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Updated over 3 years ago on . Most recent reply

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Dan Nikolich
  • Lender
6
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12
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Questions you should ask contractors

Dan Nikolich
  • Lender
Posted

What are some questions you think are necessary to ask contractors when fix and flipping?

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734
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David Robertson
  • Flipper/Rehabber
  • Kansas City, MO
750
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734
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David Robertson
  • Flipper/Rehabber
  • Kansas City, MO
Replied

Here's the questions I generally ask a new contractor that I've never worked with before:

What Are The Contractor's Qualifications?

How Long Has The Contractor Been In Business Or In The Construction Industry?

​​This one is misleading because the company could be new, but the contractor could have 10 years of experience, so be sure to find out how much construction experience the contractor has in the industry.

What Is The Contractor's Average Sized Project?

​It's important to find out the scale & scope of work for the Contractor's typical project. Does the contractor typically only work on small bathroom remodels or are they qualified to manage a full rehab project?

What Trades Does The Contractor Typically Self-Perform? What Trades Does The Contractor Typically Subcontract?

Will the Contractor be self-performing the work or hiring other contractors to perform the work? It's important to understand who will be performing the work on your project and making sure that the subcontractors your contractor are utilizing are qualified, licensed & insured as well.

Does The Contractor Have A Portfolio Or References?

Project Portfolio

Ask your Contractor if they can provide a portfolio of past projects that highlights the Contractor's quality and craftsmanship. Your Contractor should be able to provide marketing materials or a link to their website where you can see photos of their completed projects.

Reviews

Check for reviews online for your Contractor to see what other past clients are saying about the Contractor:

  • Google Reviews
  • Facebook Reviews
  • Thumbtack/Houzz/Angi
  • Better Business Bureau

What's The Contractor's Availability?

What Other Jobs Is The Contractor Currently Working On That Could Affect Your Project?

​Ask your Contractor what other projects they currently have going or planned during your project to understand how your project will be prioritized.

How Many Employees Does The Contractor Have? Do They Have Enough Manpower To Staff Your Project?

If your Contractor does have multiple projects going at once, find out how many employees they have and ask if they have enough manpower to staff your project. You should generally have at least 1 or 2 workers on-site everyday in order to keep your projects on-schedule. (No lost days!)

When Can The Contractor Start Construction And How Long Will Construction Take?

Find out when the Contractor can start the project and discuss the time frame the contractor estimates it will take to complete the project.

How Does The Contractor Handle Unforeseen Issues Or Change Orders?

When rehabbing houses, unforeseen issues are going to inevitably happen on your projects, which can often arise in arguments, conflicts and change orders. The way that you and your Contractor manage these issues are essential to maintaining a strong working relationship, staying on-track and on-budget.

  1. What is the Change Order process?
  2. How are Change Orders communicated and agreed upon?
  3. How are Change Orders priced?

Is The Contractor Licensed And Insured?

Contractor Licensing

For certain trades and scopes of work (generally Structural, Plumbing, HVAC, Electrical) you will need to hire a Licensed Contractor to perform the work. In some areas, your General Contractor and Subcontractors will need to be licensed in order to pull permits for the project. Check your local building department to determine which Contractors need to be licensed on your projects.

Contractor Insurance

Always make sure your General Contractor or Subcontractors working on your project have their own General Contractor Liability insurance. The insurance should cover:

  1. Bodily injury to you, your family or visitor's of the property.
  2. Any accidental damage to your property.
  3. Workman's compensation for injuries to the contractor's or subcontractors employees.​

Has The Contractor Ever Had Legal Issues?

  1. Does the Contractor have any legal judgements, lawsuits, or arbitration proceedings pending or in the past?
  2. Has the Contractor filed a Lien on a property?
  • David Robertson
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FlipperForce

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