A Tale of Two Clients

 

                                           Client #1                                              Client #2

These bathrooms are not in the same home. The people who commissioned me to help them with the design and construction of the bathrooms above do not know each other yet their bathrooms are now very similar. 

The bathroom on the left is a second floor bathroom in the home of good friends of mine (I always get nervous about working with friends because I do not want to disappoint them or hurt our personal relationship). They purchased their home several years back and had completed renovations on the entire downstairs. 

Client #1:

 

This upstairs bathroom was much smaller prior to renovation, had tile floor to ceiling throughout the entire bath, and had no bathtub (see above). I generally try to think of resale value when I help someone renovate their home... Their second story only consists of a bedroom/loft area and this bathroom; therefore it would be a possibility for a future buyer to use this room as a master suite. With that in mind we decided to install a double vanity with two sinks and make the bathroom larger. I also think it is a good idea to have bath tubs in any extra bathroom and since their master bedroom and bathroom is now downstairs and only has a shower I suggested putting a bathtub in this bathroom. 

We made the bathroom wider and longer in order to fit the bathtub and the double vanity. We also moved the toilet over closer to the window for a little more space (it is also more aesthetically pleasing). They really didn't have an idea for a design concept and were open to doing something a little different than their downstairs renovations (which are mostly neutral) so I suggested the Carrera marble shower and Carrera porcelain floor. They were open to the idea so we shopped for the materials and choose glass and marble materials for the listello and the back splash. They were already sold on the espresso vanity with white tops which went perfectly with the material selection. 

 

The end result was amazing and they loved it (see above). See more before and after pictures here: 

Boca Raton Private Residence Remodel

Client #2:

The bathroom on the right (at the top of this post) is a renovation I commissioned only a few weeks after completing my friends' bathroom. This client already had a vision. They knew that they wanted an espresso vanity with white shower tile, a black river rock shower floor, and blue accent materials. They have lived in their home for almost four years and have yet to use their master bathroom shower because it has never worked and has been sitting as an incomplete project (see below).

We did not make this bathroom larger but the renovations made a huge impact and the space appears much bigger now. We re-framed the shower area and installed new materials including 18" x 6" subway tile up the shower walls and black river rock shower flooring. We used the same flooring, listello, and back splash materials as client #1 which is why the two bathrooms appear to be so similar. This client went with a darker blue paint on the walls. We also removed the overhead soffit, re-wired, re-plumbed, and installed a custom shower bench and over sized nook.

Once again we achieved amazing results! It makes me all warm and fuzzy inside when my clients are happy and can enjoy their new space! 

All in all both bathrooms look amazing and I am so happy to have completed successful renovations for each client. The espresso cabinets are a trend that I am happy about because they are classic, streamlined and will most likely be around for awhile. I always gravitate towards white and/or neutral tones because of their design longevity which is why I am glad both of these clients opted for classic materials. I really love when a client expresses themselves through a bold listello or back splash choice so long as it is not too wild or trendy. If a client wants to get a little crazy with a design aspect I always try to steer them towards a bold paint color. Paint is a great way to add personal taste without breaking the bank and it is easy to change if they end up growing out of the color choice. 

Which bathroom do you like the best?

Blog post by Aja De Los Santos, GM & Head Designer at Investcove Properties

HOW TO: Hiring a Contractor Series - Part 4

PART 4: PUTTING IT ALL TOGETHER 

You did your research, you found a firm that specializes in construction and design, and you scheduled and completed your consultation(s)... You decide on the contractor/design firm that you feel completely comfortable with. They understand your vision, respect your budget, and have a solid portfolio of work. Now what???

