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Updated over 6 years ago, 09/06/2018
How to Pay a Contractor Long Distance
Hi BP, I recently went through a fairly large renovation project on a duplex meant to be a buy and hold property. The rehab occurred as a long distance property in Michigan where I live in Hawaii. My property manager agreed to act as a Project Manager and coordinate all the Contractors through the rehab process for a fee. The problem I had during this process was keeping the Project Manger funded since she was paying the contractors and suppliers. To avoid added processing fees, we decided to use Paypal as a payment method and send funds back and forth. The issue I have with this is that I would need to send funds via Paypal early so that the funds could clear and she could pay the contractors in a timely manner. I also ran into issues with Paypal where they viewed random transactions as security threats and prevented me from sending any money for a 24-48 hour period.
Does anyone know of a different way I can fund future rehabs? Or am I just approaching this all wrong? Thanks!