Nationwide Fix and Flip Loans
Fix and flip loans provide short-term capital for investors purchasing properties that require renovation prior to resale. As a mortgage broker, Westpark Loans sources private and institutional capital to structure renovation financing based on purchase price, after-repair value (ARV), and project scope.
These loans are built for execution speed and defined exit strategy.
Short-term Bridge Loans may also be used before renovation begins.
This program is available in multiple states for business-purpose transactions, subject to lender and property guidelines.
What Is a Fix and Flip Loan?
A fix and flip loan is a short-term investment loan designed to finance both the acquisition of a property and the cost of renovation.
Unlike traditional mortgages, approval focuses on:
- Property value
- After-repair value (ARV)
- Renovation budget
- Investor experience
- Exit strategy (resale or refinance)
FIX AND FLIP QUALIFICATION GUIDELINES
Typical parameters may include:
- Financing based on purchase price and ARV
- Renovation draw schedules
- Interest-only payments
- Short-term duration (6–18 months typical)
- Flexible credit profile review
- Entity ownership permitted in many programs
Guidelines vary by lender and borrower profile.
PROGRAM STRUCTURE
Fix and flip financing may include:
- Purchase financing
- Rehab budget funding in staged draws
- Interest-only payments during construction
- Points and fees common in short-term capital
- Extension options (program dependent)
We structure renovation financing to align with acquisition, construction timeline, and resale plan.
FIX AND FLIP LOAN TERMS
Typical loan parameters may include the following. Guidelines vary by lender and borrower profile.
| Feature | Details |
|---|---|
| States Allowed | Nationwide (Business Purpose Only) |
| Loan Type | Short-Term Fix and Flip Loan |
| Lien Position | 1st Position |
| Loan Term | 6–18 months typical |
| Interest Rates | Interest-only common |
| Loan Amount | Based on purchase and ARV |
| LTV | Up to 95% LTV (purchase price and/or ARV dependent) |
| Rehab Costs | 100% |
| ARV | 80% max |
| Credit Score | Flexible; varies by lender |
| Occupancy | Investment properties only |
| Property Types | 1–4 unit residential typical |
| Prepayment | May apply depending on structure |
| Closing Time | Often 7–14 days depending on file readiness |
Strategic Use Cases
Fix and flip loans are commonly used for:
- Acquiring distressed properties
- Cosmetic renovation projects
- Value-add investment strategies
- Competitive cash-like offers
- Rapid resale cycles
Successful flipping requires disciplined budgeting and exit planning.
Process Overview
- Deal review including purchase and renovation scope
- Preliminary term sheet issued
- ARV evaluation and property valuation
- Underwriting review
- Funding and draw schedule activation
Most fix and flip transactions close quickly when documentation and contractor scope are clearly defined.
Important Considerations
- Short-term maturity requires defined resale strategy
- Interest rates higher than traditional financing
- Draw inspections may be required
- Construction delays impact profitability
We help align structure with realistic renovation timelines.
Frequently Asked Questions
Yes. Many programs include staged draw funding for approved rehab budgets.
Closings often occur within 7–14 days depending on file readiness.
Approval focuses primarily on property value and project viability.
Some lenders offer extension options depending on terms.
Yes. Many fix and flip loans include construction draws based on an approved scope of work
First-time investors may qualify depending on credit profile, liquidity, and project strength. Additional reserves or lower leverage may apply.
FIX AND FLIP LOANS EXAMPLE
Daniel found a distressed property in Los Angeles requiring rehab and speed.
Purchase Price: $650,000
Rehab Budget: $180,000
After Repair Value: $950,000
Loan Structure: 85% purchase + 100% rehab
Term: 12 months
Credit Score: 690
Westpark Loans structured staged draws aligned with contractor milestones. The property sold in 7 months for $980,000. Closed in 14 days.
Client Testimonials
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There’s no one-loan-fits-all solution. For more information on our All In One Loans, please contact our licensed Loan Specialists to find the best option for you.
Broker Advantage Statement
Not every fix and flip loan program is the same.As a mortgage broker, Westpark Loans compares lenders to structure the right solution based on your property, leverage needs, and defined exit strategy.