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Our Rich Journey

Our Rich Journey

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Do NOT Buy a House in Portugal to Renovate Until You Watch This: 10 Contractor Red Flags

Video Overview & Insights

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Enjoyed your take on vetting builders and wish you the very best ahead. We can sooo relate to everything you said here. You explained it so well!

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Video Description: We’ve spoken with dozens of contractors while planning the renovation of our lake house in Portugal. In this video, we share 10 major red flags to watch for before hiring anyone—or buying a property that needs serious work.

Don't go and expect other countries to be like it is 'back home' !

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Books that have helped us on our Financial Independence Journey

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I would guess those red flags should apply in any country including the US, isn't it?

— @eutc7

The Bogleheads' Guide to Investing: https://amzn.to/2UjEc4j

The Intelligent Investor: https://amzn.to/2MKGokh

Credentials in Portugal...😂😂😂😂 were do think you are ?!?!?! Do you speak Portuguese?!?!? What about you doing the renovations?

— @renatoantonio1256

A Random Walk Down Wall Street: https://amzn.to/2zIVI8p

The Book on Rental Property Investing: https://amzn.to/2UkwgQ6

Good advice, but it was too late for us 😢

— @silvanaandrade1644

Building Wealth One House at a Time: https://amzn.to/2ZJQuDW

Rich Dad Poor Dad: https://amzn.to/2ZD29IK

Good luck with the build!

— @AlgarveAddicts

The Total Money Makeover: https://amzn.to/2Lc0thn

The $100 Startup: https://amzn.to/2UnBpqK

I thought you were talking about Egypt

— @jcrnda

Freakonomics: https://amzn.to/2HCnDeJ

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Sounds like American contractor scheme

— @curious_7sk8

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Over generalizing that can happen anywhere I did lived in UK 20 years and seen a fair chair of cowboys builders and can happen in any country . I live in Sintra and I bought a house in the historic area I was lucky to find good builder, electrician , etc and when you find them you keep them .My advice ask to neighbors or friends and ask to see there work they did before you go head with anything

— @isabeloliveira2165

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We are not financial advisors. Our videos are for educational purposes only and merely cite our own personal opinions. In order to make the best financial decision that suits your own needs, you must conduct your own research and seek the advice of a licensed financial advisor if necessary. Know that all investments involve some form of risk and there is no guarantee that you will be successful in making, saving, or investing money; nor is there any guarantee that you won't experience any loss when investing. Always remember to make smart decisions and do your own research!

Buy a house to renovate but... renovate it yourself, if you don't have the skils then buy a finished house. I've bought 4 houses in my life all renovated by myself and family.

— @rasputindasilva858

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You'll need lots of luck , a serious construction team is extremely valuable and a rare thing to behold

— @johnyramos8527

More User Perspectives

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I follow the Newbys and they sem blessed by the contractor goddess. But I think the workers had some sort of connection to the architect. Contact them and see how it worked.

@leilaniburns9494
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The river house, that's not a lake! :p

@mornaistar
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As a portuguese , i agree , the responsability , the word of worker or company not has vallue any more , we need to supervise a lot , for the work , finish , with what you ask and contract , some guys knows a litle of almost everithing , but they are not perfect in all , i think the customer needs to have a contract , with pays , if not do what they ask , i think a good research is always recomended , and watch some worlks of the guys , on person or in photos , videos , etc. All the best 🇵🇹

@albertoguerreiro006
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My favourite type of videos.

@clouds2593
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I learned that lesson back in 2018! for a kitchen renovation! but in the end when they asked for final payment because what should've taken minimum 6 weeks (took 3 months) and the work was still shoddy but I took a lot of pictures and video while the work was going on and did research on cost. I was charged $50k for the job but paid 25k up front I didn't pay it and kicked them outta my house. I had to spend 10k just to fix up their work. LESSON LEARNED! alway get cost, labor, itemize list of work to be done etc! NO VERBAL CRAP!!

