$300.00 recuts? - REO Property Preservation Forum
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post #1 of 16 (permalink) Old 06-17-2015, 08:55 AM Thread Starter
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$300.00 recuts?

We have been losing work lately on the private side. There are companies springing up who are charging 1/4 of what HUD rates are. I've seen "junk buddy" "bubba's hauling" "Adam's Handyman Service" and these guys are terrible but when the realtor, asset manager, or home owner get bids and these guys are 75% less they give them a shot.

So we have been working on making the little bit of national work we do more profitable. In doing this I have found that the $300.00 recut (which I thought was a unicorn) is surprisingly common. We in fact have several of them. Now we need more of them. The key to getting them is making sure the client is aware of the size of the entire property.

I really thought perimeter cuts had ruined grass cutting but I'm starting to see some potential again.
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post #2 of 16 (permalink) Old 06-17-2015, 09:59 AM
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Trying to sell our house.

I'm a bit jaded on realtors right now. Going with the low cost hack doesn't improve that any.


On the same note folks will haul junk off for a fraction of what it should cost.
Last night on a local FB page some one posted pics of a pile of junk that would probably take AT LEAST 2 hrs to load and go to the dump. Maybe 3.
They were offering $100 all in and folks were fighting over being the first to the trough.
Disposal was probably close to $40 by itself.

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Amateurs are people that can't do their job even when they do feel like it.
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post #3 of 16 (permalink) Old 06-17-2015, 10:12 AM
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The thing is, depending on the bank or management company, even when working thru some brokers, payment on an invoice can be 30 days +.
One of the biggest reasons I have seen that the fly by nights don't last very long on the private end is that they 1) don't have enough working capitol to float jobs that long 2) can't manage money period.

If you have brokers that want to give "Bubbajunk" a try, it is likely you will be getting a call from them again soon. And BTW, when the lowballers take those $100 debris jobs there are no dump fees, only dumping.
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post #4 of 16 (permalink) Old 06-17-2015, 10:18 AM
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I just had a client yesterday call me. I bid a trashout on a single family house for them about a month ago. I thought it was a good price. He wants a new bid without hauling the trash to the dump. "How much if you just move everything into the garage?" So I rebid at the same rate minus one dumping fee and this bid is valid for 15 days. The guy is nice enough, just never worked a job without a suit and a calculator. We'll get the job, either before or after the city cites him for debris in the yard.
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post #5 of 16 (permalink) Old 06-17-2015, 10:22 AM
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Quote:
Originally Posted by BPWY View Post
Trying to sell our house.

I'm a bit jaded on realtors right now. Going with the low cost hack doesn't improve that any.
I found out that a good realtor for selling your home and a good realtor for buying and selling investment property are two different animals. The big thing for you out in that wide open state is to get your house on the MLS. When it comes to buying houses to live in, I don't even think of calling my realtor until I've scrubbed the websites and researched every property I am interested in. The only thing I want my guy for when selling is to list it on the mls and be the go between, but I try to use the same people, depending on the state/area.
Then again, I have a few guys that work for me that have sold their homes on craigslist. Go figure.
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post #6 of 16 (permalink) Old 06-17-2015, 11:44 AM
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yup...

I had someone call to remove a hot-tub. told the lady 250-350 depending on size etc. great she says.. calls back the next day.. can you do for 120? um no? a guy stopped over and said he will do for 130.. I told her good luck as the dump fee will be nearly 75-80. not sure how someone can work for pennies. I know this wasnta high paying job but all it required is me to use my 30inch chain saw blade and cut in 4 sections and clean up mess and haul away. no heavy lifting etc.. i call her to see how it went he was there for 3 hours with a sludge hammer and didnt even take the cover or steps. another douche that thinks cause he got a customer he is on a roll to being a millionaire

This industry sucks.. to many idiots making our prices lower and lower..

