Article After Closing and During Renovation Both

How Contractor Draw Payments Work

Understand the structured flow from project review and bid finalization to completed work and approved draw payments.

Reviewed 2026-08-06

Review the Structured Project

A contractor can review the Scope of Work, property information, photos, and suggested project pricing before deciding whether the opportunity is a fit.

Finalize the Contractor Bid

The contractor reviews the project with the client and approves or finalizes the contractor bid before work proceeds.

Complete Work Through the Draw Process

Renovation funds are held through the loan process. The contractor performs the renovation using the project's controlled draw process rather than relying on a large upfront deposit.

Request and Receive Draw Payments

Payment is released through the approved draw schedule as completed work is reviewed. The applicable lender, loan documents, and project approvals govern each disbursement.

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