Construction loan questions

[Wilson Lee]

I am buying a 4 plex (cash)  We are planning to use a construction loan for the rehab.

ARV $80,000-90,000

As is value $34,000 (not purchase price) 

Rehab needed $32,000

Questions,

The property is occupied, but each unit has major work needed.  There is 9 months left on the leases. How do I handel the rehab?

• Should we rehab with the tenants there and seek their corporation?   
  • Advantage, We finish the rehab sooner.  We don't carry the loan long. I can refi and cash my self out sooner.  
  • Disadvantage, the units many turn over soon anyways.  In such event, we would need to redo some work later.
• Should we not renew the lease then do the rehab when we turn it over?
  • Advantage, We can do a full rehab.  we can place new tenants that we vet and move rents to market price.
  • Disadvantage, Longer project time. The cash  I put in the building is needed to fund my next project.

What are typical terms of construction loans? Is the loan to value based off the as is price or the after repair value?

What are some other funding options that I may have not though of?