Construction Draw Schedule for Fix and Flip Loans

Construction draws operate on a milestone-based system where your lender disburses funds as specific renovation phases complete. Typical draws align with major work categories: foundation and structural repairs, rough-ins (electrical, plumbing, HVAC), drywall and interior finishing, and final inspections and closeout. Each draw is contingent on third-party inspection confirming the work meets quality standards and your project timeline. This protects your capital by ensuring work is actually completed before funds are released, while keeping your project funded throughout the rehab phase. The number and timing of draws depend on your renovation scope and lender requirements, typically ranging from 2–4 draws over a 12 months timeline.

Before each draw is released, an independent inspector visits the property to verify that contracted work meets the loan agreement and construction standards. The inspector documents progress through photos, measurements, and quality assessments, then submits a report to LYNK Mortgage for review. This inspection protects you from contractor delays or incomplete work while ensuring your lender has confidence in the project's trajectory. Common inspection checkpoints include framing completion, mechanical and electrical rough-in, drywall installation, and final walkthrough. The inspection process typically takes 3–7 days from request to fund disbursement, so planning your contractor schedule around these milestones prevents unnecessary project delays.

Effective draw scheduling requires coordination between you, your contractor, and LYNK Mortgage's loan team. Align your construction timeline with anticipated draw dates, ensuring major work phases complete before each inspection. Communicate any delays or changes immediately, as rework or scope modifications can impact funding timing. Many experienced investors pre-plan their draw schedule during underwriting, mapping renovation phases to loan disbursements. This proactive approach prevents contractor payment delays and keeps your project on track. With LYNK Mortgage's 12 months loan terms and competitive rates starting at 8.50%, you have adequate runway to manage multiple draws while maintaining momentum toward your exit strategy.