How to I avoid contractors increasing price or time after hired?

[Steve Edwards]

1. How do I ensure a contractor doesnt go over budget or time? It seems like this is a recurring gag and is almost considered unavoidable amongst some homeowners. If I want to flip, this is the last thing I want. This would be a nightmare since it would cut into both costs and profits. How do I protect myself from this? 

2. Ive decided to jump in and do a flip. I wanna be smart, but the more I read the more I realize there is to read. And I will continue, but I dont wanna keep sitting around not acting. But I also cant afford to lose money. So I was originally thinking about wholesaling to start but after listening to some podcasts it seems like that is really difficult to do since it involves much precision (one of the casts recommended it for the experts). Ive been looking at Handy Man specials. Here is what I have figured the right approach is. Please correct where I am wrong or overlooking something.

1. Check roof, termites, mold, heating system... Overestimate all costs. Underestimate sales price. See if the difference yields a profit,

2. Get under contract at agreed price

3. Get hard money lenders willing to lend me the money (perhaps this is #2? Not sure how long that process takes.)

4. Meet with contractors, get quotes and choose the best suited (do I need a permit in all states to do work? If so, where do I get one, how long does it take? I'm unsure if you need a permit for all work, or just building of a new structure, i.e. I dont need one to improve a garage, but I do need one to add on to one or to rebuild one in its place).

5. Finalize deal

6. Have the work done.

7. Towards the end, start advertising for sale on the market 

Thanks!