[silvertree]

Rory knew about this but yesterday I received a call to be the 3rd bid for a 203k loan job. I declined because it was out of my area, not to mention the guy was shopping for bids.

Wells Fargo is writing the loan and after I qizzed the homeowner he told me Home Depot was one of the bidders.

Scope was electric, plumbing, painting railings and other mostly minor repair and replace items.

Home Depot is a GC who now is getting into handyman work and whole house remodels. Wow! That surprises me.

 

[OGStilts]

Gee, I'm sure they will be good at it.

 

[kevjob]

:blink:

 

[Crock]

Rory knew about this but yesterday I received a call to be the 3rd bid for a 203k loan job. I declined because it was out of my area, not to mention the guy was shopping for bids.

Wells Fargo is writing the loan and after I qizzed the homeowner he told me Home Depot was one of the bidders.

Scope was electric, plumbing, painting railings and other mostly minor repair and replace items.

Home Depot is a GC who now is getting into handyman work and whole house remodels. Wow! That surprises me.

Well sort of!!! The HD is using huge nationwide contractors for installs. They started that 10 years or so ago. These contractors have a a lsit of subs in every market. Everything runs through the stores registers but HD doesn't carry the license, pull the permit, but they do warranty it and offer financing for it. All they are is the cash register, then everything trickles down to the poor sap that rings the doorbell on the day of the install.

 

[Darwin]

Whats up, Silver

The economy I guess. Most people are getting repairs and small installs done more than ever during these last 2 years. 2008-2009. I seen it coming in 2006. I did mostly kitchen and bath remodels before then. That got slow...

Soon I noticed folks mostly just requesting repairs/installs under $1000 around the end of 2006. I researched handyman services and in August 2008 launched my biz. Had to change the way I operated to continue to pay the bills. Been off and running every since...:clap:

 

[rbsremodeling]

Well sort of!!! The HD is using huge nationwide contractors for installs. They started that 10 years or so ago. These contractors have a a lsit of subs in every market. Everything runs through the stores registers but HD doesn't carry the license, pull the permit, but they do warranty it and offer financing for it. All they are is the cash register, then everything trickles down to the poor sap that rings the doorbell on the day of the install.

Actually in DC and Maryland The company does carry the GC/home improvement licenses.

 

[Crock]

Actually in DC and Maryland The company does carry the GC/home improvement licenses.

Right "the company" not home depot

 

[silvertree]

All it is with me is a general surprise. Handyman and GC both require a lot of trade and people skill. Were talking Home Depot now doing detail work.
As far as them using a GC, I got the impression Home Depot is the contractor, but then again I saw no paperwork.

Just to be clear, I'm not shocked at this, I knew it was coming, but of all things to find out about it at a 203K loan job was not where I expected to see them.
It makes sense in a way, they can afford to build in the systems that require these type jobs to go well.

 

[rbsremodeling]

Right "the company" not home depot

I meant home depot holds the licenses. Home depot is licensed in alot of places. The next time you see one of their adds read the fine print it list the states and counties they are licensed in sometimes,


http://www.homedepot.com/webapp/wcs...V_HS_Contractor_License_Numbers&storeId=10051

 

[Crock]

I meant home depot holds the licenses. Home depot is licensed in alot of places. The next time you see one of their adds read the fine print it list the states and counties they are licensed in sometimes,


http://www.homedepot.com/webapp/wcs...V_HS_Contractor_License_Numbers&storeId=10051

Huh, thats wild. Have to call my peeps over there and see whats up.

 

[greg24k]

Rory knew about this but yesterday I received a call to be the 3rd bid for a 203k loan job. I declined because it was out of my area, not to mention the guy was shopping for bids.

Wells Fargo is writing the loan and after I qizzed the homeowner he told me Home Depot was one of the bidders.

Scope was electric, plumbing, painting railings and other mostly minor repair and replace items.

Home Depot is a GC who now is getting into handyman work and whole house remodels. Wow! That surprises me.

They get all the contractors who never learned anything and for as long as they got insurance HD don't give a s^*t what they doing on the job, because if there is no signature of satisfaction or a complaint the contractor will not see a penny.
The sad part is.... Guess who most HO will hire? :no:

 

[silvertree]

The 203K jobs require inspections before draws.
This may be problematic for HD. I don't think this will last, but I could be wrong.
Endgame is that with their lobbying clout they could make it difficult for small business owners to qualify for these jobs, or even to continue on as small contractors. My guess is in the coming years it won't be as easy to become a contractor unless you got deeper pockets.

 

[Chris Johnson]

Your right Silver, these new guys start up with no backing or savings and it's tough, they get stuck doing the little jobs, it's tough getting a decent construction company started.

 

[SLSTech]

This doesn't surprise me - the customers trust them.

I remember about 10 years ago when they did a study on Water Heaters, who is the most trusted brand? Well as I recall GE won and they didn't even make them at that time. So HD goes to GE, buys the naming rights for WH's & voilà they are one of the top selling brands within 6 months of market introduction.

 

[Wolfgang]

Paul, I havent heard of them doing the 203K stuff here, but they do just about everything else.

 

[silvertree]

Paul, I havent heard of them doing the 203K stuff here, but they do just about everything else.

Where you located?

 

[HomerJ]

Paul,

HD has been working on programs like this for some time. They also have a foreclosure program in the works in some states.

It works like all other HD install programs, in that it's all subbed out to local or regional companies.

There isn't anyone at HD managing these jobs. Rather, it's an existing kitchen or bath sub acting as the GC.

HD gets the lead thru their connection with the lenders, or directly from HO's, and turns it over to the sub. The sub does the bid, and the work.

The HO pays HD and HD pays a % to the sub.

EXPO also used to do this type of work in their whole house design program.

 

[HomerJ]

I meant home depot holds the licenses. Home depot is licensed in alot of places. The next time you see one of their adds read the fine print it list the states and counties they are licensed in sometimes,


http://www.homedepot.com/webapp/wcs...V_HS_Contractor_License_Numbers&storeId=10051

I believe some states require HD to have a qualifier or hold a license.

In most cases, the individual subs hold the licenses.

 

[bwalley]

I believe some states require HD to have a qualifier or hold a license.

In most cases, the individual subs hold the licenses.

In Florida Home Depot has to have a Qualifier, and all of their subs have to be licensed, unless they are employees.

 

[silvertree]

It seems to be working just fine for them.

As far as being a HD contractor, they did approach me and took me out to lunch about 12 years ago. They would use my license and name, then at a later date I would give up my name and it would be all HD. I said no and that was that. No regrets.

There was little information given to me at the time and I thought it was a poor choice for me.