Hard Money Draw Fees

[Anthony Miller]

One Hard Money Lender  told me their fee per draw is $200.  Is this fee amount typical?

[Account Closed]

@Dimitri Metropulos - When you close your hard money loan, they don't write you a check for rehab funds. They put those funds in an escrow account, and they are available for you to withdraw as you complete the work. Once you finish work, you contact your lender and submit a draw request. The lender sends out their own inspector to verify what is complete, and they allow you to draw money from the escrow account to cover the repairs that have been made to date. You will be charged for both the inspection and the draw itself - Typically between $150 - $200 for each separate draw and/or inspection.