An inspection must be done prior to disbursement of funds to the borrower or a contractor. Allowances for over-runs are built into the log home construction loan, but if an increase is still needed, the amount can be increased if the borrower qualifies for a higher amount. There are no prepayment fees on log home construction loans and they must be paid off with a conventional loan when the project is complete. Funding of this nature is approved upon this contingency. Failure to repay the borrowed amount in full will temporarily require payments to be made on the original amount; however, as soon as the borrower qualifies for a traditional lending program, they must find one.