Don't Pay for Work That Isn't DoneWhat to Check Before You Release a Draw

Before money moves, confirm the work is in place, the paperwork is clean, and the ledger still adds up.

A draw request is a simple thing on paper. The contractor says, "This much work is done. Please pay this much." The hard part is knowing whether that's true.

I've managed project schedules on large technology programs and later on construction and disaster relief sites. The lesson is the same everywhere: money should follow progress, never run ahead of it. Once you pay for work that isn't done, you've lost most of your leverage.

Here's what I look at before I tell a homeowner or a lender a draw is ready to release.

1. Work in place against the schedule of values

The schedule of values is the contract price broken into line items: foundation, framing, roofing, rough plumbing, and so on. Each draw should claim a percentage complete on each line.

So I walk the site with that list in hand. If framing is billed at 80 percent, I want to see roughly 80 percent of the framing standing. Not delivered. Not "starting Monday." Installed.

When the claimed percentage and what I see don't match, that line gets adjusted before the draw goes forward. It's not an accusation. It's just keeping the numbers honest.

2. Materials on site, and the invoices behind them

Sometimes a contractor bills for materials that are delivered but not yet installed. That can be fair, especially for long-lead items. But I want to see two things: the material physically on site (or in documented, secure storage), and an invoice showing it was bought for this job.

I also check that it's protected. Lumber sitting in the rain or windows stacked where they'll get damaged aren't worth what the invoice says.

3. Lien waivers

This is the one homeowners most often miss.

A lien waiver is a signed statement from the contractor, a subcontractor, or a supplier saying they've been paid for a certain period or amount and give up the right to file a lien for it. A lien is a legal claim against your property for unpaid work or materials. If your contractor doesn't pay the plumber, the plumber may have a claim against your house, even though you paid the contractor.

So with each draw I look for waivers covering the previous payment, from the contractor and, where practical, from the major subs and suppliers. Lien rules and waiver forms vary by state and change over time, so check with your attorney or lender about what's required where you're building.

4. Inspections passed

Your local code office inspects work at set stages: footings, framing, rough electrical and plumbing, insulation, and final. Those inspections exist for safety.

Before I sign off on a draw for a stage, I want the inspection for that stage passed and on record. Paying for framing that hasn't passed framing inspection is paying for work that may have to be opened up and redone. And never let walls get closed in before rough inspections. That's a safety issue as much as a money issue.

5. Retainage

Retainage is a portion of each payment held back until the end of the job. It gives everyone a reason to finish the punch list, the small items that tend to linger.

If your contract includes retainage, I make sure each draw holds back the right amount and that the running total is tracked. If your contract doesn't mention it, talk to your lender and attorney before you sign about whether it makes sense for your project.

6. Photos with dates

Every site visit, I take photos: wide shots to show overall progress and close-ups of anything that matters, like connections, flashing, and work that's about to be covered. They're dated and tied to the draw.

Photos settle a lot of questions later. They also let a lender or a family member out of town see what they're paying for.

7. Reconcile the ledger

Last, I put it all together. What's the contract total, including approved change orders? What's been paid so far? What's this draw? What's left? Does what's left actually cover the work still to do?

That last question is the important one. If the remaining balance won't finish the house, you want to know now, not at 90 percent complete.

I work open-book. My clients see the full project ledger: every dollar, every draw, every step. No surprises.

The bottom line

A draw is a checkpoint, not a formality. Verify the work, check the paperwork, confirm inspections, and make the numbers balance. Then release the money with a clear conscience.

If you're building or renovating and want a second set of eyes before each payment, that's what my Draw Inspections & Payment Verification service is for. I'm based in York County and work across south-central Pennsylvania. Reach out and we'll talk through your project.