The Interim Lien Waiver

If you want to rehab houses, you need to become familiar with the lien waiver. This document “waives the right of lien” by the Contractor and is something they sign when payment has been made. Plan to collect an “interim lien waiver” after every payment. 

What this does is prevent the contractor from going back later and filing a lien, claiming they weren’t paid. 

When you have completed inspection for the draw request and are prepared to hand the contractor a check for services, first hand them the lien waiver. If they won’t sign it, they don’t get the check. This policy will have been communicated up front so it’s no surprise. 

Click below to get a free blank lien waiver you can use in your business.

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