All Forum Posts by: Emilio Ramirez

Do you still have family in Denver? Who's going to oversee the remodel? Could be a bigger headache than it's worth.  Hard to say without more info and condition of property but my instinct is to sell as is and let the buyer figure out what they want to do with it. 

Not sure how in touch you are with the Denver market but you should be able to move the duplex fairly easy. East colfax can have some rough spots but even if not sold as a house hack you could sell as a buy and hold. Sellers are still getting top dollar selling fixers as is. If you're not a pro managing rehabs to add value and maximize value, I would highly suggest not taking this on, especially because you are in Atlanta. 

I would put it on the market right away and see if you get any bites. If not then rehab the kitchen after the new year and get it on the market for spring selling season.   There's plenty of good realtors on this site who could help you out.

It depends on which municipality you're looking at. As you've discovered each one has it's own pricing. Don't forget about the sewer tap fee. Or these other potential government fees. Plan review, Permit, impact fees, parking, parks, fire department, grading, roads, schools. In the Metro Denver Area those fees can be anywhere from $10k - $50k for a single family home. I recently built a duplex in Unicorporated Jeffco and the government fees came in at close to $100k. Developer still made $250k on the build and both sides were under contract in 24 hours. 

Typically Denver is the least expensive. Plus if you're doing a scrape you get a credit from the old house that you're tearing down. In Denver, those credits have reduced the cost for sewer and water tap fees about 90% for single family homes in my experience. 

Reasonable's got nothing to do with it. Market will be $6 - $20/sf. Depending... sole proprietor vs company with over head, legit contractor vs uninsured side jobber, type, size and quality of tile, shower walls and or floor, waterproofing, metal edging, niches, benches, shelfs, windows, deco bands, total square feet, backlog, substrate, relationship, layout. .. I'm sure I missed something... but that's why you get multiple bids AND why you need a detailed scope of work. 

You find a reasonable quality tile guy you let me know... ;)

Jermaine. It seems you're new to this process and the learning curve the first time you do anything is steep. I am not interested in donating to your project. 

I understand and appreciate the need for partnerships. I wonder what your contractor partners response was to your original question. If he's done this before then he should be able to answer that question. 

As Greg alluded to, the design and pricing progress hand in hand when considering a development. It starts at a high level. If it works then you take a closer look. If it still works you take a more detailed look. You keep looking at the numbers until you are satisfied the project is viable and then you have to manage the budget to those numbers until the municipality gives you occupancy. 

The more experienced you become in the process the less and less you'll have to rely on outside professionals to start. In other words you try to spend as little money as possible before you know the viability of a project.

So to answer your original question. Yes you need a plan. Your sketch works for you and your partner. Once you determine it's feasible you could then commit to hiring an architect to create the permit set. 

Lastly, the 50k does seem extremely cheap, but I don't know anything about the market you are planning to build in. Maybe it works. I would take a careful look at Gov't fees. Plan review, Permit, impact fees, parking, parks, fire department, grading, roads, schools, water and sewer. In the Metro Denver Area those fees can be anywhere from $10k - $50k for a single family home and it doesn't matter if your house is 800sf or 8000sf. 

I would verify and make sure you know what you're getting yourself into. Why are you partnering with this guy? Is he going to front the build costs? Has he built a house before? Does he own the land? If you're housing the homeless, why such a small house and why not just buy an existing house and rehab it if necessary?

@Peter Kozlowski 

What was stolen and where was it? Inside the rehab or out in the yard some where. Best deterrent is locked windows and doors. If you have to store stuff outside, consider a job box, conex box or construction fencing that you can lock. Motion detector lights are good to. 

Hi Guillermo. That's a hard question to answer. It's like asking how much does it cost to build a car and as you can imagine... it depends... :) 

In Denver I could build your house for $170/ sf all in. All in meaning the cost includes design, permitting, inspections, loan interest, contingency, etc. So even when someone gives you a square foot cost you need to clarify what that includes. Actual hard construction costs in denver would be closer to $135/sf. 

Call up some of your local builders and ask them. 👍

Daily phone calls to both guys at the beginning and end of the day, everyday, asking what they're going to do and then if they did it and what they'll do tomorrow. Set deadlines for work to be completed. 

No more payments until progress is made and significant work completed or all work completed. You say you've paid forty percent  but they are not past half way? Are you in front on payments? Or have you over paid based on work that has been done?

You need to find out why they are not coming to the jobsite. Ultimately you may have to fire these guys if they won't perform. 

I would recommend a gps ankle monitor. :) 

Maybe some jobsite web cams. Easy enough these days then you will be able to tell when people are coming and going. Many times we set them up on site for surveillance and to deter theft. So you can use that argument and then also use it for progress monitoring. 

I've read the note about the PM recommending the contractor many times on BP. You need to make sure the PM and the contractor aren't in the game together playing you for a fool. Kick backs, fake work orders, fake work reports... all make the world go around. 

Sounds like you need to hire a GC... :D