Punch Lists and Pre-Closing Inspections

Step 1: GC self-inspection and correction (1-2 days). Step 2: Owner/PM comprehensive walk-through generating written punch list. Step 3: GC corrects all items (typically 3-7 days). Step 4: Owner/PM verifies corrections. Step 5: Substantial completion declared when punch list items remaining are truly minor. Punch list should be a polish—not a rework exercise. If the list is long (>30 items for typical renovation), the project was not ready for punch.

Use blue painter tape to mark defects on surfaces (visible but does not damage finishes). Inspect with the same raking light and systematic room-by-room approach used at earlier gates. Check every: switch and outlet, faucet and drain, door and window (operation, latch, weather stripping), cabinet (door alignment, drawer operation, hardware), paint surface, flooring transition, trim joint, caulk line. Operate every system: HVAC (heating and cooling modes), water heater, appliances, garage door.

Each item: number, room, location in room, description, severity, responsible trade. Format: spreadsheet or punch list app with status tracking (open, in progress, complete, verified). Include photos for items requiring judgment (is this "minor" or "acceptable?"). Total items tracked from initial to final—reduction rate indicates contractor responsiveness.

Substantial completion: project usable for intended purpose with only minor punch items remaining. Triggers: warranty period start, final payment less retainage, risk transfer from contractor to owner. Final completion: all punch items resolved, all documentation delivered, all lien waivers received, retainage released. Define substantial completion criteria in contract—do not leave to interpretation. Typical retainage: 5-10% held until final completion (30-60 days after substantial).