Your construction money is released in stages as each phase of your build is finished. Here's exactly how it works.
You build a phase, it passes city inspection, we inspect it, and we pay you back for that phase. Every draw is a reimbursement, so you or your builder pay for the work first. Plan your cash flow to cover at least one phase at a time.
A fixed-price contract with your general contractor, or our budget form signed by your contractor.
If you hire your contractor after closing, we review and approve them before any draws go out.
No draws are released until these are in.
Your budget broken into phases, with the amount and expected timing of each draw. This comes in with your application.
Foundation, framing, and rough-ins (plumbing, electrical, mechanical, sprinkler).
Send us the inspection receipt and passing results for that phase.
We send an inspector to confirm the work. The inspection fee is about $225 per visit.
Your general contractor signs a lien waiver for the work being paid.
Funds are wired to your or your builder’s account. Draws are processed weekly, usually 2 to 7 days from request to wire.
No. You only pay interest on money that has been drawn.
Your title company updates title after the foundation is poured and again before the final draw. The final update is paid at closing.
We may ask for lien waivers from key subcontractors or your largest supplier before releasing the last draw.
Changes are approved case by case and may carry a fee. Any change we don’t approve is paid by you. Talk to us before making changes.
This page is a general overview. Your loan documents control the specific terms of your loan.