CONSULTANT FEES ARE DIVIDED INTO TWO PAYMENTS

Instead of charging you for the entire feasibility analysis & Writeup fee upfront, we break it into two payments. The initial inspection and feasibility study providing you with a rough estimate to complete the job is first and you just pay for this initial study upfront.  The second half is the Work Write-up Anaylsis.  This saves you money just in case you change your mind or the project is deemed non-feasible! If after reviewing the feasibility study, and in the event that the project is deemed to be Non- Feasible, then no additional fees are due. If it is deemed to be feasible and you want to move forward,  then the “Work Write Up fee” will be due and payable upon delivery of that report once contractor bids are received and agreed upon and the Final Workup is completed.

** Feasibility Study: $ 125.00-250.00

PART 1: Fees can be confusing so I have taken time to better explain the breakdown of related fees associated with obtaining an FHA 203k standard loan. Lender or vendor fees may apply which is not listed in this website, however can be obtained from your lender.

The process begins with ordering a feasibility study.   A feasibility study is an initial inspection of the property, with a “rough estimate” of work that will be necessary to comply with HUD’s minimum standard requirements, in addition to desired improvements.  A Feasibility study is a separate evaluation and is in addition to the below Consultation fee schedule. The feasibility study fee is due and payable at the time of the inspection. Feasibility reports will be available for viewing within 48 to 72 hours of the inspection and feasibility meeting. The $125 feasibility fee is available to Buyers that are also purchasing a full Home Inspection on the same property and on the same visit. (Recommended)

The home Inspection report portion of the inspection is uploaded within 24 hours of the inspection for the benefit of the homebuyer for negotiation purposes.

The regular $250 fee is payable on projects that do not require or desire a Full Home Inspection or for refinance purposes. Both options include a partial home inspection which covers all required FHA minimum standards.

PART 2: Work Write-Up:  See Chart

After careful review and discussion with the lender, If deemed feasible, the client signs a "Consultant Agreement" which outlines all Consultant fees which are payable by the borrower at the time of delivery of the "Work Write Up". The "Work Write Up" is a clear and concise project specification document, construction cost analysis, HUD required draw request forms, preparation of contractor bid packages, and the preparation of lender packages.

Fees are non-refundable once the "Work Write Up" is delivered to the Borrower · Lender · Contractor.

The "Work Write Up" fee is due and payable upin delivery.

 **Subtract $125 from the initial feasibility study fee shown above if a Full Home Inspection is ordered at the same time**

Other Vendor fees: Additional fees may be incurred if Architectural blue prints or engineering fees are required to complete the project. These fees are payable as appropriate. Contractor fees may include permit fees.

PART 3. CLOSING - ESCROW FUNDS SET ASIDE FOR REPAIRS & UPGRADES.

Project fees are payable in draws from  the escrow account after closing.

         PART 4: CONSTRUCTION BEGINS

A typical project includes 5 draw inspections however may be less or more depending on the size of the project. A draw is required at the minimum of every 30 days. Inspection fees are $150 per inspection and paid from the escrow account.

These fees can be more or less than the amount shown based on the actual number of inspections required. The Draw Inspections and Mileage (if applicable) will be invoiced to the Lender and debited against the escrow account.

Consultant—Draw Request Inspections—$150 per inspection payable from escrow account

· 1st Draw – Consultant insures permits were issued. - Fee of $150.00 to be paid from escrow

· 2nd and 3rd Draw – Draw request inspections are performed as work progresses. Fee of $150 per inspection to be paid from escrow

· 4th Draw – A punch list is established.- Fee of $150.00 to be paid from escrow

· 5th Draw – The project is closed out and warranties and lien releases collected. Fee of $150.00 to be paid from escrow

Mileage and travel expenses: Payable from Escrow account

When travel distance exceeds 30 miles round trip from the reviewer’s place of business, a mileage charge (established by HUD Field Office) may be applied to the above charges, including toll road and other charges where applicable.
Mileage in excess of 30 miles round trip per inspection, shall be payable at the rate of $.50 per mile plus tolls if applicable and invoiced and paid from escrow.