All Forum Posts by: Ricky Butler

Kent Fales , They say that funds follow good deals, find someone to JV with that can get this deal closed.

@Andrew B., I work with a few depending on the locations and there areas of expertise and I like to meet new agents moreso brokers at the local investment clubs. Inbox me and let's chat a little later.

Andrew Boettcher , Hey I'm also from New Jersey and familiar with purchasing REO's. I have a few questions for ya real fast if you don't mind. At what price point do you intend purchase? Is this your first stab at acquiring an investment property? What's your exit strategy after acquisition? Have you vetted this realtor for his search to be in your best interest and not there own? Have you identified target market? Do you have an acquisition criteria? Just because it's bank owned doesn't make it a good deal. Please perform some due diligence. These are just a few questions that I feel should be answered prior to searching for an REO. There's plenty inventory in our state and I'm no realtor but I may no an investor friendly realtor in your market and or maybe you should connect with a local real estate club in your area for some support. If I can help let me know #Each one Teach one #Pay it Forward

@Ryan Murdock, that's fantastic because contractors do obtain perks as volume customers at certain locations. 

However, I hope that guys aren't marking up supplies beyond man hours and related cost for delivery in your state. Some companies would to make up for under bidding or low balling the project it's almost like an automatic hidden change order or addendum.

Either way bring the crew lunch on Fridays sometimes nothing fancy pizza or finger food. It doesn't have to be personal but speak to guys on site shake hands or nod your head be inviting have a smile on your face and be honest truthful and respectful. Lead your contractor to finish your project on time within budget constraints #People don't care what you know, until they know that you care.

@Ryan Murdock, Now your talking !!! Labor only performance based compensation with bonus incentives !!! Right?!!!

@Brian Garrett, Apologies, excuse me for not being clear I meant a PM as in a Project Manager not Property Manager. Moreso, a Construction Manager or even a Mentor to facilitate or provide guidance over the daily operations of the rehab. 

This service may be of benefit to both the seasoned and newbie investors. However, each would be receiving this benefit for various reasons within there investment career. (Newbies because they may require the service and veterans to be more efficient with there time.)

Donald Hearn , I have a guy out of Bloomfield that may provide coverage for that location. He's been fantastic for us through out the years. Let me know if you'd like to connect with him. Feel free to inbox me.

Samuel Gostnell , Go to your nearest real estate investment club meeting and get referred to a few investor friendly contractors. Please note that they still must be vetted with approved methods.

@Mindy Jensen, that's a great idea however we've been contractors in NJ since 2007. We serve both public and private clients. Low income, affordable, market, high end etc. Each client present different methods of payment such as an approved draw schedule, upon completion, 30/30/30/10, 50/50, 30, 60, 90 days etc. 

What I'm trying to say is that if we don't trust our contractors select another one. I'm not saying to be naive but set up safe guards to maximize production where possible and try not to let guys front load projects where if things dont work out you get stumped. 

I think that some investors should retain the services of a good PM until they acquire the skills to procure contractors. I also think that as investor's we'll be more effective, efficient, and productive if our primary focus was the next project and not worried about our contractor being Missing in Action. Sorry for rambling guys just wanted to share my thoughts.

Jennifer Jacobs , The best way to establish a relationship is to make them apart of your team. Vet investor friendly contractors that understand both your budget and execution schedule. You have to establish relationships with your contractors like any other vendor you regularly do business with. This way there not focused on overhead & profits of one project but there focused on the volume of work that you may potentially bring immediately and long term. Additionally, don't expect for these guys to both carry your project and be cost efficient. You'll most likely get one or the other. If you expect them to carry the project and some will your cost just increased. Please be mindful that managing these guys daily is an acquired skill. Until you acquire that skill set please use an experienced Construction Manager or Mentor to manage your contractor relations. They'll administer the projects procurement policy, scope of work, specifications, draw schedules, required permits, communications, execution schedules, liscence & insurance limits etc.