When your project is about 80% – 85% complete, we will begin the process modifying the construction loan into the permanent mortgage: revisit the application, finalize costs and title, order new appraisal, and lock the permanent rate. As soon as the city gives the Certificate of Occupancy, your builder will want the remainder of the contract and will request the draw. Your loan does not have to be modified for him to get his funds. Most of the time, last disbursement and the final mortgage will happen around the same time, but not together.