Hurting Contractor's Feelings

[Dalton Dellinger]

So this might be ridiculous that I am even worried about this. I met a contractor at a potential BRRRR investment the other night. He seemed like a really nice guy and he has done a bunch of work for a lot of people I know in the area. He is a pastor in his church and his company goes and builds houses for people in natural disasters.

 Should I feel bad about wanting multiple bids on the property, even though his bid was at a very good price for my total numbers? My wife normally handles the people equation of my rental business, because I am too nice and care about people's feelings too much.

Do I need to even tell him that I am getting multiple bids?

One thought was: in order to stay on good terms with him for work in the future, I would pay him $50 or $100 for his time he spent.

I don't want to make the mistake of only getting one quote but at the same time, I don't want to hurt anyone's feelings.

Thanks,

[Kyle Jiron]

I agree with what @Dan Weber said. In the contracting world, it's no surprise to be competing against others. Competition is what keeps the prices down and keeps everyone honest. As long as you didn't say you were only getting one bid, you should be fine here. 

I don't think you need to pay him anything for his time spent putting together a bid (sounds more of a guilt ridden gesture, although nice, no one turns down free money). Contractor's bid work all the time but don't get the job; it's just the nature of the game. If you have him coming out and bidding tons of projects for you, but aren't giving him any work, he will definitely start to realize you are wasting his time and may be upset, so keep that in mind too. 

So in the end: Get your three bids, check everyone's references and their recently completed projects. Make sure everyone got all the scope of work correct, and make your decision based on their track record (this is the key) and cost, don't let emotion influence your decision. If he ends up being your final choice that's great, but if not, no harm no foul. If he does end up getting upset with you for some reason, then you made the right decision not to work with him. That isn't someone you want to place your trust in. 

Also - One "Best Practice" item would be to make sure you notify your losing bidders, just a quick call to explain that you've selected a different contractor for this particular project, you appreciate their time for putting together a bid, and that you hope to work together in the future. This really will go a long way with them. Remember, real estate investing / construction / this industry as a whole are about building relationships, so treat people with respect and those relationships will grow well.