I had a tree removal that i lost cause someone said they will do it for 265$ How????? i would charge close to 400.
Also my snow plowing last year i lost my big account cause i was doing 45-65 per store upto 2"
a douche comes in and says he will do them for upto 3.5" for 35 per store. where the hell is the money making?
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post #7 of 16 (permalink) Old 06-17-2015, 11:51 AM
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Quote:
Originally Posted by ezdayman View Post
I had someone call to remove a hot-tub. told the lady 250-350 depending on size etc. great she says.. calls back the next day.. can you do for 120? um no? a guy stopped over and said he will do for 130.. I told her good luck as the dump fee will be nearly 75-80. not sure how someone can work for pennies. I know this wasnta high paying job but all it required is me to use my 30inch chain saw blade and cut in 4 sections and clean up mess and haul away. no heavy lifting etc.. i call her to see how it went he was there for 3 hours with a sludge hammer and didnt even take the cover or steps. another douche that thinks cause he got a customer he is on a roll to being a millionaire

This industry sucks.. to many idiots making our prices lower and lower..

I had a tree removal that i lost cause someone said they will do it for 265$ How????? i would charge close to 400.
Also my snow plowing last year i lost my big account cause i was doing 45-65 per store upto 2"
a douche comes in and says he will do them for upto 3.5" for 35 per store. where the hell is the money making?



I've been lucky in that I was able to find and keep loyal lawn/snow customers.
The problem is that I'm totally burnt out on seasonal work and the stress the uncertain income stream causes is doing my health no favors.
We're buying a food distribution route once the house sells.

Professionals are people who can do their job when they don't feel like it.
Amateurs are people that can't do their job even when they do feel like it.
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post #8 of 16 (permalink) Old 06-17-2015, 12:05 PM Thread Starter
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Quote:
Originally Posted by GTX63 View Post
The thing is, depending on the bank or management company, even when working thru some brokers, payment on an invoice can be 30 days +.
One of the biggest reasons I have seen that the fly by nights don't last very long on the private end is that they 1) don't have enough working capitol to float jobs that long 2) can't manage money period.

If you have brokers that want to give "Bubbajunk" a try, it is likely you will be getting a call from them again soon. And BTW, when the lowballers take those $100 debris jobs there are no dump fees, only dumping.
One particular job we lost they were selling the stuff right out of the property on Craigslist. I guess that beats a dump fee and makes you some money while you wait for payment.

I'm not going to compete with these kinds of guys and we are not going to Apologize for our price. It's just frustrating when some guy does a 40 cyd trash out for $500.00 and my bid was $2,000.00.

Anyway like I said the $300.00 grass cuts are becoming more and more common and if we can keep the mowers running we will just close the summer out that way.
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post #9 of 16 (permalink) Old 06-17-2015, 01:29 PM
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Had one not too long ago. My foreman was on site to look at a trashout, 2 acre mow and interior paint and carpet. Another guy in a beat to death truck is already there hauling out a tv, pulling the stainless stove out to cut the gas line and his truck is half full of items for resale.
My guy says "WTH are you doing?" He says he is there to do a trashout. Well, a quick phone call confirmed he was supposed to be doing a 2nd bid only. The broker called him and ordered him off the property. His bid could have been half of mine and he wouldn't have got the job.
A client tries to save a little money and it ends up costing them more when the job is poorly done and/or the vendor is a thief.

I've had a few bad guys work for me over the years, and it is stunning to see how many of them go to work for the competition. That says a lot.
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post #10 of 16 (permalink) Old 06-17-2015, 02:49 PM
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Funny

There was a house in downtown had the sub zero fridge, and jennair washer and dryer and double decker dishwasher.. go back next week all replaced with old white appliance someone got nearly 7 grand worth of stuff for free..

also there was a guy was using a scrap guy.. every home was broken into and all copper stolen. .it was funny that ****guard couldnt put 2 and 2 together... the brokers still use him on alot of side jobs cause he is "cheap"

I would be cheap too if i used a snowmobile trailer with fence walls 9ft tall..
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