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REIunite - Bringing Together Real Estate Pofessionals of New Jersey

REIunite is an online community that strives to connect real estate professionals through the use of technology. The goal of the group is to share information, educate investors of all experience levels, and bring together all real estate groups/professionals of New Jersey.
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REIunite - Bringing Together Real Estate Pofessionals of New Jersey
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Now displaying: May, 2016
May 18, 2016

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
eric@kodahomes.com

For more video podcasts visit http://www.reiunite.com
Also, join the continued discussion for beginner to advanced real estate investing throughout New Jersey on our forums: http://www.reiunite.com/community

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