A real estate contractor or general contractor is a person or team who works directly with and for a project owner. The project owner is typically a real estate investor. These contractors are essentially business owners that require some business skills.
The Youtube video “Being your own general contractor” highlights the importance of knowing how to budget when working for yourself as a real estate developer.
Real estate contractors are skilled professionals who perform specific construction, maintenance, or repair tasks. These contractors will work with the project owner on the construction project through to completion. Not all of the work, however, falls on the shoulders of the general contractor. Often, these contractors will outsource some aspects of the project. Thus, they are responsible for managing the budget and supervising the sub-contractors on the project.
The contractor is hired for a specified period by the property owner or real estate investor and has complete control over the project and how it is done. Some responsibilities include managing the work schedules and accounting for the project. For tax purposes, the IRS has declared them statutory non-employees. They are truly independent contractors. Real estate contractors form part of the backbone of the construction industry in the real estate sector.