Great Video Devin - I have used Angie List and yes having multiple contractors price the same exact job help you learn on what is the actual cost from material to labor - Especially when you can talk to the employees when the owner is not around. What is you take on hiring foreign workers who might no have us training but are still pretty good for jobs like framing sheetrock and paint. non technical like plumbing or electricity - A few things i learned - Never ever pay them in full - Get multiple bid at least 6 bids - Buy the material when possible shop around and know the price - Pay by the hour - HAve another contractor do the change orders - Hire and Pay out the subs when possible - Build you contractor list as you go small medium and big jobs.
There are some investors whom have had a good experience on Angie's list for sure. You usually have to be savvy with what is going on though since they are used to dealing with Homeowners. But the reviews can hold them accountable. Also I have no problem hiring foreign workers. In fact, most of my handymen are all foreign workers and have been very reliable. Often times I even find them easier to work with than American contractors for bulk heavy work like framing due to them not usually taking on too many jobs and also working all day regularly
Great video. I know it's a few years old, but hopefully you will still see this question. Do you put an "independent contractor" contract in place for each flip when hiring the general contractor?
Yes I have the general contract operate as an independent contractor whom has a contract for each seperate project. But the contract is really just to make sure we are on the same page. They are very simple email agreements
Certainly investors like to hustle the contractors as well. I'll be making a video on that. Especially now that I have experience with it since I have become a general contractor as well
hello - i have an empty shell in baltimore that needs full electric wiring with 200 amps, 2 story 1400 sq ft. i was quoted 16k and thought that was ALOT in light of your vid stating it doesn't cost you more than 6k. can you recommend someone who can do it for less?
Just to make a quick clarification, this video was made in 2019 before one of the largest price increases of a generation. So these prices I say are going to be very inaccurate now. A full gut electrical rewire will be roughly 9k to 11k. To 16k is still expensive but closer. However please note that it is normal to you newer investors higher pricing because they are accounting for all the issues that new investors bring to renovation projects
Take note that all MEP union skilled tradesmen get paid a 65-70 dollar package as an employee without any use of company overhead. Overhead is usually 8-10 per hour if the contractors os working constantly. It goes up when work slows. Contractors are looking for individuals who know thier cost and can respect them making a small profit (10%) for working on your home. We want to be able to hire and keep guys working also. Please think of the long-term industry and meet your contractor somewhere in the middle between you getting a great deal and them staying in business. Congratulations on your real estate journey
That’s why “free estimates” is a scam for contractors. Never tell the customer what they need, unless they are going to hire you. This guy didn’t pay for their knowledge or their time.
100% agree. Contractors should not provide free estimates for this exact reason. But since many do, new investors should use that to make sure they don't lose.
Hey Devon I’ve been listening and studying your channels I’m sorry your RUclips for a while now I’m interested in anything you’d like to send me I’m new I’ve been in the real estate game for a long time but now I want to invest into duplex is I live in California so I’m wondering if this is doable but I listen to your videos all the time and I would like some information about starting really really really small and your suggestions Jazz’s thank you
Very valuable lesson, thank you. My question is how do I know how long a work takes from start to finish? can I set a time limit when a work needs to be completed? thanks in advance.
When first starting off, you really just need the contractor to tell you how long they will take. But after a while you start to get a gauge on the contractor's speed of work. Keep in mind though that many estimates of thier time will be inaccurate due to them taking on multiple other projects at once and not managing thier crews correctly. Also if you pay them too much upfront, it will slow them down significantly
@@DevinMorenoInvesting why is it seen as poaching contractors? Dont they want more work especially in this economy? Surely if i have a good contractor i would be happy to tip him off about a potential project elsewhere. If he is busy he can refer a friend etc
@@zevlove612 In a perfect world a contractor would accurately gauge how much work they have and appropriately allocate their time or refer others. Unfortunately many wont do this and can quickly take on way too many jobs to prevent losing consistent customers. Therefore experienced investors prevent this by tying up the contractor with a ton of jobs and never giving out thier information.