@bulcub
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Different angle: our house in central Portugal was damaged in the storm in January. The roof is repaired and only some plasterboard / painting is missing (since months) - but I haven’t been asked to pay anything (I already have the insurance payout) despite several thousand euros of material. I just want to get it finished and pay 😂

@weisstdudochnicht1
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Yes it is a beautiful day. Remember that song? Take your time young man … yep! You may need to break the job into sections. Finding a foundation contractor to link a new footprint to the existing. Go old school By stopping at all big construction jobs, kicking the tires lol, striking up a conversation w/the workers & their bosses. Waiting around for the foreman and or chief contractor. 🪜 🛠️ 🧰

@edithdonaldson9483
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Amon, that’s the billion dollar question. Where are the qualified contractors? Go everywhere, talk to folks everywhere. Don’t forget all the mom & pop hardware stores. The contractors maybe purchasing lumber, tools etc. Those mom & pop owners will know the names of highly qualify contractors. Yes, not only do I need to see their license but I want to physically see the current jobs they are working on. And i want the info of 2-4 previous jobs & phone number so I can contact & go see the job. Many contractors do not have the experience to do the job you’re describe. You need a contractor with a great relationship with the city/ permit office.

@edithdonaldson9483
@

Aman, One additional suggestion: offering an hourly rate or a project-completion bonus can make the opportunity even more attractive. For example:

Competitive hourly wage (e.g., €35–€60/hour depending on trade and experience), or
A completion bonus if the project is finished on schedule and to the agreed quality standards.

That kind of incentive often appeals to experienced contractors because it rewards both quality and timely completion. I'm sure you know all this already being a renovator yourself! Good luck my friend and such a beautiful deck view without the proper safety Deck Railings!

One more contractor story: Our Lake Cottage needed a new roof. We also wanted 8 sky windows put in and winter was upon us as it was end of October. We purchased the Materials, Fasteners, Aluminum Roofing Panels, and the Sky Windows. Things were going great with the project as there were 5 guys on the site all working cutting into the roofing making the boxes the sky windows would be in. Then November came in COLD & Rainy. The workers were on other jobs. I still had 4 holes in the main cathedral ceiling that were covered by plywood and tarp. I paid the contractor the remaining money to get him to finish the job. The next Monday a no show. I called the Contractor and he answered as he was in Miami on a Cruise Ship getting ready to cruise on our dime! I couldn't believe it. Never pay in full until the job is completed.

@MillennialRescueOrg
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The problem is, there is a lot of work around, so it's very difficult to make them work to YOUR terms.... You can't sue them, as they will go bankrupt and you'll never see your money again... There is only one thing, and that is to find a guy who knows what he's doing and pay him a good price. Yes.. It's VERY hard!

@Roar.
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I'm surprised that I didn't hear you mention Portugral's version of the Better Business Bureau. At least that could have given you a good starting point.

@craig8211
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I find many places in Europe are like this. There is no urgency to make money. They aren't lazy, they just have different priorities IMO.

@michelle.goodridge
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100% agreed 👍

@mayjulian2993
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lol contractors used to ghost us (and do many of these other things) in LA - I have no doubt they would ghost you in Portugal. Getting a property that needs more than superficial renovations sounds like a nightmare. Thank you for the 🚩 list - it makes complete sense and would be useful for a project in any country. We’d love it if you helped expats create a black book of the best contractors nationwide 😊 Question: is there a % that is legal / customary to pay up front?

@lookingglassra4946
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why do you need 5 bedrooms? who's sleeping indoors when you can camp out every night on such a beautiful land ? :))

@Salma-1414
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These sound like tips for contractors anywhere!

@M2a3i
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I feel your frustration brother. I'm a landlord and I sometimes run into this issue (no shows). I'm like, do they not want to make money?

@blackestknight1.0
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We had a contractor needing money to refinish our Bathroom. I paid them for material and he then took off with the money and never came back. I would recommend a Background Check.

@MillennialRescueOrg
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Agree. We did a renovation in Nazare about four years back. The contractor did a great job - it was a word of mouth referral - but it was a challenge finding him. Definitely a different culture - guys just aren't as hungry for the work opportunity.

@benlevin7296
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Hello everyone

@BrianJenkins72
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In Portugal you can barely get your landlord to fix an issue with your rental property. LOL…

@TheBennettsNextChapter