REIunite.com - Eric-Moeller Working with Contractors & Staging

REIunite - Bringing Together Real Estate Pofessionals of New Jersey

Show Notes: Managing Contractors -Marketing through various channels to find new contractors -Have them bid against each other -Sends out sample projects and has the contractor fill out a price sheet -Master price sheet determines averages for material and labor cost -Match price sheet up with contractors -*Always get references* -Calls up insurance company to see if they have any fraud or anyone hurt on the job -Also reach out to consumer fairs department (any lawsuits against that contractor, how long they've been licensed, any accidents etc.) -Newbies: focus on learning the contracting business, the lingo etc. -Make sure to check progress and keep pressure on -Quick to fire contractors when encountering certain issues -Calendar & timeline agreed with the contractors -Daily reports and visits to property -Walk through video and detailed photos when milestone is completed -Payment schedules -Have contractor setup material list through their supplier - Pay supplier directly -First Phase - Clean out, emergency repairs, demo. Payment released when completed -7-13% held back from job for typically 7 days after the C/O -The C/O will tell you everything and make sure it's turnkey ready -Contractor must send in lien waiver (signed by all subcontractors and suppliers) -Have attorney develop contracts for your company (don't use the contractor's) -Make sure contractor has required insurance policy -Have your property and company added to their insurance policy -Modification of blue print is likely when working on various projects -Contractor can make or break the deal Staging -Hire a professional stager to stage all common areas -Done a 1-1.5 weeks after construction completed -$2,500-$4,000 for staging -Always have in contract for contractor to leave job site left broom swept clean -Photography (costs between $500-$900) -Always does before and after photos -Drone video footage included in part of the marketing material -Find stagers similar to finding contractors also local REIA's -If stager has a warehouse, visit in warehouse in person -Obtain price sheets from stager Resources: Smith App - http://www.gosmith.com/ Consumer Affairs: http://www.njconsumeraffairs.gov/ Download Eric's Contractor Management documents: http://eepurl.com/b2h_iv Eric Moeller http://www.kodahomes.com [e-mail]

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