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Updated over 4 years ago,
Cash Down Payment of HML Construction Loan
I am asked to pay 20% cash down payment to close a construction loan for rehab, wondering if this 20% cash stays in construction hold back for me to draw w/o interest charge going forward or it is used to pay off initial purchase loan and leaves me to pay interest of every draw from hold back. Does any one have idea how HML deal with the cash down? many thanks