A “Landlord Draw” or “Owner Draw” is the term used to transfer available funds from management to the landlord/owner. This is completed by electronic funds transfer (EFT) from the managers account to the owner’s account. Once a draw has been initiated, landlords can expect funds to be available in their bank accounts within one to two business days.
Draws are typically initiated on a set schedule in a given month and are as follows; The 1st, 6th, 11th, 16th, and 22nd. Draw dates are subject to change based on standard operating hours.
Before a draw can be processed, management will need to make sure that all funds have cleared, all bills are paid and all reserve amounts have been replenished. Although funds may show as “paid” or “available” against a tenant’s lease ledger, additional processing time may be required before funds show as available. This may be due to specific holding requirements between the tenant’s financial institution and the merchant provider.