• Paperwork
• It is important that you review all of the paperwork that your contractor submits to you. Make sure that you completely understand the estimate, contract, and initial invoice. Discuss the terms of the contract and payment schedule with the contractor so that you are both on the same page. Most contractors will ask you to sign the initial estimate noting that any changes must come in the form of a "change order" signed by both you and the contractor. This will alert you to any changes in the original estimate before the contractor starts the work. A contractor's agreement or contract will state the job description and estimated costs. This is generally an additional piece of paperwork to protect you and the contractor (see below for further detail about homeowner and contractor protection). The initial invoice will most likely contain material costs and/or a deposit for the work (see below for further detail on payment). 
• Florida's Construction Lien Law (Homeowner Protection)
• According to Florida law, those who work on your property or provide materials, and are not paid-in-full, have a right to enforce their claim for payment against your property. This claim is known as a construction lien. If your contractor fails to pay subcontractors or material suppliers, the people who are owed money may look to your property for payment, even if you have paid your contractor in full. 
• What does this mean? In short, it means that even though you pay the contractor you hire in full, if they do not pay the people who work under them you may still be at risk. You can avoid this by asking your contractor to provide you with releases of lien for every payment that you make to them. This will ensure that no other sub-contractor will file a lien on your property. For more information on Florida's Lien Law click here: http://www.myfloridalicense.com/dbpr/pro/elboard/documents/florida_lien_law.pdf
• If you do not live in Florida, check your states construction lien law for more information.
• Contractor Rights
• Contractors have rights as well. If you sign an agreement with your contractor it is important that you pay your contractor. If they complete the work and you do not pay them, they have the right to file a lien against your home which could prevent you from obtaining financing or selling your home in the future. 
• Payment
• All contractors have different payment terms so it is important that you review and are comfortable with the terms of the contractor that you hire. Everything is negotiable so if you have an issue with the payment terms and/or schedule discuss it with your contractor and they will most likely compromise. However, please understand that it is not fair to have your contractor carry material costs throughout the duration of the project. Most contractors will ask for materials up front. Realize that your contractor is paying employees and/or sub-contractors throughout the process of your project so whichever terms you agree to it is important to adhere to those terms. It is also customary for a contractor to allow the homeowner to withhold a percentage (generally 5-10 percent) of the contractor until final walk-through of the property. 

I talk to so many people who are scared of bringing in contractors and renovating their homes because they have heard multiple horror stories... "I hired XYZ Contracting and gave them a 50 percent deposit and they never showed up!" or "ABC Building left my home a complete disaster!" I promise you if you follow the guidelines I have laid out in this series you will have no problem hiring a contractor, understanding the process, and enjoying the end results! 

This wraps up our HOW TO: Hiring a Contractor Series. If you have any questions regarding this series or construction industry practices in general, feel free to email us at INFO@INVESTCOVE.COM. We would be happy to answer any questions that you have. 

1925 Historic Cottage Renovation Project, West Palm Beach, FL by Investcove

 

1924 Historic Spanish Renovation Project, West Palm Beach, FL by Investcove

Blog post by Aja De Los Santos, GM & Head Designer at Investcove Properties

HOW TO: Hiring a Contractor Series - Part 3

PART 3: FREE ESTIMATE VS PAID CONSULTATION

You have found a few companies that offer both design and contracting services. You have seen both of their portfolios and want to get an estimate from each company and then make your decision. The first company offers free estimates and the other explains that the first consultation is $100 for the first 90 minutes. You scratch your head... Why does one offer similar services for free and the other charge $100???? 

While contemplating this overwhelming renovation project and all the associated costs, you think that saving $100 could help you in the long run. I mean, free is always better, right? In this post recession madness we are always looking for a great deal. We are looking to save money anywhere we can! Look, I hear you, I am a Groupon/Living Social junkie! My husband and I literally have a spreadsheet to keep track of all of our coupons and discounts. 

I love a great deal as much as the next gal, but there are circumstances in which cutting corners can ultimately cost you more in the long run. Take the previous post... Hiring a designer may cost a little extra money up front but not only will it ultimately help you save money in other areas, it will also get you the results you hope to achieve. While renovating your home is an investment, in the actual brick and mortar of your home, it is also an investment in your emotional well being as you complete the project.

 Here are some reasons why you may want to consider paying for a consultation versus only getting free estimates:

• Beware of the "free estimate"! This is OK if you are doing straightforward work, such as putting on a roof, swapping out a toilet, or general painting projects; but if you are looking for intricate remodeling work, such as a kitchen or bathroom renovation this so called "free estimate" may end up costing you a lot more in the long run. Contractors are busy people and they are looking to streamline their work and move easily from job to job. Their time is valuable so when they are offering it to you for free there could be strings attached. Lets say you want to remodel your kitchen... You tell the contractor you want to replace your cabinets, counter tops, back splash, and redo your ceiling with recessed high-hat lighting. Most contractors will measure your kitchen and give you a price based on lower level cabinets, granite, and back splash. You sign the contract and start work only to find out that the cabinet choices they picked are not what you wanted and that an upgrade may cost you thousands more.

