How to work with contractors

[Alex Ng]

I'm looking to BRRRR my first property. Its a FSBO who is willing to sell to me. I plan to take a look at the property before choosing to purchase it. Should I schedule the contractor and run a scope of work and get a bid the day I look at the property? Or should I first look at the property and then get it under contract before having the contractor look at it? I live about 2.5 hrs away so it could be a pain to drive there twice, once to look at it and another time to meet with contractors. Should I schedule 3 contractors to come the same day? How should I organize this.

[Alecia Loveless]

@Alex Ng Because I have worked with my contractor for about 20 years now in some form or fashion( he started out shoveling my roof), he usually walks all of the properties I look at on my initial visits and gives me a rough estimate on cost of rehab and a time frame for completion based on his current schedule and how much time he has to devote to the project.

Sometimes he spots issues that are enough of a red flag for him or me or both of us to not pursue the property.

Then once we have discussed it I put In an offer and if I get it under contract I ALWAYS get a building inspection done and then have my contractor go over the inspection report and readjust his price for the rehab based on what turned up during the inspection.

Or if the inspection was awful I might back out of the contract or attempt to renegotiate the price some.