However they have something called a draw for the funds that go towards renovations.

I have seen people decrease the size of a family room, divide 1 large beroom into two, we had a property with a huge kitchen dining area we added a bedroom and there was still plenty of room for their kitchen table.  

For GC’s out there, what has been your experience with getting timely draws?

If used to purchase investment properties those interest payments are tax deductible, you can replenish the HELOC, and you only need to cover the interest payments during the draw term.  

I think I would also draw up a contract that covers all the details and possibilities that could come up.Could be a money maker.

It would be hard and expensive for BP to police these people and I'm sure they're putting in a good effort.My plan for now is to keep up the hustle and grind and hopefully my success will draw the equity partnerships and private money lenders to me.

Do we use them primarily to just draw up the purchase agreement? 

I talked to my realtor today and we decided to draw up a contract for the house. 

Real state market is divided into main 2 category, old soviet Russian style apartments, newly built apartments and houses since 1990.

Here's how it should work.Example:Purchase price 100,000Rehab amount 50,000ARV (After Repair Value) 230,000Hard money lender lends 90% of the purchase price and 100% of the rehab (paid out in draws).Rehab is complete and either you sell the property (flip) or refinance the property (hold).If you hold it and want to go conventional financing, you'll have to wait 6 months before you can use the appraised value.