What triggers the process of drawing funds from a construction loan?

The correct choice hinges on understanding the mechanics of construction loans. Drawing funds from a construction loan is typically initiated by the booking of the loan. This is the point when the financial institution formally recognizes that the loan has been established and is available to disburse funds.

Once the loan is booked, the borrower can begin to access the funds according to the terms laid out in the loan agreement. It is at this stage that the lender prepares to manage the draw schedule that aligns with the construction phases and the specific financial needs of the project.

Other elements in the workflow, like the completion of project phases or a contractor's request for funds, can indeed be critical to the broader process of managing a construction loan. However, these activities occur after and in relation to the initial action of booking the loan. Finalizing budget templates is a preparatory step but does not directly trigger fund draws. Therefore, recognizing that loan booking is the first action enabling subsequent draws makes it the correct answer.