How to find investor friendly contractors

[Masashi Borges-Silva]

Investing in real estate can be a profitable venture, but it can also be challenging. One of the most critical components of any real estate investment project is finding a reliable and investor-friendly contractor. Hiring the right contractor can make all the difference in the success of your project. Here are some tips for finding the right contractor for your real estate investment project.

1. Ask for Referrals: Referrals from other real estate investors can be a valuable resource when looking for an investor-friendly contractor. They can provide you with insights into contractors they have worked with and recommend ones that meet your specific needs. You can also ask for referrals from local real estate associations or trade organizations.
2. Check Online Reviews: Another way to find an investor-friendly contractor is to check online reviews. Websites such as Yelp and Angie's List allow you to read reviews from other customers, giving you a better idea of the contractor's reputation and reliability. Be sure to read both positive and negative reviews to get a balanced perspective.
3. Conduct Interviews: Once you have a list of potential contractors, schedule interviews with each of them. This will give you an opportunity to ask them about their experience, their approach to projects, and their pricing. Be sure to ask for references and follow up with them to learn more about their experience with the contractor.
4. Check for Licenses and Insurance: Before hiring a contractor, make sure they have the necessary licenses and insurance. This protects you from any potential legal or financial liabilities that may arise during the project. Check with your state's licensing board to ensure that the contractor's license is up to date.
5. Get Written Estimates: Always ask for written estimates from potential contractors. This will help you compare prices and ensure that you are getting a fair deal. Be sure to review the estimate carefully and ask questions about any items that are unclear or seem excessive.
6. Look for Experience and Expertise: Look for a contractor who has experience in the type of project you are planning. For example, if you are planning to renovate a historic home, look for a contractor who has experience with historic preservation. A contractor who specializes in your type of project will be better equipped to handle any challenges that arise.
7. Communication is Key: Good communication is essential when working with a contractor. Look for a contractor who is responsive and communicates clearly. They should be willing to answer your questions and provide updates on the project's progress.

Also, I had the same question and found a book covering the topic. The book on how to estimating rehab costs by J. Scott was interesting to read. Not only the book covers some of the common rehab costs, but also the book covers when to pay for the contractor’s work or material needed to start the job. If you have a chance to read it, this might be a good resource.

Finding an investor-friendly contractor requires time and effort, but it is an important step in maximizing your investment potential. By following these tips, you can find a reliable contractor who can help you complete your project on time and on budget. Remember, a good contractor can make all the difference in the success of your real estate investment project.