How do banks work with modular construction?
Today, very well. In the early days banks did not understand or have systems in place to pay for an entire house on set day. Over the years though banks began to appreciate the fact that the house is 90% complete the day they pay for it and do not suffer the risk of the builder getting ahead on the money side and behind on the completion side. So banks now like the security that their investment is in place, they can take a picture for their file and be good to go. On site built jobs the builder draw schedule with the bank may get ahead of the actual work being done which always makes a bank nervous.
