Draw Mortgage

Importance: 0.43

Is a company: no

Is a proper noun: no

Notes: See Progress Advance Mortgage (PAM).

Synonyms

  • draw loan
  • progress draw construction mortgage
  • progress draw mortgage
  • advanced as needed

Acronyms

  • DM

Definition of Draw Mortgage

  1. A payment, made periodically, to a construction contractor or subcontractor as work progresses. A draw is part of a construction mortgage.

Related Terms and Acronyms

  • Construction Loan Bank,
    • A short-term interim loan for financing the cost of construction. The lender makes payments to the builder at periodic intervals as the work progresses.
  • Subcontractor Definition,
    • A person or company that does specialty work for a general contractor.
  • Custom Builder Definition,
    • A contractor that constructs or remodels houses based on plans submitted by the client.
  • Land Draw Definition,
    • A construction loan backed by the value of the land.
  • Commercial Loan Bank,
    • A loan taken out by a business.
  • General Contractor Definition,
    • The person or company that performs work on a construction project, hires subcontractors and suppliers, or both.
  • Interim Financing Bank,
    • The availability of funds on a daily basis to assist a developer with financing for a construction project between advances made by the lender of the construction loan.
  • Contractor Definition,
    • One who constructs or oversees construction of a house or a large renovation.
    • Someone that agrees to furnish materials or perform services at a specified price.
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