Intellichoice Provides Examples of the Most Commonly Asked Questions Regarding Funds from an Owner builder Loan
This video will provide some of the most commonly asked questions that Owner Builders ask about how the funds from an Owner Builder loan are accessed (drawn) during their individually tailored building stages. Understanding the difference between Owner Builder Stage Draws and Lines Of Credit supports healthy budgeting – financial control during the intended build and the ability to identify items that need thorough consideration are critical components of the process
What is the most common question clients ask?
They want to know how they’re going to go about getting their money from the lender. Is it going to be a progress draw situation or is the lender going to set the line up like a quazy line of credit? And they just need to understand that process of how will I actually pay for the items and the labor exception that they need to put into their construction.
And what is their most common concern?
Their most common concern is that they’re not going to have the funds available when they need them to spend. So we need to be able to guide them through that process. We need to actually demonstrate to them that we can create a working buffer for them so that they’ve got working capital. We need to just align their fears that will look after their progress drawl so that they’re not going to have huge time delays between we’re completing getting paid for and being able to convince the next stage.