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Discussion Starter · #1 ·
Trying to get an idea if I am underbidding jobs from a regional that I get consistent work from thru Cyprexx. If everyone bidding was on a level playing field in regards to cost of business, what would you bid on the following services:

Intitial lawn - 1 acre lot, under 12" (weedeat,edge, shrub trim)
10 cy total debris
Initial Sales clean - 2000 sf property (to cyprexx specs)

I know that there are many variables here, just trying to get an idea of what others charge for these individual services in a bid scenerio. Any input is appreciated.

Thanks
 

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Trying to get an idea if I am underbidding jobs from a regional that I get consistent work from thru Cyprexx. If everyone bidding was on a level playing field in regards to cost of business, what would you bid on the following services:

Intitial lawn - 1 acre lot, under 12" (weedeat,edge, shrub trim)
10 cy total debris
Initial Sales clean - 2000 sf property (to cyprexx specs)

I know that there are many variables here, just trying to get an idea of what others charge for these individual services in a bid scenerio. Any input is appreciated.

Thanks
Get a copy of HUD letter ML2010-18. Give 20% for Cyprexx and 20% for the regional. You probably won't get many bid approvals but that's about where you should be bidding at.
 

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a billion dollars....
That way everyone can take a cut and you'll get the 550 you need to complete the job
 

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I work for Cyprexx directly and could easily get $750 on that bundle, depending on the (their) client. I could also make the same job happen relatively comfortably for $550. If the jobs you bid for this regional come out in your favor and you feel comfortable with your profit then don't worry if there is more on the table. Their profits are marginal and it maybe that the only thing keeping their work flowing to you is your "reasonable" prices. The more you try to squeeze out of them, the more likely they are to look elsewhere. I work through two other regional companies and I often wonder the same thing, but I still keep their bids lower. You can get a bit more than $150 on a 2000sf sale clean too. Just get lots of close ups of the grime to justify. :thumbsup:
 

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Cyprexx would only ever do 20/cyd with me on gmac BUT they were not sticklers on cyd counts, almost never had my cyds disagreed with.
 

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I work for Cyprexx directly and could easily get $750 on that bundle, depending on the (their) client. I could also make the same job happen relatively comfortably for $550. If the jobs you bid for this regional come out in your favor and you feel comfortable with your profit then don't worry if there is more on the table. Their profits are marginal and it maybe that the only thing keeping their work flowing to you is your "reasonable" prices. The more you try to squeeze out of them, the more likely they are to look elsewhere. I work through two other regional companies and I often wonder the same thing, but I still keep their bids lower. You can get a bit more than $150 on a 2000sf sale clean too. Just get lots of close ups of the grime to justify. :thumbsup:
No offense but that has to be the worst advice I have seen in a long time. You are running your business and should never leave money on the table. It is that mindset that has thrown this industry into the state that it is in. Ask yourself the following questions: Who is doing the work? Who is financing the work being done? And who really is taking the risk? It sure as he!! isn't the paper pushing order mills..........
 

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Trying to get an idea if I am underbidding jobs from a regional that I get consistent work from thru Cyprexx. If everyone bidding was on a level playing field in regards to cost of business, what would you bid on the following services:

Intitial lawn - 1 acre lot, under 12" (weedeat,edge, shrub trim)
10 cy total debris
Initial Sales clean - 2000 sf property (to cyprexx specs)

I know that there are many variables here, just trying to get an idea of what others charge for these individual services in a bid scenerio. Any input is appreciated.

Thanks
Actually that is a $365 flat rate house as far a Cyprexx is concerned.
 

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My "other type response" is the truth basically i think alot of these regionals subbing work are going to go to this bid everything to get everything because all these craigslist guys and newbies are thinking getting into this field is so easy and full of money and when they get in with a regional subbing work they get all warm and fuzzy because they are a contractor for someone and they bid these down so far because alot of them probably arent educated in HUD pricing and the process of bidding correctly period so in return everyone knows they have to give their best price to get it so it gets lower, and the regional gets it done as cheap as possible. I could be wrong with my thought on this but i think alot of regionals and companies alike will go to this because they have a chance to get it done as cheap as possible from their "pool" of their contractors.
 

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I could be wrong but the banks aren't paying hud pricing on reos to begin with. They do on pp work but not reos. So companies like cyprexx are maybe getting in the $30s per cube. If someone knows better feel free to chime in.
 

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Swift,

I didn't read where the OP said it was an REO property. To expand on what I said earlier, also get a copy of the FNMA, FMAC, FHA, VA or whatever the loan is allowable sheet and bid off of that. While it is true that the nationals don't make the same rates on an REO property versus a federal property, it is also true you will NEVER get a call saying the bid is too low. If the bid is too high, worst case you never hear back on it. Best case, you here some crap about "This bid is above industry standards, etc. etc. etc". Every bid that is accepted or denied should tell the contractor if they can/want to adjust how they bid in the future.....
 

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Discussion Starter · #17 ·
Thanks everyone for your comments.

Brad: I never stated REO or federal as it was just hypothetical based on the types of props I see with FNMA which with this regional are all REO. I am familiar with the 20% - 20% guideline and have the HUD and FNMA pricing. Thanks again, your advice has been helpful.

SwiftRes: I never get anything approved thru this regional when my bid is over 20cy. In fact, just today I sent in a bid for 48 cy at $23 a cube and first response from regional was "48 cy cannot pay $1,100" (haven't replied yet - but my answer will be "it does if you want me to do it")

Trying to diversify my business through local avenues to move away from the watered down regional pricing and endless BS. Have no desire to become a vendor for another regional in that regard. Wish I could've had the capital to go direct from the start but it wasn't in the cards.
 

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Thanks everyone for your comments.

Brad: I never stated REO or federal as it was just hypothetical based on the types of props I see with FNMA which with this regional are all REO. I am familiar with the 20% - 20% guideline and have the HUD and FNMA pricing. Thanks again, your advice has been helpful.

SwiftRes: I never get anything approved thru this regional when my bid is over 20cy. In fact, just today I sent in a bid for 48 cy at $23 a cube and first response from regional was "48 cy cannot pay $1,100" (haven't replied yet - but my answer will be "it does if you want me to do it")

Trying to diversify my business through local avenues to move away from the watered down regional pricing and endless BS. Have no desire to become a vendor for another regional in that regard. Wish I could've had the capital to go direct from the start but it wasn't in the cards.
Willy,
Why not go direct to Cyprexx? I am sure you wait on payment from regional don't you? So capital outlay isn't much different. Even so, 20%/yr interest on a credit card is still cheaper capital than 20% per job. On REOs here, we always got approved whatever the CYD was. They would only do $20/CY for us, but as I said, they were not picky on CYD count.
 

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Willy,
Why not go direct to Cyprexx? I am sure you wait on payment from regional don't you? So capital outlay isn't much different. Even so, 20%/yr interest on a credit card is still cheaper capital than 20% per job. On REOs here, we always got approved whatever the CYD was. They would only do $20/CY for us, but as I said, they were not picky on CYD count.
Is that $20/CYD before or after discount?
 

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Cyprexx doesn't use a discount. Their price is their price. You bid X CYD at Y price and if your bid is approved, you get paid that much. No email after the fact stating your photos don't justify cyd.
 
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