All Forum Posts by: Bryan Devitt

Are they expanding the commuter rail anywhere in that area? I know they're throwing a ton of money all over the state to try to get people to expand in dead areas but I don't recall any off the top of my head. This might get a better response on the MA boards of this page also.

Structure your contracts so that if they leave, you can bring someone else in and not lose money. Pay schedules are the key to dealing with subs. For small jobs, I pay after the rough is signed off and then after the final is signed off. Not after the work is complete in case they screwed something up. If it doesn't require permit signs offs then I structure it different, but most of the money comes when the job is done and I inspect it. If plaster is wavy, I need a reason for them to fix it, etc. 

If he doesn't fulfill the contract you can sue for how much he was paid for work that he didn't perform

Tell him tough S... and to learn his numbers before he bids on jobs next time. Either fulfill the contract or get sued. Is he working under his name, an LLC or corp? It is tougher if he is an LLC or Corp because he can shut down and walk away with minimal recourse but it is still a decent threat if he isn't a total moron

Finding the right subs are like finding needles in a haystack. When you find them, you're golden. Until then, it is hell

Do you have a contract that states the work to be done,  materials to be used, price to be paid, etc? How much is the total cost if you jumped it $8k and he's still not happy or making money? Either way, sorry, your under bid is not my problem. It is a learning experience that he is now paying for. I have under bid many jobs and never had the audacity to think that was someone else's fault or problem. You suck it up, do the work and try to do better next time like a responsible adult

If it is just for interiors, just get good at rolling and cutting in with a brush. The prep time for spraying and the cleanup time after make it not worth it. They seem like they would save time because you can spray a whole room in 15 minutes, but once you add in the 2hrs of taping and plastic before, cleaning up the dust after and cleaning the system after, the 2hrs to brush and roll a room is much quicker and cheaper

You don't need to buy it. You could have a long term lease set up that allows you total control of that property and the ability to sublease it to someone else. That needs to be drawn up by a lawyer though to make sure that there are no escape clauses they could use to boot you from the property and take it back over.

I don't find that the trailer and membership are irrelevant, but they are minuscule. The trailer may seem like it cost $7k, but it is still worth $5k on a bad day, so it is only investing a couple grand. The experience I do not think is even. 3 years in construction isn't anything. They could mean they're still a good laborer/cut man with a tiny bit of knowledge or if they're ambitious they could have a good amount of knowledge for an apprentice, but I wouldn't let someone loose on a remodel with only 3 years experience by themselves. So it isn't like they're the take charge leader pulling the blind investor along through the rehab who is only good for being a laborer. There are two ways you could go with this IMO

#1. Treat the money like a loan paid back on rates that reflect the experience of the flippers and then split the profits after that, which to me would be 60% A / 40% B

#2. 75% A / 25% B (50% goes to the money and the rest gets split even for the labor)

My question is, is this a real scenario that already happened without a business plan and contracts signed before the flip happened or are you working this out before the deal to see what is fair? Before anything happens with these kinds of deals, everything needs to be on paper so there are no questions where anything goes when money comes in. I am sure if this is real, you know that now.

I agree it is unnecessary but it gets real old having a dozen people a week jump on here and with their first post ask everyone else to do their entire "job" because they went to a seminar and now they're a wholesaler that will soon be offering contracts at ARV, backing out of deals when they can't close them and giving everyone a bad name. I have patience but not of a saint. ;-)