Explaining the Draw Process to Contractors
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Explaining the Draw Process to Contractors
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Contractors play a critical role in every renovation loan—but many enter the process without fully understanding when they will be paid, the draw process, or what documentation they must provide.
In this episode of renovatED for Lenders, Jennifer “The Reno Gal®” Goldsby explains how mortgage loan officers can set clearer expectations with contractors before work begins. Learn how the draw process differs from a traditional remodeling project, why contractors are generally paid for completed work, how inspections and lien waivers affect disbursements, and why adequate working capital matters.
Clear communication at the beginning of the transaction can help prevent delayed draws, payment disputes, stalled projects, and frustrated contractors later.
Sponsored by Land Gorilla
renovatED for Lenders is the podcast dedicated to helping mortgage lenders build, improve, and scale successful renovation lending platforms.