e. buying furniture, is that besides the logistics, every space will have different needs most likely.  Putting a sofa that is too small or too large in your space will not be beneficial. You may find, as I have, that the first decision to stage is the hardest but when done well data supports a quicker sale and more showings.  We would agree.  Also, in this hot buying market for the last three years, I only need the first month and my listing pictures.  After that, you can always de-stage if needed before you sell. Best of luck

We have a buyer on our flip asking to assess the anticipated taxes for next year at 140% (rather than the 105% in our area) because of improvements on the home.  Has anyone else dealt with this?