Contractor payments - do they expect some upfront payment?

[Jacqui Dolan]

I will be rehabbing my investment property (property manager will oversee) and am wondering if contractors expect some upfront payment (e.g carpet layer to buy carpet, cabinet maker for kitchens). I currently have a small outstanding mortgage with a non-bank lender and if they provide me with funds to rehab, they require that all work be 100% complete, on-site and installed and inspected by them before funds are released. Do most contractors expect this or to be paid something upfront? Are there more flexible lenders available (non-bank) who will provide the funds in a different manner?