The number one most common surprise is things taking longer than you think. This is either because the scope of the job is larger than you anticipated, or simply because of inexperience in estimating time to completion for various tasks.
Things always take longer than you think. Seemingly simple tasks require vast amounts of time. Necessary parts are not available, so everything stops while you go to the store or wait for deliveries, sometimes from far away. One contractor failing to show up for work on the assigned day can have a domino effect, causing other workers to fall behind. They are then forced to fit you in between their other jobs, so they do not fall behind schedule on every other work site.
For example, you must make plumbing repairs before you fix walls, because you often have to tear out walls to get to plumbing. You have to make drywall repairs before you can paint. You must paint before you lay carpet. If your schedule calls for the plumber in Week 1, drywall in Week 2, painters in Week 3, and carpeting in Week 4, you will be dead in the water if the plumber shows up one week late. You will lose your slot for all the workers, who will be working on other jobs during the reassigned week you need them. If the drywall company cannot get back to you for three weeks, everything else stops in the meantime.
The next most common surprise is regarding the expenses involved. This surprise could result from inexperience, such as failing to notice rotting window frames, a roof in need of repairs, or outdated electrical wiring that will have to be brought up to local building code requirements. Or, it could be simple bad luck, such as when you replace inoperable toilets and discover that the entire sanitary sewer line out to the street must be replaced. The best defenses are:
1. knowledge, gained by reading articles devoted to fixer-uppers;
2. pre-purchase inspection reports by trained professionals (which usually cost US Dollars 300–US Dollars 500 for a house);
3. avoiding properties more than ten years old, unless you are relatively sophisticated; and,
4. in-depth discussions with repair persons and inspections department personnel regarding common surprises in your area.
The third most common surprise is all the little things you never thought to budget for. Do you need a port-a-potty for workers? How much does it cost to rent a construction dumpster, and how much does each haul cost? What will it cost you for builders' risk insurance during construction? What is the charge for a building/repair permit? Will you be required to have a storm water management plan? How much will power cost you?
Commercial power rates are higher than residential rates, and temporary power until you have a certificate of occupancy can be at still higher rates. Have you borrowed enough money to cover the mortgage payments during the repair period, or will that have to come out of your pocket? As always, knowledge is power. Learn as much as you can about this field before jumping in.
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06282010
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