Neil Resto℠ 🏘

🇨🇦 🏳️‍🌈 📚 🚀 🛰

[Neil Resto℠ 🏘 @neilhpro]

Welcome to the White Papers Topics explanations of my Career. Coming Soon!!

A "Sneak Peak" is Now Available ...
https://t.co/LT2RBLwDBi

[Gordon Lamphere @Gordon_CRE]

The business world is run by those blessed with a sense of urgency.

Happy Monday 😉

[Dr. Julie Gurner @drgurner]

Don't go cheap in the wrong areas:
Spend on upleveling yourself.

Retreats, Education/Courses, Fitness, Dinner with Contacts, Networking, Improving your Diet...

These are investments, not luxuries.

[CRE Romans @creromans]

Thank God for property managers

These people wear a smile on their face and a positive attitude every time I see them

However, most all of their interactions with tenants are associated with the tenant being upset about something

I could never do it… Hats off to them

[Neil Resto℠ 🏘 @neilhpro]

@kobyjconrad thanks for the follow. I followed back.

[Neil Resto℠ 🏘 @neilhpro]

@AaronKlein10x thanks for the follow. I followed back.

[Neil Resto℠ 🏘 @neilhpro]

@AvivaRealEstate It's funny bc it's one of the breeds that can be very expensive and cheap at the same time, but in honesty that's not as expensive as some of my dogs (of a different breed). My current dogs both have a Mortality Insurance Policy.

[X @XaviercMiller]

There’s no obstacle that’ll stop you from making it happen when you want it bad enough.

[Artem Tepler | R.E. Developer @ArtemTepler]

Most people don't understand the costs that go into "overhead" and "profit" for a GC. Here is a good summary:

Contractor's Cost Estimation and Pricing

The contractor initially estimates the hard costs, which include money paid out for labor and materials, required to complete the job.
These costs are then marked up to determine the bid price. The markup accounts for overhead and profit.
Overhead and Profit Components

Overhead
This term refers to all the indirect costs of doing business that aren't tied to a specific job. Examples include:Costs for trucks, tools, and equipment.
Office expenses, bookkeeping, and accounting.
Advertising, training, legal, and insurance fees.
Other business-related costs.
If a contractor undercharges and doesn't cover overhead costs, their business may not be sustainable.

Profit:This is the net profit or the amount left for the owner after deducting all hard and soft costs of completing the job.

The company owner's labor cost is treated differently depending on their role:If they work part-time on the job, their labor cost is a hard cost.
If they work in the office and draw a salary, this would be considered overhead.

Calculating Overhead and Profit
Different companies use various methods to calculate overhead and profit. For instance:Some companies categorize labor burden (employee benefits and taxes) as a direct job cost, while others consider it overhead.
Some companies markup materials, labor, and subcontractor costs; others may only markup labor.
Overhead assignment could be based on job duration rather than cost.
Some may use a line-item expense for the contractor's management fee instead of "profit."

Regardless of the method used, it is vital for a company to earn enough to cover all costs, with net profit left to reward the owner and cover future needs.

Typical Overhead and Profit Rates
The "right" amount of overhead and profit varies and tends to be higher for larger companies. Small companies, particularly those where the owner is onsite daily, usually work primarily for wages, with modest additional profit.
According to a national survey by NAHB, the average net profit on land-and-house packages was about 9%. Overhead, marketing, and sales accounted for another 10%.
Custom builders typically work on smaller margins (15% to 18% for overhead and profit on new homes), while remodeling contractors usually charge higher rates.
In difficult times, some contractors may reduce their markup to attract more work with lower prices.

From my experience talking to institutional GCs building MF in TX, market seems to be 5% profit. On our smaller subinstituional jobs we run it at 6% profit.

[Neil Resto℠ 🏘 @neilhpro]

@michaelwatson2 As a xcountry traveler it's more common than you think for the "park" to be there, but on the billboard is a nice touch. I like that. I would stop just bc.

[Neil Resto℠ 🏘 @neilhpro]

@bentigg I always found the gags of a shoemaker kids, a hairdressers kids, ect.

But, I always found a Dog Trainer who didn't own a dog, ect ... kinda off!? IDK

[Neil Resto℠ 🏘 @neilhpro]

@Investmentkage @theDividendKid I remember these in Home Economics/Consumer Science in like the 6th and 7th grades

[Neil Resto℠ 🏘 @neilhpro]

With record-high vacancies, these commercial space owners are getting creative to save their buildings and businesses --
https://t.co/a8I96rYO0Y

[Neil Resto℠ 🏘 @neilhpro]

How climate change is causing housing market chaos - https://t.co/8tCuFC9wbS via @GoogleNews

[Neil Resto℠ 🏘 @neilhpro]

It just fits!

https://t.co/skCy5xEvQ9

[Neil Resto℠ 🏘 @neilhpro]

https://t.co/usCPXBHIYL

[Neil Resto℠ 🏘 @neilhpro]

Sure fire way to lose a deal; say you "ran the numbers"!?

[Neil Resto℠ 🏘 @neilhpro]

@chrisjluna thanks for the follow. I followed back.

[Neil Resto℠ 🏘 @neilhpro]

Realtor boom ends as housing market slumps ...

https://t.co/3dYkeSsDte

[Neil Resto℠ 🏘 @neilhpro]

Time to Pivot

[Neil Resto℠ 🏘 @neilhpro]

@MultifamilyMad No mistaking this homes views and charm!