A rehab draw schedule turns an approved renovation budget into a practical funding sequence. Investors who understand how draws are requested, verified and released can plan working capital more effectively. Because Landlord Lending works with multiple investment-property lenders, exact credit, leverage, experience, liquidity, draw, property and documentation guidelines can vary by lender, program and overall deal strength.
What Is a Rehab Draw Schedule?
A rehab draw schedule is the planned sequence for requesting and releasing renovation funds during a financed project. It connects the scope of work, project milestones and lender-controlled rehab proceeds.
How the Schedule Is Built
The schedule may group work into logical stages such as demolition, rough systems, exterior work, finishes and final completion. The exact format varies by lender and project.
Submitting a Draw Request
Investors typically identify completed work and request reimbursement or release of eligible funds. Required support can include photos, invoices, receipts, inspection results or other lender-specific documentation.
Inspections and Approval
Many lenders verify progress before releasing funds. The verification method can include a third-party inspection, a drive-by, documentation review or other approved process.
Avoiding Draw Bottlenecks
Incomplete documentation, failed inspections, scope deviations or work that does not match the approved budget can delay draws. Preparing complete submissions reduces processing time.
Changes to the Scope
Significant scope changes may require lender approval before additional costs are incurred. Investors should communicate changes to the lender rather than assuming they can be absorbed informally.
How Landlord Lending Helps
Landlord Lending helps real estate investors evaluate buy and rehab financing based on the property, renovation scope, budget, exit strategy and overall deal rather than assuming every scenario fits one lender’s program.
Explore the Buy and Rehab Loan.
Related: Buy & Rehab Loans: The Complete Guide · How Rehab Funds Are Disbursed During a Renovation Loan
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How many draws are allowed on a rehab loan?
The number and structure vary by lender and project. Some lenders set minimum draw amounts or other administrative rules.
Does every draw require an inspection?
Many programs verify work before releasing funds, but the verification method varies.
Can I change the draw schedule after closing?
Changes may be possible with lender approval, particularly when the scope, budget or project circumstances change significantly.