Always get multiple bids

[Dominick Johnson]

Last week I was reminded why I made it standard practice to always get at least 3 bids for major repairs. The ac in one of our properties had a leak in the line. Both the ac and furnace worked fine but were 30 years old when I purchased the house, so I expected to replace them soon. Rather than patch the leak, I elected to replace them now rather than later. I had four bids for a new ac, furnace, and coil: $13,000, $8,000, $6,000, and $5,400. Wanted to share for reference what to expect to spend in the Midwest on replacing HVAC units. 

I could either drain my cap ex, repair, and vacancy accounts on this property, or use half my profit on it for the year. Much better than two years had I gone with the first two high bids. It’s worth the time and hassle, get at least 3 bids on all major repairs. 

[Melanie Thomas]

Hi Dominick! Curious how many properties you own/manage? If I had to request three bids for every big project I had going on, I would go insane. Vendors would stop answering my calls asking for free bids and no guaranteed work. Its so hard to find GOOD vendors right now. I trust the vendors that I hire after thoroughly vetting and do business with. I am genuinely curious how this would work long term. Open to chat? Good luck & happy investing!