All Forum Posts by: Johnathan Simeroth

@Johnathan Simeroth Back when I was starting out, I did a lot of remodels. I would get a lot of calls from real estate agents, prospective home buyers, or investors asking me too come and provide a quote on a property they were looking to buy. I would set up a meeting to walk the property (1.5 hours), then come back and work up a quote (3 hrs min) then drive out and meet the prospective client to present bid (1.5 hr). i quickly realized this was taking up a lot of my time and 9 times out of 10 they used my quote to as a negotiating tactic to reduce the sales price, then performed the work themselves or put it out to bid again. I thought, something is not right with this model. Everyone in the transaction gets paid, the real estate agents, the home inspector, the title company, the banks, etc. Except for one person, the GC. I quickly started charging $300.00 for this service and only providing estimates. Granted few people took me up on that offer, but it never hurt my business.

So, in response to your question, don't be afraid to pay a GC upfront for his or her time giving you a quote on your project, even if you don't end up buying it. Call that person again for a quote on the next property, I bet you will get a great response and attention to detail, because you have proven to the GC that you value their time and they will reciprocate.

Ryan, can't tell you how much I appreciate having the unique perspective of someone who actually has worked as a GC! I totally agree with your point, and I'm truly surprised that few people took you up on that. $300 to build a relationship with a talented GC sounds like a total bargain!

By the way, you mentioned you did a lot of remodels when you started out. Out of curiosity, what have you pivoted to now?

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Originally posted by @Ridge Tullos:

@Johnathan Simeroth I believe Biggerzpockets uses Homeadvisor but there are also sites like Angie's List who can help you find qualified contractors. Then there are also options like asking friends, family, other investors, attending meetups etc.

Thanks Ridge! I assumed that those resources might end up suggesting lots of contractors who are less investor friendly, and more focused on the average homeowner. But I should give them more thought! Has anyone had success finding contractors or other vendors through Angie's list or similar sites? Any tips?

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Originally posted by @Mark Allen Kenny:

@Johnathan Simeroth Networking is so important. Are you going to Meet-Ups to meet other investors? They'll be able to recommend GCs in your area. Team up with experienced rehabbers and surround yourself with people who are already doing what you want to do in your market.

I am! And if there are any other Columbus investors here in the San Francisco Bay area (we're in Sunnyvale), please feel free to reach out. I'd love to connect. My wife and I are also taking a trip to Columbus to network and familiarize ourselves with the neighborhoods, first weekend of May. Assuming the situation with the pandemic hasn't escalated too much, we'd love to meet as many people as we can while we're there.

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@Ridge Tullos great point! I’m happy to pay someone to walk the property. Now I just need to find the person to do it!

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@Daniel Spaizman thanks for the tip! I put together a list of basic questions to go through with potential GCs and plan to interview a handful this coming week. Hopefully I can find someone that’s a good fit!

How long have you been investing in Columbus? How is your journey going so far?

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Hi BP community!

I've received a number of referrals for lenders in the Columbus market, but most of them are conventional or portfolio lenders. Long term, I will definitely look to build relationships with portfolio lenders, but I'm also interested in seeing what rates and fees a broker can offer on some deals.

Does anyone have a good broker they've worked with and would be open to sharing?

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@Ryan Mainwaring Thanks for the follow up!

- Because I'm just getting started, I'm looking for rehabs on the lighter side. I thought it might be an option to leverage the experience of my agent (an experienced local investor) to ballpark these numbers before I make an offer. Then get an official bid from one of the recommended GCs during the inspection contingency period.

My big concern with that is just that it gives me very little time to vet the GCs before I become obliged to use him.

- This would be my first deal in Columbus (and anywhere, for that matter).

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Hello BP community! Newbie here, getting started in the Columbus, Ohio market with BRRRR deals. As I'm just getting started, my primary focus has been building out my team of core 4, +wholesalers. It has taken a lot of time reaching out to multiple people for each role, interviewing them, and looking for one to two top notch people for each spot.

In the process, I've noticed that some agents have contractors they can recommend, but don't hand out contact information for GCs until you've got a property under contract.

That feels risky to me, but I'm curious your thoughts on it. Is it worth missing some deals while I work on finding and interviewing GCs and pick one who is a good fit, or does it make sense to put a deal under contract if one comes up before I've got a good GC?

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All Forum Posts by: Johnathan Simeroth

Johnathan Simeroth has started 4 posts and replied 18 times.

Post: When to Connect with GCs?

Post: When to Connect with GCs?

Post: When to Connect with GCs?

Post: When to Connect with GCs?

Post: When to Connect with GCs?

Post: Columbus Ohio Mortgage Brokers

Post: When to Connect with GCs?

Post: When to Connect with GCs?