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Updated about 7 years ago,
Question regarding general contractors and the rehab process?
Made up example scenario: I just closed on an REO I intend to fix and flip and have had an inspector come through and give me his own SOW for the property. I want to hire a GC to pretty much manage the entirety of the rehab because I am a new investor and am not confident enough in my skills to do so. I have my own SOW I made before putting an offer on the property as well the inspector's SOW he and I made during the due diligence period.
Question: Is it realistic to find a GC that could literally handle the entirety of a rehab? I found J Scott's Book on Estimating Rehab Costs quite intimidating when it came to finding the subcontractors as well as providing the materials for them. Could I find a GC that could look at the 2 SOWs I have provided for him and with those he found all the necessary subcontractors, scheduled everything, handled all materials, oversaw the rehab, and paid them on time and accordingly? I obviously want to be hands on and have a say, but having someone like this that could take my vision and make it a reality all while managing the ins and outs would be huge, especially when trying to scale my business.
It may sound like I'm just trying to not have to put any work in ever, but in all actuality I am simply not confident in my abilities to handle all of these components.. YET! I want this kind of GC so I could watch him, ask questions, and really get a firm understanding on the entire rehab process. From then I would look to implement J's strategy of having a full time property manager that handles all of our subs, materials, etc with a commission per property pay.
Thanks BP!