Are construction draws for owner-occupied property?

This guide is limited to business-purpose, non-owner-occupied real estate in California. Owner-occupied and consumer-purpose construction requests are outside this hub.

What determines when a draw can be requested?

The reviewing lender determines the draw process. It may involve completed-work evidence, inspections, invoices, budget updates, reserves, and other transaction-specific documentation.

Can the draw budget change after closing?

A change may require lender review and updated documentation. The borrower should not assume that a change order, cost increase, or incomplete scope will be funded.

Does 1stNMB administer construction draws?

1stNMB is a mortgage and real-estate financing broker, not a bank or direct lender. Draw administration is determined by the eligible lender and the requirements of the specific transaction.

Construction and Rehabilitation Draws

Learn how construction and rehabilitation draw administration may work for California investment property, including scope, inspections, reserves, and project risk.