All Forum Posts by: Robert Leach

I agree with both Art & Adam here. Any general contractor worth his salt will take your scope and walk the house with you asking specifics and incorporating findings in his or her's bid to you. Frankly if I cannot get the answers I need before the project starts or the scope of work is ambiguous I would decline the work. It isn't the GC's responsibility to choose anything rather to recommend options and wait for a clear response from the owner. Anything less will ultimately cause both parties a ton of headaches and likely lead to a bad ending. 

To be light hearted on the subject...

I think my Chicago Bears use your philosophy as well which explains why we can't complete a pass lol.

Investors are slowing in Illinois I have noticed lately and I have also seen a tremendous amount of capital repair declines from Freddie Mac and Fannie Mae in the area. We actually have had better success with homeowners lately in terms of work which tells me property values have risen and banks are easing enough to warrant equity lines again for improvements. Thankfully for my company we are able to transition to more lucrative platforms which is true for many of my colleagues in the Chicago area which I think is bad news for investors ability in finding quality contractors willing to sacrifice crews at lower margins as we enter spring. I could be wrong in the big picture but in my part of the world I am witnessing the change first hand. Personally I prefer investment properties to rehab largely because of the established pricing and ease to complete without dealing with content manipulation and longer working hours to complete projects but as they say while in Rome...

Welcome to BP Wayne! this is a great community of pros!

Welcome to BP! This is a great place to network and there are a ton of great professionals here locally and nationally that can offer tremendous insight. Now if anyone has access to the thermostat here in Chicago can you please turn it up a few degrees? LOL

I haven't seen much in the way of networking locally in awhile. I would be game.

I actually prefer working with investors however I am quick to cut ties with those who insist on negotiating every line item of my bid. Work is plentiful and it is my advantage to be direct and organized. With today's technology I think it is ridiculous not to be.

That said, screening sales calls is an important skill. I have noticed an increasing inventory of rehabs on the market that offer little in the way of quality repairs made. I personally prefer not to take on these unflattering projects as I think they "dumb down" my skilled tradesmen & women. Information enlightening my staff on potential red flags usually can be determined in a phone interview with the investor and then discussed prior to engaging in the bid process saving both parties a wasted day. 

Most quality general contractors I know aren't interested in projects under $15k unless we are talking carpet & paint only where you're in and out in a week. Another red flag for my company is providing "labor only" pricing which more times then not means working with low end materials or material delays forcing additional time. Good crews are too valuable to be tied up on a project with low margins and if you're requesting multiple bids that only adds to the problem of potential wasted time. It takes 8-12 hours to complete a full rehab bid from start to finish or $800-$1200 on average from a licensed and insured contractor in my world. With an average 50-60 hour week, opportunities are weighed carefully no different than an investor considering their own ROI.

I agree that finding a good contractor is tough to do these days which speaks to the basic principle of supply and demand. We provide the supply and the demand in today's world is like shooting fish in a barrel.

Showing another contractors bid to me is a waste of time unless you are asking for an apples to apples bid with pricing removed and assuming the risk of additional change orders should that bid I am being compared to is inaccurate. I think you will gain more in the end by having two distinct bids that are not lined up word for word thus rewarding your investment with two sets of eyes. When I bid a home I spend at least an hour with the investor to understand basic taste such as material grade, creative enhancement opportunities that may exist in the asset and desired time line. On occasion especially if I have multiple projects in a given neighborhood I will spend a couple of days during the month viewing comparable properties in the market to educate myself on the competition and advise my client on upgrades that may help add value to the asset upon completion.

As far as "bad mouthing" competition? A good contractor doesn't have to waste time worrying about the competition. Good preparation, complete and accurate bidding, meeting deadlines and solid quality controls speak volumes. I'll worry about my company and think it's a bonus if my competition worries about me as well.

I am not sure about the drug dealer legality but I think you may face a legal challenge if you try to evict someone who is using tobacco in their home. When you lease a space, more times than not the tenant has the upper hand and I have seen a case first hand that challenged language in a lease agreement that was deemed to be a violation of privacy. I would suggest contacting an attorney and sharing a copy of your standard lease.