Many other projects have reduced or suspended planned CF distributions and I've also had a few capital calls in which I did participate since the business case still made sense (the MF in Florida had a capital call to finish construction and get through stabilization and it still returned the 32% IRR).I expect almost all of the deals to be OK, just later exits than originally projected.I am very concerned about one project and have already written it off in my head.  

And Vystar wanting the land and the construction to perm makes a lot of sense given the terms they're offering.

-Why not include a contingency line item in your construction loan rather than raise the contingency funds from your equity partners?

The type of information needed depends on if the building is being constructed in the future or if the building already exists.

There's certainly been an uptick in available properties over the last few years as some owners have grown tired, new construction is booming in new lots and ones that were lost in fires, & investors who bought in 2020-2022 who may've overpaid and weren't properly set up are struggling.

This lead to piecing together payments here and there and drastically slowed the construction process and major cost overruns.

Second question is, if we don't live in the city we will invest in, we understand we will have to be traveling often, but who could be a good person to check in on the construction so we don't have to go every week?

Hey @Dalton Foote - I highly suggest  using a renovation loan and house hacking a multi-family if that is possible with your current life circumstances.The 203k and homestyle renovation loans are just amazing products and drastically help you reduce your risk, in my opinion, because you are able to leverage the cost of the entire renovation with such a low down payment loan.We work with a lot of clients who use these products in Chicago, and no matter what, in the long term, they gain great equity.If you aren't able to house hack - the process is essentially the same, but just with more money down with hard money or conventional construction loan.

I have an extensive background in residential construction, having built several properties from the ground up, and I’m looking to focus on either fix-and-flip projects or a niche market for small residential homes in my area.

Maybe for a newer construction is not but older homes (<1970), it is real.