You’re finally ready to tackle that investment property improvement project you’ve been putting off for years. But before you can start demo-ing that outdated kitchen or finally adding that pool you’ve always wanted, there’s one more thing you need to do: hire a contractor.
If the thought of negotiating with a contractor fills you with dread, don’t worry—you’re not alone. For many people, haggling over price is uncomfortable and stressful. But if you go into the process armed with the right knowledge and tactics, you can get the job done without breaking a sweat.
WHAT IS THE NEED TO HIRE CONTRACTORS AND SUBCONTRACTORS?
When you need work done on your home, it can be tempting to just hire someone you know to do it. After all, why should you pay someone else when you could just get the job done yourself? However, there are a few good reasons to hire contractors and subcontractors instead.
· First of all, they have the experience and expertise to get the job done right.
· They also have liability insurance, which protects you in case something goes wrong.
· Finally, if you hire a reputable contractor, you can be sure that they will stand behind their work and make sure that you are satisfied with the final result.
So next time you need work done on your home, don’t hesitate to call in the professionals. You’ll be glad you did.
Here’s what you need to know about how to negotiate with contractors and subcontractors.
· DO YOUR RESEARCH
The first step in any negotiation is to do your homework. If you want to be successful, you need to know as much as possible about the other party and the market conditions. In the case of hiring a contractor, that means getting quotes from multiple companies and doing your best to identify any areas where you can save money.
When requesting quotes, be sure to include specifics about the job so that each contractor can give you an accurate estimate. Once you have a few different numbers in hand, take some time to compare them side by side. This will help you identify any areas where one contractor may be trying to charge more than the others.
· KNOW YOUR BOTTOM LINE
It’s important to know your bottom line before starting any negotiation. What is the absolute most you’re willing to spend on this project? Once you’ve decided on a number, don’t budge—no matter what the other party says or does. Remember, it’s your money—you have a right to spend it however you see fit.
· DO NOT BE AFRAID TO WALK AWAY
If the contractor or subcontractor refuses to budge on price, don’t be afraid to walk away from the negotiation altogether. There are plenty of fish in the sea, plenty of contractors out there who would be more than happy to work with you within your budget. And if push comes to shove, you can always try negotiating again at a later date.
SUMMARY
Hiring a contractor doesn’t have to be a daunting task—as long as you go into it prepared. By doing your research, knowing your bottom line, and being willing to walk away from a bad deal, you can successfully negotiate with any contractor or sub-contractor—and get the home of your dreams in the process.
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Give us a call today to learn more about what we can do for you.