Q: How are loan draws figured?
A: A good draw schedule balances the contractor’s need to get paid for work done and materials purchased, with the homeowners’ and bank’s desire to not pay too far ahead of what has been completed. On a new home, payments are usually matched to completion (or “substantial completion”) of a particular phase: foundation, frame, drywall, and so on. On a remodel, payments often depend on percentage of completion. It’s important that the homeowner communicate with the contractor to ensure there are no misunderstandings about how and when funds will be disbursed.
3 Pillar Homes is a custom home builder in Columbus, Ohio. For more information about our new homes, please visit one of our model home locations in Jerome Village, located at 10602 Arrowwood Drive, Plain City, Oh 43064 or in Lewis Center, located at 2360 Koester Trace Drive, Lewis Center, Ohio 43035. You can always contact us by phone at 614-286-0659.