Paying contractors via wire transfer

[James Masotti]

My contractor is asking for payment via wire transfer. Is this common practice for investors? I don't have an issue paying the fee on the larger draws to make sure he gets paid faster (I'm an hour away and sometimes take a day or two to get a check in the mail, so it's more fair to him). But just curious is this is common practice for other investors to do, especially ones that are investing at a distance.

[Jim Tannehill]

When dealing with investors, we usually have money wired to title company for construction at closing. From there the investor has to sign off and notarize the draw amounts as the work is completed and the title company wires the money to the contractors or whoever is needed. This seems to work pretty well for both parties we've dealt with.