Construction Loan Progress Inspections
Unlike commercial property inspections, construction loan progress inspections act to prevent overdraws on bank loans for new and rehab building projects. This helps to protect the vested interest of borrowers and lending institutions alike in making sure that payments drawn against the loan for work completed during the construction phase do not exceed the actual cost of work-in-place.
What's probably least understood in performing a construction loan progress inspection is that this often requires an in-depth knowledge and understanding of building construction especially with regard to the sequence of events that take place during the construction phase along with the ability to estimate construction costs based upon a thorough review of architectural, civil, mechanical, electrical and plumbing drawings for verifying work in-place to prevent overdraws, in which we have many years of experience.
Since both new and rehab building construction projects can vary considerably with regard to size, scope and duration, our fee for this service is quoted on an individual basis based upon number of field inspections to be provided over the course of the building project along with an estimated time to complete each one.