Your policy may also cover soft costs like permit fees and legal expenses caused by delays.

You would be shocked (maybe you wouldn't) at how the posters who reverse troll try to make it like it was just a simple question (with bullet points and a soft call-to-action).

It’s important to have a clear understanding of both hard and soft costs (labor, materials, permits, etc.) to assess your budget accurately.Projected Rental Income: Research the rental market in the area.

A total cost of 6.3Mn over 23 units equates to 274K/unit...this appears unbelievably low for San Diego...I'd want to see full development budget detailing hard, soft and financing costs as well as month by month projections showing construction and lease up cash flows.What's the 2.2Mn purchase price for?

Beyond a management software you may be just dealing with soft processes or in others words, “this is just the way we do it.”I hope this is helpful and gives some context as you look into this further.

My agent said it wasn't worth challenging because Nationwide is leaving the state.Our insur. agency sent a new proposal from Bass insur.

Also, I'm not sure if you are demoing an existing structure, if the structure is freestanding, etc, but this will obviously greatly affect your overall budget.For our project, most of the material prices are in line with expectations, but where we've been shocked with recent increases is the soft cost. 

We have credit scores over 730 and have been "soft approved" for around $750k. 

I'm going to get a survey regardless, but I'd like to line all this up before I start spending on soft costs.The weird thing is I see other investors doing these DADU deals and I've never heard anything mention the above requirements / scenario. 

By way of example, a lender may charge retainage, only release soft costs upon C/O, may limit loans to a set number of draws or only allow draws once a certain dollar amount of work has been completed.