• Calling a contractor and finding out that they charge $100 or $150 for an estimate or more properly called a consultation may make you balk. However, the company that charges this fee not only values their time but they also value yours. More importantly, they value your budget! I know, I know, you are thinking, "How are they valuing my budget if they are charging me for our first meeting?" This is how... This contractor is going to take their time with you. They are going to listen to your wants and needs, they will help cultivate your vision, and they will explain all of the intricacies of the construction process. They will also help to frame your expectations in regards to a timeline, budget, and end result. Instead of spitting out a "fill in the blank" estimate, they will work with you to design an      estimate for your project explaining where you can expect to cut back and where you may want to splurge. They will also explain additional costs associated with certain areas of the project that may arise during renovation (plumbing or electrical behind the wall that you cannot see initially) so you can prepare for that ahead of time. And here is the good news... 99% of the time, when you hire this contractor they will reimburse your consultation fee. 

Investcove Properties charges for their consultations. We initially performed free estimates and found that most of the customers had no intention of hiring any contractor. Investors are mostly the culprits. They are trying to get a certain price from a bank on a property so they will call multiple contractors and ask for free estimates. This is a waste of the contractors time, money, and resources. It may be free to the customer but it is not free to the contractor. They must allocate their employee's time to go out to a job and write up an estimate. This process could entail more than ten hours to complete the process satisfactorily. If a client calls me for an "estimate" I will explain the consultation process. If they are uncertain about paying the consultation fee, I will set up an appointment to come out and meet with the client (at no charge) explaining why this fee is charged. The majority of the time they decide that they would like to move forward with the consultation and have no problem paying the fee. So you have to decide if free, in this situation, is really better.

Blog post by Aja De Los Santos, GM & Head Designer at Investcove Properties

HOW TO: Hiring a Contractor Series - Part 2

PART 2: CONTRACTOR VS. DESIGNER

Now that you have done your research and narrowed the field down to a few qualified contractors, you get ready to call them up and schedule a time for an estimate or consultation; but, you get side tracked by a phone call with one of your friends. You explain that you are about to remodel your kitchen and that you found this awesome blog that explained the importance of doing your research. You go on to say that you found two licensed and insured contractors with great reviews and outstanding portfolios! You are super excited and then your dear friend asks, "That sounds great, but who are going to get to design your kitchen?"

WHAT???? Design my kitchen? I thought that the contractor would do that? Not so fast! Contractors are not designers and designers are not contractors. Here are a few things you should understand about contractors and designers:

• Most contractors expect you to know exactly what you want. They meet with you and give you an estimate based on your criteria. They will not be able to assist you with a functional design or offer suggestions that may make your end result better.
• Designers are an additional cost to the remodeling process. If you are looking for someone to help generate ideas and create a new look for your home you might want to start with a designer. One downfall to hiring a designer is that often times they do not fully understand the construction process and may have unrealistic expectations. I suggest that the designer and contractor collaborate in order to achieve the best results. 
• Your best case scenario is hiring a company that can offer both design and contracting services. Companies like this do exist but remember... do your research  If you decide to go this route make sure that you refer back to Part One of this series. They still must be licensed, insured, and have credentials.

Investcove Properties specializes in offering both contractor and design services. We have experience in all aspects of the renovation process; thus our designers, project managers, and contractors are well versed in total project design and remodeling. But, we are the exception, not the rule. I saw a need for this type of service while working with my investors renovating distressed properties. Neighbors would often stop by our remodels and say, "Wow, I wish my contractor would have thought of this while we did our remodel." I continually strive to design and remodel with functionality and beauty as the end goal. So, when you hire a company that can offer both design and remodeling services, you will ultimately save money in the end while achieving your dreams. 

Blog post by Aja De Los Santos, GM & Head Designer at Investcove Properties

HOW TO: Hiring a Contractor Series - Part 1

PART 1

So you are ready to remodel your home but you have heard multiple horror stories about contractors leaving your house a mess or not finishing the work that they started. Well my friends, I am here to help! I am going to give you the lowdown on hiring a contractor, getting great results and with an experience as enjoyable as possible.

Let's face it, remodeling your home is not going to be rainbows and unicorns! It is an invasive process, and if you live through it you need to be prepared for some stress associated with the process. Demolishing existing materials and fixtures, covering and moving furniture, and dealing with lots of construction dust is inevitable. However, if you are aware and prepared for this ahead of time and your contractor is considerate of your personal space, you will get through it and end up with the beautiful home remodel of your dreams. 

