What exactly is a Phase I and what does it cost?

[Dustin S.]

I have a 3000sqft 7 unit apartment building under contract. Do I need a phase I, how much should it cost and what exactly do they look at? Can I use a residential home inspector instead?

[Dennis Wasilewski]

Closing on a 6-unit next month. Yes on home inspector, just make sure they do commercial and what they will charge you. Mine was $1200 but took 2 hours per unit, so very thorough. For the appraisal that is very different so be prepared for $1500-$5000 for that.