In our many years of managing the real estate investments of our clients, Bay Property Group has forged longlasting relationships with a variety of contractors. While we painstakingly vet the home improvement professionals we hire to keep your property in good condition, from time time, Murphy’s law sets in.
Just a couple weeks ago, a pipe burst on what was considered a standard job, and this spilled into a neighboring unit. The event was unfortunate, but since the contractor was licensed and bonded, the insurance company funded brand-new plumbing fixtures in both units. Although the mishap was certainly an irritant, it was not catastrophic.
Have things just worked out just fine before? Don’t count on your good fortune to continue.
Accidents are unintentional — that is why they are called accidents. Bay Property Group has encountered many landlords who have unlicensed contractors on speed dial, and for the most part, jobs go off without a hitch. If this sounds like you, please don’t get a false sense of bravado. It only takes one time for calamity to strike and potentially, bankrupt your rental business.
Take, for instance, shoddy work on a heating system that results in tenants suffering carbon monoxide poisoning, and you have colossal liability.
Not uncommonly, many rental property owners call upon workers who go beyond the scope of their competencies. Someone skilled at carpentry, for example, may not be familiar with electrical codes.
Now is not the time to save a few coins by hiring a friend or your cousin
Hiring a friend or family member who is unlicensed is the same thing as hiring an unlicensed contractor — if something goes awry, the legal system will make no distinction when it’s time to pay up for injuries or damages, and oftentimes, friendships do not survive with a dark cloud of financial obligations, lost wages, and lawsuits looming.
Bay Property Group is sometimes approached by landlords with a recommendation to utilize the services of unlicensed handymen in an effort to save some money. For many property management companies, this presents an ethical conundrum because risks have to be weighed against potential savings.
Bay Property Group understands the bottom line of owners and we work hard to maximize your return on investment, but on this topic, we cut no corners. Our blanket policy is to use licensed contractors and pull the proper permits to protect the long-term interests of our clients.
Success should not be left to chance.