New Home Built, How Much % You Charge Down?

teeceo

I just wanted to know how much of a % others out there where charging for a down payment on a new home project.

Glasshousebltr

New Homes I break up into phases, Foundation, Frame, Roofing...ect. Unless the mortgage co. has it's own dispersment plan.

Bob

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Bob

lpsonbuilders

Most banks or mortgage companys have their typical procedure. They have gotten very strict about items being completed. So don't expect payment for items not completed. I find my self being the bank quite often! If its not installed it could get up and walk away, in their veiw point. Some times I'm able to get a percent complete. In my experience you don't get paid till the work is completed when dealing with financial instuitions!
You may request a percent down and if the home owner (lender) is ok with it, you may get it. However it maybe that much less you get on your first draw.
Timing your draws is key to keeping everyone happy! Typically three to five days for proscessing, but there has been times that it took almost two weeks.
Be prepaired for the worst. Good communication with your suppliers helps if you have to delay payments. Most of us have been there!
Customers paying cash to have house built? Send them my way, I'll be glad to help!

teeceo

"Customers paying cash to have house built?" Naa, a bank or mortgage company always. It gets a bit much out here in California for Customers to be paying in cash.