How do I submit my draw request?
Once your loan closes, you will be provided with a draw management form that will show your available budget balance. Draw requests must be submitted via email in electronic format.

When do I need to submit my draw request?
Draw requests should be received by our draw department no later than the first day of the month. Draw requests received after the 5th are subject to an off-cycle draw fee.

Can I submit more than one draw per month?
Draws are done once per month. If you wish to submit an additional draw, an off-cycle draw fee may apply.

How long will it take to receive my funds?
The draw process can take up to 10 business days for you to receive funds. Once your draw request is received, an inspection and date down endorsement are ordered.

Can you mail me a check?
All draw disbursements must be paid via wire.

Where are my funds wired?
Wires are sent to the borrowing entities bank account. Unfortunately, we cannot wire to personal accounts.

What is an inspection?
An inspection is ordered every time you request a draw. The inspection fee may be waived if you are requesting soft costs only. (Permits, Plans & Engineering, etc.)

Who completes the inspection? Can I schedule when the inspector comes out?
Builders Capital uses both in house and external inspectors. Inspections are scheduled based on geographic location and priority is given to borrowers who submit draws by the 1st of the month. Please do not submit a draw if you are not ready for the project to be inspected.

What is a date down endorsement?
A date down endorsement is ordered from the title company every time you request funds to ensure the property is free of liens, taxes, etc. These fees vary based on Title Company and will be applied to your loan balance. ($39-$109.50)

Do I need to pay inspection or date down fees up front?
Inspection, date down endorsement, and wire fees will be deducted from your gross draw amount.
A wire breakdown will be provided by accounting after funds are wired.

What if I receive a bid that requires pre-payment or a deposit?
Funds are released based on job progress complete. Typically we will not prepay for work or deposits. On an exception basis, we will try to accommodate line items that require prepayment. A pre-payment fee may apply.

What happens to remaining funds in a line item once the work is completed?
If you have additional funds remaining in a line item that will no longer be needed, you are able to move these funds into your contingency line item. You are able to pull from contingency for the remainder of your loan to help with unexpected costs or overages. Please contact the draw department if you wish to move funds into contingency.

What if I have an invoice that is higher than the budgeted line item amount?
If you receive an invoice higher than the amount budgeted for that line item, you have two options:
1. Pay invoice difference directly out of pocket. For example: If you have an invoice due for $17,890 and the budgeted line item only allows for $17,000 – you will be responsible for paying the $890.00.
2. If you have a contingency fund, you can allocate overages for this budget line item to help make up for the difference.

Can I revise my budget?
Your total construction budget cannot change. However, revisions to individual line items are may be considered and must be approved by Builders Capital. If you wish to submit a budget change, you will need to provide documentation of bids & estimates that will support moving funds to other line items. A budget revision fee of $1000 will apply.

Can I move funds between loans?
Funds cannot be moved between different loans. The construction budget amount was financed into your loan.

What should I do if I know that I am going to be over budget and do not have a contingency to pull funds from?
If you believe your overall budget is insufficient, please contact your loan officer to discuss your options.