@@DevinMorenoInvesting this implies there is a shortage of contractors and I very much doubt it. Its pure selfishness and greed is what it is. Its the same attitude you will towards finding leads. If u have a good doctor do you refer others to him or her no matter how busy or say let me keep him for myself. Madness
@@zevlove612 There is a shortage of "good" contractors. Even the best investors have trouble finding them. So I agree there is an element of greed here. There just simply is way more contract work than reliable contractors.
I personally havent flipped a property as I only buy and hold. However I do see a lot of that activity on the "edge" of nice areas. This will be on the northern side of Patterson Park, Highlandtown, Reservoir Hill, Charles Village Area, Waverly, and Pigtown. Though if you go out into the fringes you will still see solid deals in Northeast Baltimore near the county, and around Morgan State University.
Hi Devin, can you share your Baltimore contractors and your review? I’m looking to buy a new home with the Fannie Mae homestyle reno loan. Your input would greatly help. -thank you
I am a licensed master electrician and real estate investor in Baltimore. Look me up if you need a good electrician. Homerun Electric out of Perry Hall, MD
Do you do classes, how can I email you,, I need to ask you questions about fix and flip and how to buy a townhouse or single family home I just started looking to buy properties in Baltimore. I need a mentor.
Our agent did give us the name of our wood floor guy, and he was young but was willing to provide legit references. He did a fantastic job!
Very good information. Thanks for sharing.
Glad it was helpful!
This is great info!
Glad it was helpful!
That’s why you investigate with states to see if their license still active,
Great Video Devin - I have used Angie List and yes having multiple contractors price the same exact job help you learn on what is the actual cost from material to labor - Especially when you can talk to the employees when the owner is not around. What is you take on hiring foreign workers who might no have us training but are still pretty good for jobs like framing sheetrock and paint. non technical like plumbing or electricity -
A few things i learned - Never ever pay them in full - Get multiple bid at least 6 bids - Buy the material when possible shop around and know the price - Pay by the hour - HAve another contractor do the change orders - Hire and Pay out the subs when possible - Build you contractor list as you go small medium and big jobs.
There are some investors whom have had a good experience on Angie's list for sure. You usually have to be savvy with what is going on though since they are used to dealing with Homeowners. But the reviews can hold them accountable.
Also I have no problem hiring foreign workers. In fact, most of my handymen are all foreign workers and have been very reliable. Often times I even find them easier to work with than American contractors for bulk heavy work like framing due to them not usually taking on too many jobs and also working all day regularly
Great video. I know it's a few years old, but hopefully you will still see this question. Do you put an "independent contractor" contract in place for each flip when hiring the general contractor?
Yes I have the general contract operate as an independent contractor whom has a contract for each seperate project. But the contract is really just to make sure we are on the same page. They are very simple email agreements
Used to be General Contractor clients wants hustle people most the time,
Certainly investors like to hustle the contractors as well. I'll be making a video on that. Especially now that I have experience with it since I have become a general contractor as well
hello - i have an empty shell in baltimore that needs full electric wiring with 200 amps, 2 story 1400 sq ft. i was quoted 16k and thought that was ALOT in light of your vid stating it doesn't cost you more than 6k. can you recommend someone who can do it for less?
Just to make a quick clarification, this video was made in 2019 before one of the largest price increases of a generation. So these prices I say are going to be very inaccurate now. A full gut electrical rewire will be roughly 9k to 11k. To 16k is still expensive but closer. However please note that it is normal to you newer investors higher pricing because they are accounting for all the issues that new investors bring to renovation projects
Very insightful, thank you very much!
Glad you enjoyed it!
Great information, a lot able to be learned from this video.
