Whether you are a first time or a seasoned investor, Valor Lending Group has the program to fit your fix and flip loan needs. 12 to 24 month terms are available and rates to accommodate your loan scenario.
What is a top rated fix and flip loan?
A top rated fix and flip loan is a short term, real estate loan constructed to help first time or seasoned investors purchase and rehab a property in order to sell for a profit. You can also fix and hold to start your long term real estate schedule. This model is commonly know as the BRRR method(Buy, Rehab, Rent, Refinance, Repeat).
The term is normal between 6 to 24 months with no prepay penalty. The term will be determined by you and the lender after discussing the time frame of the renovation process. Rates can be anywhere between 7% and 12% depending on credit scores, experience, and reserve requirement. Always Interest only payments throughout the term of the loan. Construction draws are released per work completed.
What’s the difference between a Fix and Flip Loan and a Construction loan?
A spec or custom construction loan is generally financing that will fund a completely new build or structure. When the current structure is being added to with framing, square footage, or changing of the zoning then it will be considered a construction loan.
What are the benefits of securing a Top Rated Fix and Flip Loans?
One of the major advantages of a Fix and Flip loan is the lower down payment. You can purchase the property as low as 10% down. This is due to the ARV(After Rehab Value) being well above the current value after the construction is completed. Normally 15% to 35% higher in value.
Lower down payment allows you to leverage your money and invest in more real estate projects. It increases your buying power and mitigates loss of all your capital. Vesting into a LLC will also mitigate personal litigation, default, or foreclosure if ever anything happened to the market or ability to pay.
What do I need for get approved for a Fix and Flip Loan?
- Application
- Valid Photo ID
- Credit Pulled By Valor Lending Group
- REO Schedule or Investor History. First time investors welcome!
- 2 Months Business or Personal Bank Account Statements
- Purchase Contact
- Scope of Work
CALL ADAM LAWRENCE TODAY FOR ALL AND EVERY LOAN SCENERIO 858-344-0323 or ALAWRENCE@VALORLENDING.COM
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