FHA Limited 203(k) Draw Information

Two draws per contractor allowed
50% of the bid amount is disbursed 7-10 business days after closing
Remaining 50% of bid amount is disbursed upon job completion
Proof of permits is required
No holdbacks on draws
Requests for use of contingency funds are limited to unexpected cost overruns related to the original scope of work or health or safety related items only
Contingency funds paid on final draw only
Work must be completed within 6 months of closing