Monthly Construction Loan Bank Draw Forms - PDF

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Monthly Construction Loan Bank Draw Forms - PDF Powered By Docstoc
					      Your Construction Loan                                                              (360) 647-6000 to request an extension.
Important Information about your loan and the disbursement process is explained in these frequently
 asked questions. It is very important that you understand the loan process before your loan closes.
                    Do you still have questions? Just ask us. We’re here to help.

    When Does My Construction Loan
    Term Begin?                                  How Does the Disbursement                Is There a Fee If I Need an
    Your construction term begins on the date    Process Work?                            Extension?
    that you sign your loan documents. It is     Disbursements on a construction          YES, there is a fee associated with an
    important to know that your Construction-    loan are designed to reimburse the       extension of your required completion
    to-Permanent Loan funds are disbursed as     borrower as construction of the home     date. The fee is $350.00 for EACH month
    your home is built.                          progresses. When you request a           that you extend. Please keep in mind that
                                                 draw by filling out one of our Draw      this fee only covers the extension of your
    How Do I Get My Money?                       Request forms, we will send one of       construction term. Any potential fees
    At closing, you will sign a Construction     our inspectors out to your project to    pertaining to the extension of your interest
    Advance Delivery Information form that       determine the amount of work             rate lock will be collected separately
    identifies the method by which you wish      completed. The Bank of the Pacific       according to your Interest Rate Lock
    to receive your monthly draws. For faster    will disburse construction proceeds      Agreement.
    access to your construction funds, we        based only on the amount of work
    suggest that you to open an account at The   that has been completed at the time      How Do I Make My Final Draw
    Bank of the Pacific. We’ll help you set up   of the inspection.                       Request?
    your account and deposit your                                                         You can make a Final Draw Request when
    disbursement funds directly to it. For       How Long Will it Take for Me             the home is finished. The final 5% of your
    more information, please contact your loan                                            construction funds will be held until The
                                                 to Get the Funds After I Make
    officer.                                                                              Bank of the Pacific receives all Final
                                                 My Draw Request?
                                                 Your disbursement will be released
    Can I Get Reimbursed For
                                                 within 48 hours of The Bank of the
    Pre-Paid Items?                                                                       In addition, your loan must be in good
                                                 Pacific receiving the inspection
    Pre-paid items that are reflected in your                                             standing according to the terms of your
                                                 report performed by our inspector
    budget and used as your equity                                                        Construction Loan Agreement. Once your
                                                 and an update from the title company
    contribution are not reimbursable.                                                    final Draw Request has been disbursed,
                                                 indicating the property is free and
                                                                                          your construction loan will be rolled into a
                                                 clear of any liens.
    What are Deposits?                                                                    permanent loan and sold to the investor
    Sometimes vendors for items like cabinets,                                            with whom your rate was originally
                                                 How Many Inspections Are                 locked.
    light fixtures, windows, appliances or any
                                                 Allowed and What is the Cost?
    other specialty improvement that requires
                                                 The Bank of the Pacific allows you       Final Conditions:
    custom craftsmanship usually require
                                                 to request one draw per month. The
    deposits. The Bank of the Pacific will                                                If you are an owner/builder or if
                                                 Inspection Fee that was paid when
    release UP TO 50% of the total amount                                                 your home was built using a
                                                 your loan closed covers your
    budgeted in the specific line item for the                                            general contractor:
                                                 inspection costs. Additional
    following deposits upon receipt of vendor                                             In addition to the Certificate of Occupancy
                                                 inspections after your allotted 6 or 9
    invoices:                                                                             (if requested), The Bank of the Pacific
                                                 prepaid inspections (depending on
          •     Windows/doors                                                             must receive the following:
                                                 what was collected at closing) cost
          •     Countertops                      $150.00 each.                                   •    Final Draw Request
          •     Special Order Appliances                                                         •    Any outstanding Interest owing
          •     Flooring                         Who Does the Inspections?                       •    Final 442 inspection with
          •     Custom Lighting                  Inspections are completed by a                       photos from the appraiser (The
          •     Rough Framing Materials          qualified professional third party,                  Bank of the Pacific to obtain)
          •     Trusses                          contracted on behalf of The Bank of             •    Verification from the title
          •     Cabinets                         the Pacific or an employee of The                    company evidencing no liens
                                                 Bank of the Pacific.                                 on the property (The Bank of
    How Do I Request a Draw?                                                                          the Pacific to obtain)
    Draw requests can be made once per           What If I Need an Extension of                  •    Original Signed & Notarized
    month by contacting your loan officer        My Construction Loan Term?                           Loan Modification
    directly or by faxing your signed draw       Loans that go beyond the required
    request to (360) 738-8168. No verbal         completion date are technically in
    Draw Requests are permitted.                 default pursuant to your Construction
                                                 Loan Agreement. If the loan has
                                                 gone beyond this required
                                                 completion date, all loan draws are
                                                 on hold until an extension is granted.
                                                 Please contact your loan officer or

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