Contractor quotes when offering on a home

[Jake S.]

When Im finding properties that I like, that need a bit of work, I know i should send a contractor in to give a rough estimate prior to me making an offer on the home. Question is, should i send a few contractors through to do so, especially when getting started in a new market? or what's the ideal process there?

[Jeremy H.]

So I'll say rehabbing is something that is primarily going to be learned through experience

Having a contractor do a walkthrough is a waste of everyone's time if 1) you don't know what you expect to pay 2) you don't know what needs to be done 3) especially prior to making an offer and being under contract

I get having a walkthrough - but you're just going to have a bunch of no-shows and aggravated people if you're just getting them to give you estimates on something you're not even under contract on. You will also build a crap reputation. You will also find that for every 20 offers you make maybe 1-2 of them stick. So this is a real waste of time. 

I do walk-throughs after I'm under contract and have made my scope of work. Why? Because I ACTUALLY need a contractor at this point. I have an INSPECTION report to go off of (that I add to my scope of work) and I've LOOKED at the house myself and have made a scope of work. See - now I have a need and know what I actually need. 

This being said...start small with cosmetics - paint/drywall is not going to kill you price wise. Also plumbing is expensive and expect about 75% of stuff to leak from any house you purchase. There WILL be leaks, I can guarantee it. HVAC full system - furnace/condenser/air handler will run about $6000-6500 for me for a 3-4 ton. Roof just go ahead an budget 10k. Appliances 1k apiece. Full flooring for a 1500-1600 ft house I budget 4000-6000 just depending on the type of flooring, removal etc. Big stuff and full replacements is easy to budget. Dumpster 400-500/wk. So if you start small and learn you'll eventually build up to bigger and bigger rehabs. And in the process you'll find who doesn't work, and who gives you the best value as well. Then use those same people every single time.