Fix & flip
Fix and flip loans that fund the rehab.
Purchase plus renovation on one loan, with the rehab funded in draws as the work gets done. Built by people who still flip houses, with a 15-day closing target.
How it works
Sized on cost and on the after-repair value.
A fix-and-flip loan covers the purchase and the renovation budget. Lenders size it two ways, then lend the lower of the two: a percentage of your total cost (purchase plus rehab), and a percentage of the after-repair value, or ARV.
The rehab money isn't handed over at closing. It's held back and released in draws as each phase is finished and inspected. Fewer, cleaner draws go faster, so we help you plan them around finished phases rather than individual line items.
Experience moves the terms. Lenders generally treat five or six completed projects as experienced, and that buys better leverage and pricing. Newer investors can still get funded, usually with more cash in the deal.
We still flip houses ourselves. We know what a real rehab budget looks like, which is why we'll question a scope that's light before an appraiser or a lender does.
How the loan gets sized
Purchase $150,000 plus rehab $50,000 is a $200,000 total cost. The ARV is $300,000.
90% of cost is $180,000. 70% of ARV is $210,000. The loan is the lower number, $180,000, so you bring about $20,000 plus closing costs.
Illustrative example only. Real terms depend on the lender, the property, and the borrower, and are not a commitment to lend.
Typical terms
What a fix-and-flip loan usually looks like.
- Loan-to-cost
- Up to 90% of costPurchase plus rehab, for experienced investors.
- Loan-to-ARV
- 70% to 75% of ARVUsually 70%. The loan is the lower of the two tests.
- Experience
- 5 to 6 flips = experiencedNewer investors can qualify with more cash in.
- Term
- 6, 12, or 18 monthsMatched to the project timeline.
- Rehab funds
- Draws after inspectionTypically funded within 3 to 5 days of an inspection.
- Timeline
- 15-day targetIt moves as fast as the documents do.
- Credit
- Starts around 660Some lenders go lower for the right deal and borrower.
- Cash to close
- Down payment + reservesLenders verify cash for the gap, closing costs, and reserves.
These are typical ranges across the lenders we place with, not a quote. Your actual rate, leverage, and terms depend on the property, your credit and experience, and the lender.
Is it the right loan
Who this fits, and who it doesn't.
Investors with a real plan and a real budget.
- Distressed purchases that need renovation before resale
- Investors with completed flips to show
- Projects with an itemized scope of work and contractor in place
- Deals bought right, where ARV comfortably clears cost
Deals that won't pencil.
- Thin margins where ARV barely clears purchase plus rehab
- A scope of work that's a single number with no line items
- No cash for the down payment, closing costs, and reserves
- A property you plan to live in
What we need
What a flip file needs.
- Fully executed purchase contract with all addenda, including any assignment
- Itemized scope of work with costs
- Contact for the person who will give the appraiser access
- Title company and insurance agent contacts
- Two months of bank statements
- Photo ID and entity documents with EIN
- Schedule of properties you own and flips you've completed
Send the deal
Purchase price, rehab budget, ARV, and how many flips you've done. A credit range is enough to quote.
We size and route it
We run both leverage tests and route it to the lender that fits your experience and the property.
Close and start work
A 15-day target from a complete file, then draws as each phase is finished.
Questions
Fix and flip questions.
How much will a fix and flip lender fund?
How do rehab draws work?
Can I get a flip loan with no experience?
How fast can you close a flip?
Do you finance wholesale deals?
Other loan types
Not quite the right fit?
Got a flip under contract?
Two minutes to tell us what you're working on. No application fee, no credit pull to get a conversation started.