All Forum Posts by: Danny Kay

 Share some info on your project when you are ready. Love to see it!

1. They can go through underwriting, but a traditional mortgage will need a CO in place to close. Have one or two 'preferred lenders' to send buyers to.

2.  5% non-refundable builder deposit (meaning it sits in your bank account, not escrow). This is typical, but can vary.

3. Check with you home builders association, a lot of times they have contracts you can use. You can also hire a one of the hands off brokerages to get the home on the MLS for a low flat fee. Lastly, don't under estimate the value of a good agent.

Yes consult the entire design team, architect, structural, civil. While its important to understand what codes have changed, it will be just as important to review what was actually built, and what is still salvageable after all these years. Something that was partially completed 15 years ago wont surprise me if its cheaper to knock down and start fresh, especially if its a lower price point home. There is a reason it wasn't completed, you need to find out that reason along with what its going to take to make right before you even consider closing on the property (unless you are paying pure land value).

Have any concrete sidewalks or uncovered patios you could switch to pervious pavers?

If not, maybe explore changing out some of the drive way for pervious pavers or grid pavers. A threshold utilizing pavers or grid at the garage or curb cut might be an idea to get you the few square feet you need.

So much depends on type of development (tract vs infill) and price point.

Raw land could be under 5% on  a suburban tract development, and well north of 30% for Atlanta's top neighborhoods on infill deal.

Your strategy for turning 1MM into 2MM within a year would be a great thread. Would love a look inside your brain on that one, if you find the time.

I had clients go the Designed to Earn the Energy Star route over LEED a bunch. Its an energy focused certification opposed to LEEDs more holistic approach. Did many building to DEES, its a much easier approach. Nice part of this cert is that Energy Star is a well recognized logo, and you get to use the logo on you CDs, the building, and any project specific marketing materials. I would argue that the general public would recognize and appreciate the Energy Star logo over the LEED/USGBC logo the majority of the times (public perception is a big part of a corporation choosing a 'green' certification).

I went though LEED design professional stuff along time ago, when it was really hot. It was interesting back then, but only very select clients will ever pursue it. 

PS. Just check that draw schedule I mentioned. Up to and including HVAC rough in would be 52% (which seems to be the phase you are in based on your initial post). 75% according to the draw schedule would be both exterior and interior painted, and the interior being ready for cabinets/finishes/fixture trim out.

Unfortunatly your contract wasn't written well as you are finding out. You need s detailed draw schedule. 

Finishing stage isn't an industry term and really doesn't tell me anything. The term finishes would apply to tile, hardwoods, etc and would be done around the same time as trimming out fixtures and cabinetry.

If you are doing 4 equal payments, that would mean the contractor is claiming 75% completion. Hold the last 10-15% untill you have CO and punched out.

I can email you a bank draw schedule if you want.  You could use that to check off the competed items and see if they equal 75% or at least somewhat close. That may help you get comfortable with the payment. If your payments are not equal just adjust the numbers accordingly.

Sounds like you may want to consider a cost plus arrangement. When you first bid to a contractor let them do the take offs. Use your knowledge to check and screen the contractors, not show how smart you are up front (they wont care). In a cost-plus contract you will be provided a list every single item they pay for. Providing the number of door knobs you need wont necessarily annoy them, but if you don't have clear terms up front as to what you are and are NOT doing, that may cause confusion / annoyances. Hell, I am a little confused just typing this response :)

Believe it or not people are not out to get you. Plenty of reputable people out there right now, you do need to be willing to pay for it. Good people are not cheap.