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 along with the ability to estimate costs based upon review of architectural as well as mechanical, electrical and plumbing drawings for verifying work in-place, in which we have many years of experience.
Since new and rehab construction projects vary considerably with regard to size, scope and duration, this needs to be taken into consideration in determining the actual number of inspections to be provided and the time to complete each one. As such, our fee for this service is quoted on an individual basis.