How do you pay GCs/contractors?

[Beste Park]

Hi! I'm relatively new to flipping in the US and don't have much experience with estimating construction costs.

New flippers, how do you solve this challenge? Do you bring a general contractor (GC) every time you do a walkthrough and get different bids during the inspection period? If yes, do you pay (and how much) the GC for the initial walk?

I would love to hear your insights! Thanks.

[Bill J Fay]

I highly recommend walking your jobs with a licensed General Contractor if you are just getting into flipping houses. Assuming you are new to construction, a GC will approach your project with a different eye. While a GC will cost more than subbing each trade out on your own, there are numerous benefits you will receive. They will pull your permits, coordinate skilled subs that they have history with, as well as keep your project on time. I never pay contractors to do initial walks, but that may be location dependent. If they want you to pay up front, tell them you are a real estate investor and you are looking to build a relationship for numerous projects, not an end user looking to do one deal.