Need Help with Contractor Side of the Business

[Davinder Toor]

Hey Everyone,

I have been investing in Milwaukee / Wisconsin for a few years.  Besides some rentals, I own a few retail businesses, but am looking to put more time into real estate because it simply interests me more.  I find fascinating the business of finding deals, negotiating contracts, managing assets, etc etc.  However, I'm not a construction guy.  I have built commercial properties, but that seems to me to be a different game.  When I build a car wash or a gas station, we go to 3 or 4 large GC firms, bid a job from architectural blueprints, get a NTE, etc.

How do you go about finding contractors to work with.  Can the numbers on flipping work using a gc, or should I be trying to put together lists of "subcontractors", like a flooring guy, a roofer, so on...

Eventually, in my perfect world, I would have one or two guys/companies that I trust, I would bring him in during our initial walk through, we would price the job out, and get the work done...move on to the next deal.  I wouldn't mind supplying design element materials, but I don't think anyone would want me helping to install them.

I realize this is a broad topic without even a really clear question.  Nonetheless, any guidance or experience is greatly appreciated.

Thank you!

[Scott Schultz]

from what I have experienced, like anything you get what you pay for, there are 3 factors with contractors, Fast, Reliable, and cheap,  pick 2,  you will go through these guys like water, then find one that seems good, till they flake,  my experience has been, they always want to get paid before the work is done, "to pay their guys" or something, but they rob peter to pay paul, and are always behind a job or 2, the economics generally doesn't work to hire the expensive reliable contractors, so you end up managing the projects,  I have a Painter/drywall guy, a Handyman, and Carpet guy, i do most of the technical stuff because I dont trust anyone to do it right (my personal issue) you can make the numbers work on higher end, properties, or mid/lower if you squeeze your margins.