All Forum Posts by: Allison Ezzi

HI BP!

I am trying to get a better understanding of lien waivers and how they work. I get the overall concept but recently we learned that the state of North Carolina changed things and now requires a lien waiver agent? Is anyone familiar with lien waiver agents?

We are working with a private "lender" who wants lien waivers for draws on a construction loan.

Not a very exciting topic ...but please do share any advice...thank you!

Allison

@Account Closed says....hopefully you will have too many leads and will want to wholesale:)  (Pat are you guys still aiming for Asheville in Spring?)

I would love to help....reach out for anything and I will do my best. Phone calls or talking/following up with homeowners, not completely certain if this would help, but if I can help, I will! Congrats again!

HI @Jon Holdman !

This is such great information, I really appreciate the example, thank you! The loan we will be doing in 75k. As of now (until contracts are signed) we have it with 3 draws, beginning, "middle" and end, with inspection before second and third draw. Because we are working with private money ( kinda of like a family friend) we have a little "flexibility" to work out structure. We were thinking 1/2 up front,(remaining in escrow) then draw remaining quarter, quarter? See any concerns there?

As far as permits, we are doing a mix of trades to pull and GC for kitchen area. Our lender as asked for permit application info. It is probably wise, to do permit sign-offs before draws, thanks on that heads-up for both sides.

I can feel that you have been through this! Not sure which end, but regardless, your experience will help someone else in the long run:)

Again, thank you very much for the help! We shall see how it unfolds.

-Allison

Thanks   @Jon Holdman     I appreciate your feedback greatly:)

This is a  loan for a rehab vs. new construction....I guess we are just referring to it as "construction loan." We worked with the same lender for the purchase of the house and he is in first lien position. I can see where what is "constituted done enough" can create fuzziness for draws. You mentioned using only two draws? We are working with a Handyman and doing physical work alongside too, I'm just having a little difficulty imagining the draws as our interest will accrual with each draw (did I mention this is our 1st flip!!... sorry rookie questions here:)) Maybe an initial draw for 10k to use for the misc. tasks/materials that we do, and then 2nd draw when half way through top pay contractor, then one at completion? Again,  I guess I'm trying to grasp the over process here.

Thanks for your guidance!

Hey there BP!

I need some advice on how construction loans "typically" work.

I am working with a private lender on a construction note., now this is not a typically loan that this individual provides, but he is willing to do so. My question is... what is a "common" structure for payments and draws? Is is common for the lender to need to see invoices and receipts every step of the way? Also- he is now mentioning having our attorney pull a title update with each draw? This seems rather cumbersome and expensive, is this "common"? He added a section “Conditions to Advances”  – the work relevant to the draw is completed, you will present invoices or receipts, you will have lien waivers from any contractors who have worked up to the time of draw request.draw request must align with what is outlined in the SOW.....I feel like I'm being micro-managed, instead of in control of my rehab!

Is this usual? Am I over analyzing this or looking at it in the wrong perspective? Please share your thoughts and advice!! thanks!

Allison :)

Hi everyone ! 

We just got an offer accepted and are currently in our due diligence period. I asked our realtor to request the code for lock box or copy of the key from seller, in which she said "I will ask although I highly doubt they will release a key." I was under the impression that is why we pay diligence money and earnest $. It this common? Our inspection is in a couple days which both sides are aware of, although we really need to get contractors in there throughtout the week for bids. I don't want to have to have the realtor there every time... We need to come and go frequently to really double check our numbers and the property as a whole while in DD.

Any advice? What is the best way to approach this? Should we just overly  express our need to get in there for/with contractors? 

@Richard C. 

Bringing the cabinets up to the ceiling would defiantly help with space. I think that if we make that wall the work-space and play off the brick, we could really create a unique kitchen. We were originally thinking to make it just counter/cabinet area, but i really think that the range there would be more efficient use of space 

Thanks for the feedback @Richard C. and @Troy Sheets 

Yellow fireplace, is tile... re-tiling might make the most sense. The yellow is not very appealing. As far as the kitchen fireplace, we would love to keep it as real and true it itself as possible. I think the idea of incorporating the range into that space, could look great and different! We shall see what the $$ says. thanks again.

Hi BP!

We are in DD for a rehab and we are looking for some advice on an effective, and economical way to fix up this yellow fireplace. It is a OLD house with some great charm, and some not so great charm:)

Also, the kitchen is our  biggest "problem area" with a large brick fireplace taking up room. Any ideas on incorporating the fireplace into useful and creative manner??? We are currently working on what we will do with taking other wall in kitchen down to expand.

Thanks @Cal C. @Rick H. and @Wayne Brooks 

 I appreciate your feedback! Seems that this property could be a waste of my time...I drive by it often, so I'll just keep an eye on it. I also read on another forum to see if there is an agent/agency that typically works with Chase (in this case) and try to gather info that way. Maybe I'll reach out just to find that it is in-deed a fruitless venture!

Rick- I plan to check out your website as well as follow you as I see that you are the probate guy....I am VERY interested in this niche and probate properties as a whole (one of the reasons I became interested in REI). My family and I are currently dealing with my grandparents property in which we would ideally buy out the other siblings ownership....easier said then done! I would love to soak up some of your wisdom!

Thanks again!