Over the next several weeks this series will provide you with some insight on how to hire a contractor and get the best results! 

DO YOUR RESEARCH

• Ask around town for referrals. This is one of the best way to find someone reputable; however you can always find someone through advertisements. A contractor who has invested in advertising their company and has a web site and/or various social media outlets is most likely here to stay. Look for an updated web site, Facebook page, Pinterest account, Blog, and/or Twitter account. Basically look for investment in advertising beyond a Craigslist post (there is nothing wrong with Craigslist... but it shouldn't be the contractors only source of advertisement). 
•  If you are calling a contractor from an advertisement make sure to ask them about work they have previously done and if they have a portfolio to share with you. For example, Investcove makes 'before and after' videos of their completed projects. Demonstration of work gives the client a visual and provides a portfolio of work in process and available to be viewed at any time. If the contractor does not have anything to show, keep searching.
• Make sure they are licensed and insured. There are laws in place to protect both the homeowner and the contractor, however, no laws will protect you if you hire an unlicensed person or company. A contractor should be able to provide you with their license, worker's compensation insurance or exemption, and general liability insurance. If your contractor does not have these items, you need to find one who does. 

Blog post by Aja De Los Santos, GM & Head Designer at Investcove Properties

The "F" Word

Not too long ago I went on a little vacay with my husband and some friends from grad school. We drove down to Key West for the weekend for a little R&R. It was a group trip and so there were some people there I had never met. One of the guys (a friend of a friend) asked me what I did for a living and I explained that in addition to working with clients renovating their homes I also worked with investors who purchased distressed property, renovated it, and resold it. He thought it was pretty cool and said that it was something he was actually interested in doing. Another girl I hadn't met before, his sister, overheard this and got up from her sun bathing position to vehemently rip me a new (((you know what)))! "You FLIP houses?", she said. I said, "Yes".

Her stance on "FLIPPING" is that it ruins the market. She proceeded to lambaste me, explaining that "people like you" hurt the market. She continued to state that we are the reason that the market is the way it is today. While I believe that everyone is entitled to their own opinion, I must respectively (unlike her retort) disagree.

Look... in any business there are bad apples. People who do not do the right thing and make the majority of people who are doing the right thing look bad. This is true in contracting, real estate, and every other industry. And then there are those of us who stick by a sound code of ethics and go about each day ignoring the negative and believing there is good in the world. However, some people wear their opinions on their sleeves or shove them down other people's throats. So, I tried to reason with the girl from Key West but she did not want to hear it.

My rebuttal... house "flippers" for lack of a better term, actually help the market. We do not take houses away from people who could otherwise purchase them with a home loan. Why? Because people who obtain a mortgage for their home purchase cannot purchase the types of properties that we do; these properties would never pass an inspection or appraise for a fair market value. We are not buying houses that need some paint or maybe some carpet replaced. We are buying houses that are in severe disrepair or have specialty issues that a normal home buyer would have no idea how to fix or even where to start. For example, the last house we purchased had: no floors in one of the bathrooms; open electrical wires throughout the entire house; no electrical panel to regulate the power; multiple roof leaks; and no functional showers or bath tub. Additionally, it also had a dangerous and structurally unsound exterior with multiple holes in the walls. When all was said and done the house needed to be completely rewired, re-plumbed, in addition to several structural repairs, with renovation costs over $100,000.

So imagine a street with ten houses, a nice neighborhood with two of these houses in foreclosure. Since the people who lived in them before the foreclosure were experiencing hardship they did not have the opportunity to invest money into their home for a very long time. Vacant houses, exposed to the elements without care from anyone fall into disrepair very quickly. Not only can this bring crime and vandalism to a neighborhood but what is happening to the property values of those other eight houses? They are falling, and quickly, because now the neighborhood is in decline due to the foreclosed, vacant homes.

Here is where the "flipper" comes in. Investors are people who have cash. They are able to purchase the property, renovate, and resell it. Because a cash buyer does not need an inspection or appraisal in order to purchase the property they are able to purchase a house in any condition. Most investors look for a ten percent return on their investment. This means if they put $100,000 into a house they would like to make $10,000. When you think about the time, money, and risk involved, ten percent is a very fair return on investment. This differs for every investor of course but from my experience this is the norm. So they will purchase a house at a discount (as compared to market value), because it is in disrepair and then renovate it, and resell it at fair market value. The neighborhood is now stabilized without the possibility of additional price drops because the foreclosed homes have been renovated thus all of the houses on the street are now at the same standard (relatively speaking).

