I love Cross Country specifically because they can service their own loans meaning that they handle all the construction draws and payment processing.Plus, I like Homestyle over 203k because they don't have as strict of guidelines on what has to be renovated.

You don’t start paying on the rehab portion until you actually draw that money, but you will need to start paying on the purchase price immediately. 

No draws buy it sell it make the money..

If you have a lender they should be getting lien releases as they pay draws.

@Dani Murai, while I can't give you a name of anyone in your area (I am not from there), when you are interviewing contractors, here are a couple things I have seen:I avoid any contractor that has a draw schedule based on percentages, i.e. 1/3 up front, 1/3 at halfway completed and 1/3 at completion.  

Do you fund repairs upfront, or is it done through draws?

A "professional" tenant can draw out an eviction and and strip anything of value from the home, costing you tens of thousands without batting an eye.There are stories of people living in a home for over a decade without paying a dime.

This second property is in a MUCH improved neighborhood, which draws in a better class of tenant, it's professionally managed by a trusted company, and it's structurally sound with recent major improvements.WHAT'S NEXT??

Typically, you'll have something like a 10 year draw period with interest-only payments, and then the balance is amortized over 20 years.

Hard Money will fund 90% of the purchase price and 100% of the rehab on a draw schedule.