We did one about 7 years ago. We bought a foreclosure that was a new build but stopped at the sheet rock stage. It was a one time close and was easy. We determined the max loan amount after getting two to three bids for each job that needed to be done. That part was a pain. It was a 90 day construction loan paying interest on used funds. Then after 90 days it rolled into a mortgage based on how much I end up spending. Can’t remember the penalty amount if we went over the 90 days but it wasn’t too crazy. We turned in the bid and final bill for whatever job was done and it was paid directly to the contractor and the draft was also a release of lien so the couldnt come back on us. Things I did myself I paid for and turned in receipts for reimbursement. Went pretty smooth and we had almost no contractor problems. If you going to do some of the work yourself be careful of what you choose to do. Getting in over your head and holding up the other trades can set you back. Even something as simple as painting took way longer and cost more than I expected. Would have been better paying the pro and doing something else or just let the pro do it and not hold up the job and save yourself the brain damage and loss of sleep trying to get it done yourself. Also think about adding in little things that you want but maybe think you’ll do later. Spend it now and get it included into the loan. Adding 8 bucks a month to the mortgage for an rv pad, patio or sprinkler system is way better than trying to come up with the time and a few grand to do it later on.
That's a valid point (I am living in my third purchase home in 8 years, but the wife has promised me we will die in this one, so we should be set)
