Episode 40: Best Practices to Mitigate Risk when Working with Contractors
After having achieved financial freedom as a real estate investor, Soddee has had ample time to reflect on some of the challenges he faced in his business, one many of us investors out there can relate to being, how to effectively deal with contractors. Failure to meet your value-add timeline or construction cost overruns could erode away your returns. From contractors not showing up, being inconsistent on work their work schedule, doing shoddy work, or renegotiating price and scope mid-renovation, you want to make sure you have done the best you can to cover you and your investor’s basis. In this episode, Soddess shares with us some tips and best practices that he implements in his business to mitigate risk when working with contractors.
About Soddee Knight:
Soddee Knight is a former state prosecutor and federal employee that was able to walk away from his full-time job as a lawyer due to his passive real estate income surpassing his W-2 salary over a year ago. He specializes in fix-and-flips, and multifamily value-add in Oklahoma.
Connect via website, Knightlandcompany.com
Dion Huey is a Co-founder at Delta Bridge Capital LLC which is a multifamily real estate investment company that invests in value-add apartment communities in the United States. He earned a master's degree in finance at Northeastern University in 2017 and worked on multiple business syndications as a financial analyst for Boston-based Plateau Asset Management which is a private equity search fund that has $30 million AUM. In 2017, Dion was an analyst on a deal team that advised Citic Investment Bank's Hong Kong private equity division on the syndication of a $1.5 billion acquisition of a hotel in New York. He is currently the host of The Multifamily Investor Situation Room Podcast.
In 2010 he co-founded Rocky Mountain Education and Technology Group which is a Beijing-based education services company that has serviced more than 5,000 clients. In his spare time, Dion enjoys reading, martial arts, lifting, and learning foreign languages. Contact the author at email@example.com.