Love is in the air! The time surrounding Valentine’s Day allows us to celebrate the great relationships we share with the loved ones in our lives. It can also be a time to reflect on the relationships that are not so great. Finding the right contractor is a very important step when it comes to your renovation project, and it’s a decision that can either make or break the success of your investment. But don’t worry, there are some great catches out there!
The matchmakers here at Easy Street Capital would like to share a few tips to keep in mind when searching for that perfect contractor:
Have a plan.
Before you even begin looking for the right contractor, be sure to establish what you are and are not looking for in your investment property. You want to be able to communicate your goals exactly to your future contractor and answer any questions they may have during the completion process. Printing out pictures of exactly what you are looking for can not only help clarify your plans but your spend as well. Be sure to show the contractor your pictures before he gives you an estimated price on the work.
Do your homework.
Many successful relationships come from a mutual connection! If you don’t know where to begin looking, it is helpful to reach out to your family, friends, and other real estate investors for contractor recommendations. However, even if a contractor is recommended to you, it is important to still do some background research. Be sure to clarify that he or she has a current state license and proper insurance coverage, if applicable. We suggest checking out any of their past work if you can. If your referrer hasn’t worked with the contractor in some time you should also consider reaching out to current clients to verify they, too, are getting the same level of service.
Want to reach out for recommendations but are not sure where to turn? There are plenty of ways to network with other real estate investors. Easy Street hosts multiple meetups each year all across Texas where you can meet other investors, industry experts, and service providers. Our Houston event will take place February 28 at Saint Arnold Brewery. RSVP for free here to meet the Easy Street team and connect with those who can help you with your next investment project!
Be a part of the project.
Just because you’ve hired someone to do the manual work, doesn’t mean you can just step away from the process. It is important to visit the site as frequently as possible. Asking for constant updates can help you foresee and prepare for a problem before it happens. Also, taking pictures of the progress will help you have a physical record of questions or concerns and it is an easy way to make sure nothing slips your mind. No imperfection is too small to bring up to your contractor if it is something you are concerned with. As with any relationship, communication is key!
We interviewed one of our recent borrowers on his flipping experience, and he shared some great advice when it comes to hiring out for fix and flip projects:
“Contractors work to get paid. So as long as we have the money available, we can get projects done quickly. That is why it is imperative that we have quick access to money. Fernando and I on the other hand work against time - The longer we have a property, the less we make on it. So the most important asset to the contractor is money, the most important asset to us is time. This needs to be understood from the side of the contractor and the investor.”
“We are all a team, and no individual person could do this project on their own. Always talk about the future, and how things could go if the work goes well. We only succeed together. If everyone realizes this, then we all succeed faster.”
Easy Street Capital hopes these tips are beneficial and your future contractor is a match made in heaven! As always, we are here to help. Apply for a loan today and one of our team members will be in contact shortly.