All Forum Posts by: Jordan Deeney

Thank you for this response @Chris Seveney. The main thing I am struggling with is if I hire employees, I then have to have workers comp insurance for them, but then I have to hire only subcontractors with workers comp insurance. And it seems a lot of them only have liability. I am curious if people work around this with possibly different entity structures. One more for management and one for construction possibly? 

Hi Everybody.

I was wanting to get some feedback on what people are doing for workers comp insurance? I am an investor/developer. I don't have any employees currently. But I hire lots of 1099 contractors. Workers Comp Insurance seems to be kind of a murky mess. And a lot of contractors don't seem to have it in my experience. I here pros and cons on both sides. But I fear workers comp insurance may be a must to grow a company?

Thanks for any insight!

Thanks for the information @Greg R. 

I just want to offer an alternative view on the 12% in one month price cut data. I have seen a lot of people listing homes for crazy prices. Poor quality or ugly homes that have not right setting new price highs in neighborhoods. So, they sit for a bit and then they eventually cut the price. Or just people listing outrageously high in general. Shooting their shot so to speak. This happened to use recently. We had never cut our price on a home we were selling but we sold two homes in January where we priced aggressively, and we still sold well over list. Then we listed a 3rd home in February BEYOND aggressively and it sat for 2 weeks before we dropped the price.  I am not suggesting the statistic doesn't maybe have some truth in there. But I don't think it speaks to one way or another per say. There is more than one thing causing that statistic. 

Hey @Joe Cassandra! Well I guess I’ve never explicitly asked if a non GC can pull them. I’ve just gathered that from everything I’ve learned. You are having non GCs pulling permits? I presumed that was required.

Thank you for all the helpful feedback. From what I’ve seen in metro Atlanta, you can only pull a permit as a homeowner if you live in the houseThey don’t seem to want investors pulling their own permits, but a contractor. I have found some contractors that work on a consultation basis, they pull the permit and then inspect the work as completed, along with the city/county inspector. I am thinking this route is a good way to go to maintain control over my own projects.

For all of your flippers out there that are not GC's/Builders, how are you pulling your permits? 

Who pulls your permit and what are all the details of that relationship? I am mostly looking to find out what people are doing that are having someone pull permits for them, but they are still managing a majority of their project. For example, I found a GC that offered to pull permits and do all of the mechanical/framing aspects of the job. Then I can use my own subs for anything else. What other arrangements are for pulling permits exist?

Thanks for the feedback everybody!

@Katie Neason That is great! That is one tool I wish I had at my disposal :/. 

Thank you for the response @Martin L Anderson. Just to clarify, I am using a licensed electrician/plumber, and I did get an Beam Report from an Engineer for the load bearing wall removal. 

The feedback I have gotten is pushing me towards what I felt was the right answer. I just need to find a relationship with a GC where they can pull the permit and I can still use most of my subs and manage the projects. This seems to be the route I need to go. 

@Katie Neason You pull them as the homeowner or you have an in house GC?

Thank you for your response @Katie Neason. Yes, I am small now but do want to build a larger, reputable business. I have done a few projects and have been progressing my methods which each deal. I have a strong list of subs, but yet to find a GC to work with for pulling permits. That’s kind of my next step right now is finding a relationship with a GC where they can pull permits, but I don’t use them for everything and I still maintain project control. 

I am looking for insight on when you pull permits vs not. 

Example, I just did a project where all the work was inside, so I went without a permit. We did remove a load bearing wall, frame in a new master bathroom, new hvac, new roof, then full cosmetic rehab. The purpose of my question here isn't so much to do with the city/county and risk of being shut down, but the possible issues on resale that could arise. If a buyer asks for permit information, and we didn't pull one, what could happen here? How likely are they to report you to the city/county? Or is this enough to kill a deal and turn a buyer(s) off? Want to hear peoples stories dealing with this. (We did sell this house without anyone saying anything btw)

My other question is, at what point do you pull permits? I know legally when you are suppose to, but I know everyone has different thoughts on this. I've talked to a lot of people who try to keep it unpermitted as long as most all the work is done on the inside. But again, this worries me that it is going to come up as an issue on resale potentially. 

I'd like to hear peoples stories on this and impacts on resale with no permits. 

Thank you everybody!