Look... I am not trying to claim Super Hero status here, this is a business like any other business. The investors I work with are looking to make a profit; however, they also assume a lot of risk and they have a solid moral compass. They choose to turn a quality product without cutting corners. They have experienced profits and losses like any other business, but in almost every circumstance the house is sold to someone who finances the property with a FHA or conventional mortgage. They were able to purchase a house that was completely renovated, passed inspection, and appraised at fair market value.

My argument with this person fell on deaf ears. She had her opinion and was sticking to it! I felt bad... I was trying to defend my passion but to her I was the bad guy. At the end of the day it doesn't matter what other people think, you have to do what you love with strength and passion. So the moral of the story is; house flippers are people too and no matter what others think you should never let anyone get in the way of your passions and dreams. Cheesy but true!

Blog post by Aja De Los Santos, GM & Head Designer at Investcove Properties

Where it all began...

This old ranch style home was abandoned...discarded just like an old pair of running shoes. I try but cannot understand why people treat their houses so poorly. These wood or concrete structures start out as houses but become our homes. We LIVE in them, we create families, marriages, babies, and memories. We leave them to travel and explore but we always yearn for that familiar feeling of home. Coming home from a long day of work to my home, my sanctuary, or as my husband says, "our sacred place", makes me happy.

The abandoned three bedroom, two bathroom house had no flooring, no kitchen, no air conditioning, and to many people who looked at it, no potential. This was the first home I purchased for myself to live in... and at 21 years old I had a major project in front of me. My friends called me crazy but I had a vision and knew that I could make it a home.

My family had been in the construction industry for many years. All of my uncles on my mother's side of the family owned and operated their own businesses and they learned the trade from their father, my grandfather. Thus, I was a third generation family member with building and design coursing through my veins. At this time I worked for a construction company handling all of the accounting, payroll, financial reporting, and helped organize the project managers and construction schedules. I guess it really was in my blood because I enjoyed watching projects go from conceptualization to realization. I would watch 300 plus single family home communities being built at an alarming rate but without creative focus. So, once the structures were up, I started to pay close attention to the finishing details, often wondering why builders weren't more involved in what I thought was the most interesting process...design. But, these builders were rushing to finish to move onto the next job. They were more interested in getting the project done quickly and as inexpensively as possible. In their speed, they missed so many design elements that would benefit the buyer tremendously yet still wouldn't cost a lot of extra money.

So...back to the ugly brown house in the above picture. When I purchased the home I had decided that I would renoavte it little by little starting with a new air conditioner and some flooring. Whenever I had enough money to add something else I would. The next project was windows and doors, then the kitchen (I did dishes in the bathtub for quite some time), the new bathrooms, and finally the exterior. The process to most would seem frustrating and annoying but I found it fun and exciting. I was amazed at every transformation and how much the house would change after each new installation.

Finally, the finished product. When my friends and family saw the end result they all said the same thing, "Wow! I would have never had the vision for this!" This of course was quite a few houses ago and there have been many design challenges and lesson since. However, this small ranch home will always hold a special place in my heart because it was where I discovered my love of transformation. 

I continued to work in the residential and commercial construction industry for several years. I would occasionally purchase a home and renovate it then resell it. What set me apart from other "house flippers" was that I would really think about the end user and how they would live in the home for years to come. After too many years in a taxing South Florida commercial construction industry, I knew that I was not happy and it was time to do something I would truly love. I decided to find partners to work with and started to purchase distressed properties, renovating and reselling them as a full time career. 

Today, I continue to work in the distressed residential renovation and development market with my investors who insist, and with whom I agree, on turning a profit with a quality product. Additionally, I assist individual clients/homeowners who want to develop their own renovation and design visions. With my background in high end construction and real estate and my connections to obtain exclusive materials and have it expertly installed, I am able to create homes, not just houses, and on a budget. 

I love what I do. I learn something new everyday. This industry is both challenging and satisfying and my work days are filled with hard work and passion. And at the end of the day, I am able to go home to my own "sacred place". 

Blog post by Aja De Los Santos, GM & Head Designer at Investcove Properties