How To Start A Foreclosure Cleaning Business
Most foreclosure cleaning businesses follow a pretty standard operating procedure. Foreclosure cleaners are hired by either the bank or the homeowner to clean out a property that has been foreclosed upon. The pay for this type of work is usually hourly, and it can be fairly decent pay if you get steady work.
Foreclosure cleaning is not for everyone though. It can be dirty, difficult work, and sometimes you will come across properties that have been vandalized or trashed. If you are thinking about starting a foreclosure cleaning business, here is a guide to help you get started.
How does it work, and how much do you get paid?
Foreclosure cleaning businesses usually operate on an hourly basis. The pay for this type of work is usually pretty decent, especially if you can get steady work. Foreclosure cleaning can be dirty and difficult work, and sometimes you will come across properties that have been vandalized or trashed. But if you are up for the challenge, it can be a great way to earn some extra money.
A Step-by-step Guide
Step 1: Prepare Operating Costs
Before you start your foreclosure cleaning business, you will need to prepare your operating costs. This includes things like purchasing insurance, getting a business license, and securing any other permits or licenses that may be required in your area. You will also need to factor in the cost of supplies and equipment, as well as the cost of hiring employees.
Step 2: Ensuring That You Have the Proper Permits and Other Documentation in Order
In order to operate your foreclosure cleaning business, you will need to secure a few permits and licenses. They include;
Business License: This is one of the most important permits that you will need. You can usually obtain a business license from your local city or county clerk’s office.
Federal Tax Identification Number: You will need this number in order to file taxes for your business. You can obtain a federal tax identification number from the Internal Revenue Service (IRS).
Insurance Plan: You will need to purchase an insurance plan to protect your business. This can be done through a variety of different insurers.
General Contractor License: If you plan on doing any construction work on the properties you clean, you will need to obtain a general contractor license. This can be done through your local Department of Building and Safety.
Step 3: How to Determine What to Charge for Your Foreclose Cleaning Business
You will need to find a balance between what you charge and what the market will bear. There are a number of ways to determine to price, but one of the simplest methods is to calculate your costs and then add a markup. For example, if it costs you $100 to clean a foreclosed home, you may want to charge $200 for the job.
Step 4: Hire Employees and Source Supplies for You’re Foreclose Cleaning Business
If you plan on hiring employees to help you with your foreclosure cleaning business, you will need to find a good source of supplies. Foreclosure cleaners will need things like ladders, shovels, rakes, and other tools. You may also want to purchase some basic cleaning supplies like mops and buckets.
Step 5: Start Your Job Search
There are different ways to find foreclosure cleaning jobs. You can search online job boards, contact real estate agents, or even go door to door in neighborhoods where there have been recent foreclosures.
With dedication, you can be successful in the foreclosure cleaning business. Just remember to always put your customers first and always strive to provide the best possible service. Good luck! You can;
Go Online: You can start by looking online for foreclosure cleaning job postings. Websites like Craigslist and Indeed are great places to start your search.
Contact Foreclosure Real Estate Agents: Another way to find work is by contacting foreclosure real estate agents. These agents help families in foreclosure navigate the process and often need cleaners to clean up the property before it is put on the market.
Door-to-Door Searching: You can also try searching for work by going door-to-door in neighborhoods where there have been recent foreclosures. This can be a bit time-consuming, but it is a great way to get your name out there and find potential customers.
Best of luck in starting your Foreclosure Cleaning
Local Foreclosure Auctions: Another great way to find work is by attending local foreclosure auctions. At these auctions, you will be able to bid on properties that are in foreclosure. If you win the auction, you will then be responsible for cleaning the property and getting it ready for sale. This can be a great way to find work, but it is important to remember that you will need to be prepared to pay for the property upfront.
Establish your Reputation: One of the most important things you can do when starting a foreclosure cleaning business is to establish your reputation. You can do this by providing quality service and always putting your customers first. If you can build a good reputation, you will be more likely to find steady work in the future.
Get Started Today: Now that you know how to start a foreclosure cleaning business, it’s time to get started today. Foreclosure cleaning is a great way to make money and help families in need. With a little hard work and dedication, you can be successful in this business.
Step 5: Properly Remove and Dispose of Unwanted Items
Another important aspect of starting a foreclosure cleaning business is dealing with the removal and disposal of items left behind by the previous occupants. Foreclosures can often be messy, and you will need to have a plan for how to deal with the trash and debris that you find. Many times, you will be able to simply throw away the garbage. However, there may be times when you will need to hire a dumpster or even contact a hazardous waste removal company.
Dealing with the removal and disposal of items left behind by previous occupants is an important aspect of starting a foreclosure cleaning business. Foreclosures can often be messy, and you will need to have a plan for how to deal with the trash and debris that you find. Many times, you will be able to simply throw away the garbage. However, there may be times when you will need to hire a dumpster or even contact a hazardous waste removal company.
Get started today, and you can be on your way to success in the foreclosure cleaning business. Just remember to always put your customers first and always strive to provide the best possible service. Good luck!