Closed on First multi-family

[Yeury Galva]

Hello Everyone,

I am happy to say that 2022 is starting the right way. I am a 23 years old who graduated from college in 2021. Yesterday, I closed on my first multi-family property using hard-money. The property will need a good amount of rehab. Does anyone recommend any tips/tricks about how to hire/interview contractors. Do I have them sign a contract? does anyone recommend any contractor/company? should I go the GC route or should I hire the contractors with specialties (Electrician, Plumber, flooring, etc). I do have some guys already that have been referred to me by other investors. I don't have any GCs in my radar.

Any tips/referrals/opinions would be highly appreciated.

Thank you

[Amanda Bruneau]

Congratulations on your first property and graduating from college. Two BIG accomplishments! It sounds like you have already hired your contractor, so below are just a couple of things to keep in mind. Make sure you are overseeing his work and seeing invoices for material he is purchasing. Contractors can cut corners and overcharge you so be careful. Remember this is a rental so you don't need to go high-end. You want it to look nice and be functional. If you don't like the job he is doing you don't have to stay with him until the end. Don't pay him in advance for all the work, he may not finish if you do. You want to be very clear with what you are asking him to do so there is less room for error. Best of luck! I recently had a client purchase in Woonsocket and is slowly rehabbing each unit as tenants move out. He has completed one rehab, it was a one-bedroom that was rented for $650 before renovations, he just rerented it for $1100! :)