How Do Construction Draws and Inspections Work?

By Andrew J. Liersch III | October 8, 2026
Diagram showing the four-beat construction draw cycle — complete the phase, request the draw, pass the inspection, receive funds within 24 to 72 hours — alongside the five draw milestones on an $850,000 build from foundation to certificate of occupancy. Slingshot Investments.

By Andrew J. Liersch III — Founder & CIO, Slingshot Investments. 10+ years in private lending, $500M+ funded. Former Wells Fargo Private Mortgage Banking, Bear Stearns, and Deloitte Consulting. Short answer: Your construction holdback is released in milestone draws — typically five on an SFR build — and every draw follows the same four-beat rhythm:…

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