Starting a rehab before closing

[Jeremy S.]

I am purchasing a 4 unit property that will need significant renovations that I expect to take a total of 8-10 weeks. I will be purchasing it with cash (mostly my HELOCs) and doing a refinance when it is renovated and occupied. We agreed on a settlement date in 4 weeks and my seller has told me I can begin working on the property immediately. I don't have any other projects at the time and the idea of beginning my renovations now seems like it would save 2-3 weeks of holding costs for me. My questions are: Are there any negatives to starting my work early? How can I properly insure myself for this scenario? It will be mostly myself and a friend or 2 doing demo work. Thank you