Amazing info! Thank you. I am soaking it all up
Take note that all MEP union skilled tradesmen get paid a 65-70 dollar package as an employee without any use of company overhead. Overhead is usually 8-10 per hour if the contractors os working constantly. It goes up when work slows. Contractors are looking for individuals who know thier cost and can respect them making a small profit (10%) for working on your home. We want to be able to hire and keep guys working also. Please think of the long-term industry and meet your contractor somewhere in the middle between you getting a great deal and them staying in business. Congratulations on your real estate journey
You’re the sucker they will screw over and not pay in full. They don’t appreciate nice workers who have their best interest in mind.
If your profit margin is 10% you are going broke
That’s why “free estimates” is a scam for contractors. Never tell the customer what they need, unless they are going to hire you. This guy didn’t pay for their knowledge or their time.
100% agree. Contractors should not provide free estimates for this exact reason. But since many do, new investors should use that to make sure they don't lose.
Hey Devon I’ve been listening and studying your channels I’m sorry your RUclips for a while now I’m interested in anything you’d like to send me I’m new I’ve been in the real estate game for a long time but now I want to invest into duplex is I live in California so I’m wondering if this is doable but I listen to your videos all the time and I would like some information about starting really really really small and your suggestions Jazz’s thank you
Very valuable lesson, thank you. My question is how do I know how long a work takes from start to finish? can I set a time limit when a work needs to be completed? thanks in advance.
When first starting off, you really just need the contractor to tell you how long they will take. But after a while you start to get a gauge on the contractor's speed of work. Keep in mind though that many estimates of thier time will be inaccurate due to them taking on multiple other projects at once and not managing thier crews correctly. Also if you pay them too much upfront, it will slow them down significantly
@@DevinMorenoInvesting why is it seen as poaching contractors? Dont they want more work especially in this economy? Surely if i have a good contractor i would be happy to tip him off about a potential project elsewhere. If he is busy he can refer a friend etc
@@zevlove612 In a perfect world a contractor would accurately gauge how much work they have and appropriately allocate their time or refer others. Unfortunately many wont do this and can quickly take on way too many jobs to prevent losing consistent customers. Therefore experienced investors prevent this by tying up the contractor with a ton of jobs and never giving out thier information.
@@DevinMorenoInvesting this implies there is a shortage of contractors and I very much doubt it. Its pure selfishness and greed is what it is. Its the same attitude you will towards finding leads. If u have a good doctor do you refer others to him or her no matter how busy or say let me keep him for myself. Madness
@@zevlove612 There is a shortage of "good" contractors. Even the best investors have trouble finding them. So I agree there is an element of greed here. There just simply is way more contract work than reliable contractors.
Devin im loving your information bro 😎😎🔥🔥🔥🔥🔥
Glad this is helpful! I'm making sure to post 3 videos a week! Let me know if there is anything specific that you'd like to know
what are some key neighborhoods you suggest for bmore home flipping
I personally havent flipped a property as I only buy and hold. However I do see a lot of that activity on the "edge" of nice areas. This will be on the northern side of Patterson Park, Highlandtown, Reservoir Hill, Charles Village Area, Waverly, and Pigtown. Though if you go out into the fringes you will still see solid deals in Northeast Baltimore near the county, and around Morgan State University.
Wow this was so informative for me-Keep up the good work!
Hi Devin, can you share your Baltimore contractors and your review? I’m looking to buy a new home with the Fannie Mae homestyle reno loan. Your input would greatly help. -thank you
Yes I can share some contractors, though I encourage you to watch this video to see my limitations on that: ruclips.net/video/Mj82ljp7Ms8/видео.html
I am a licensed master electrician and real estate investor in Baltimore. Look me up if you need a good electrician. Homerun Electric out of Perry Hall, MD
Great content! Do you have a Facebook group?
I dont have one for myself but there is a Baltimore Investors group. You can find it just by searching Facebook for it.
Do you do classes, how can I email you,, I need to ask you questions about fix and flip and how to buy a townhouse or single family home I just started looking to buy properties in Baltimore. I need a mentor.