I totally get what you mean about the paperwork—it’s a slog. I’ve been through both big and small draws, and honestly, the smaller ones kept everyone a bit more honest, but man, it dragged things out. Ever had a bank inspector show up late and stall everything? That was a headache. I do wonder if banks could loosen up for folks with a solid track record... seems like there should be some middle ground between trust and oversight.
HOW DO YOU LIKE YOUR CONSTRUCTION LOAN FUNDS RELEASED—BIG CHUNKS OR LOTS OF LITTLE PAYMENTS?
That’s a familiar pain point. I’ve had my fair share of delays thanks to inspectors running behind schedule—one time, we had a crew standing around for half a day waiting for a sign-off that never came. It’s frustrating, especially when you’re trying to keep things moving and not rack up extra labor costs. I get the logic behind smaller draws keeping everyone accountable, but it does feel like it adds a lot of friction to the process.
I’ve always wondered if there’s a way to streamline things for folks who’ve proven themselves. Like, if you’ve completed a few builds without any issues, maybe the bank could offer a “fast track” option or at least relax the frequency of inspections. I know risk management is their main concern, but it seems like there should be some flexibility for experienced builders.
Have you ever tried negotiating with your lender for larger draws or fewer inspections based on your track record? I’ve heard mixed stories—some banks are open to it, others stick to their standard process no matter what. I’m curious if anyone’s actually managed to get a more tailored arrangement, or if it’s just wishful thinking on my part.
Also, with all the digital tools out there now, you’d think banks could speed up the paperwork side of things. I still end up faxing forms half the time, which feels pretty outdated. Maybe that’s just my lender, though...
HOW DO YOU LIKE YOUR CONSTRUCTION LOAN FUNDS RELEASED—BIG CHUNKS OR LOTS OF LITTLE PAYMENTS?
I still end up faxing forms half the time, which feels pretty outdated.
Man, the fax thing cracks me up—same here. Feels like we’re building custom homes with one hand and sending smoke signals with the other. I’m with you on bigger draws. The small ones just slow everything down, especially when the inspector’s late or the bank’s dragging their feet. I’ve pushed for fewer inspections after a few smooth jobs, but honestly, most lenders aren’t budging. Maybe if you’ve got a long relationship with a local bank, but the big guys don’t care. It’s a pain, but I guess it’s their money and their rules.
HOW DO YOU LIKE YOUR CONSTRUCTION LOAN FUNDS RELEASED—BIG CHUNKS OR LOTS OF LITTLE PAYMENTS?
I’m right in the middle of this now, and honestly, I’d pick bigger chunks every time. Here’s how it’s gone for me: first, I thought the smaller payments would help keep things organized and make sure nothing got out of hand. But what actually happened? My builder kept having to stop and wait for the next draw, which meant delays and a lot more back-and-forth with the bank. It dragged everything out.
The inspection part is a headache too. I had to reschedule work twice because the inspector didn’t show when they said they would. Plus, the paperwork... don’t get me started on faxing stuff. It’s 2024 and I’m standing at a fax machine like it’s 1998.
If I had to do it again, I’d push for fewer, larger draws—even if that means more upfront planning. The little payments just made things messier for me. Maybe it’s different if you’ve got a super hands-on lender, but mine was all about their own process. Just my two cents from living through it.
I totally get where you’re coming from about the delays—waiting on the bank and inspectors can be brutal. I’m just starting my build, and my lender is pushing for more frequent, smaller draws “to protect everyone.” But honestly, it sounds like it just slows things down and adds stress. Did your builder ever push back on the payment schedule, or did they just roll with it? I’m worried mine might get frustrated if they keep having to stop and start.
