In your agreement you should allow a minimum initial draw (for material and manpower) and then subsequent payments at the completion of various stages of the job. 

I am in the beginning stages of my REI career and am looking to find off-market deals.

@Mike Faulkenberry It depends on what stage you're at in your life and how soon you need the cash flow.

I would also be careful buying San Diego at this stage of the market.

FYI: I have 3 properties in mind that are all in 3 different stages of "sale": Pre-Foreclosure, Foreclosure and Auction. 

If they never get money out of him, that's going to set the stage for the city to have no power to enforce their own rules.I agree, they are not on the land owners side and they are a pain to work with.

They will give you draws as you complete different stages of the project. 

Once you're past the "hoping" stage and have a contract is the time to stipulate how you will acquire the property. 

Most of the individuals posting here are well past their primary purchase and are working in the 25% down investment property stage.

My fear is once it gets to the "open house" stage, that's not the deal I'm looking for.