I'm under contract to by an investment property in about 45 days. I'll be doing a basic rehab and the end goal is to keep it as a rental. I'll be using hard money to purchase. Obviously, it's important to get a tenant in ASAP and pay off the hard money lender quickly.
The rehab will include framing-in part of the basement to create a 4th bedroom, and then doing fresh carpet, paint, appliances and counter tops throughout the house.
My contractor didn't feel like a building permit would be needed until we decided to frame in that bedroom and he realized that there would be some electrical work needed (both in the bedroom and to clean up some DIY wiring by the current home owner.) So adding a permit to the process slows everything down right? I probably can't apply for the permit until I own the house, correct?
I'm looking for some advice on how to use the next 45 days wisely so that once I take possession of the house we can hit the ground running...
You can always get a permit for the house. Inspections are not done until you call it in.
You can pick up a permit same day, unless you are removing load bearing walls and require some kind of engineering. I recommend doing a very simple plan so it can be check over the counter.
So i say start with the plans and have it ready. Then submit for permit once you have keys in your hand.
If you do it the way your contractor say and get it later. You could get caught by code enforcement for doing unpermitted work and get fined or stop work.
Since you don't know what you don't know, I echo @Taye N. advice. Get a plan started now.
Your contractor may be a good tradesman and may know how systems function but he's probably not a logistics expert.
Create a visual of the score of the project and create a list of the things that are affected.
Then, make a list of the systems, material, trades labor required, in rough format. Then put them in rough order.
You will be wrong and makes mistakes. Your objective is to create a vision of what to expect, and eliminate the obvious hurdles.
Your contractor will have opinions why your list is incomplete or work requires a different order, or longer timelines. Ask questions but don't argue.
"Plan your work and work your plan but don't plan the results."
@Rick H. - thank you, this is great advice. I sent my contractor a list of the repairs I felt were needed and he's working on a bid, but I hadn't thought to ask him for a timeline too. However, I was hoping to find a contractor who REALLY IS a logistical expert and can manage the trades & timelines for the quickest turn-around possible. I may have to do a handful of deals before I settle on a contractor and/or team that I can trust, but I hope that's not in impossible goal...?
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