FAQ
Not every inspection fully supports the requested draw. This page explains what happens when findings differ from the request, who decides funding, when a reinspection is needed, and how lenders handle delays, budget shortfalls and partial disbursements.
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The lender may reduce, delay or hold the draw until the discrepancy is resolved. The borrower or contractor may need to provide additional evidence, revise the request, complete more work or request a reinspection.
See how RAZE surfaces draw exceptions earlyGenerally, no. The inspector reports visible progress and relevant findings. The lender or authorized loan administrator decides whether to approve, adjust or deny the requested disbursement according to the loan documents and internal policy.
See how RAZE surfaces draw exceptions earlyDifferences can arise from incomplete areas, unsupported stored materials, inconsistent budget definitions, unapproved change orders or different interpretations of the scope. Detailed comments and photographs help the lender understand and resolve the discrepancy.
See how RAZE surfaces draw exceptions earlyYes. The lender, borrower or contractor may identify missing information or factual errors. The provider can review additional documentation, clarify the report, issue a correction when appropriate or conduct a reinspection. The original report and subsequent changes should remain traceable.
See how RAZE surfaces draw exceptions earlyA reinspection may be required when work was incomplete, access was unavailable, material discrepancies remain unresolved or the lender needs updated evidence before funding. The lender determines whether new documentation is sufficient or another site visit is necessary.
See how RAZE surfaces draw exceptions earlyThe inspector may document the visible status and any observable signs of delay. The lender then evaluates the schedule, remaining budget, loan maturity and completion risk. Depending on policy, the lender may request a recovery plan, increase monitoring or restrict additional funding.
See how RAZE surfaces draw exceptions earlyThe lender typically evaluates remaining funds, contingency reserves, approved change orders and the borrower’s ability to cover the shortfall. Draw inspections can identify physical progress but do not resolve an insufficient construction budget.
See how RAZE surfaces draw exceptions earlyYes, if permitted by the loan agreement and lender policy. The lender may release only the amount supported by verified progress instead of approving or rejecting the entire request.
See how RAZE surfaces draw exceptions earlyStandardized photos, percentages and audit trails help lenders act quickly when a draw is not fully supported.
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