Fix and Flip Loans
Fix & Flip Loans Made Easy
At Level Up Lending, we’ve designed a straightforward approach to Fix and Flip Loans, making them accessible to real estate investors across the nation. Our mission is to provide a hassle-free and dependable lending experience, streamlining your property investment endeavors.
Transforming Properties and Profits with Fix and Flip Loans
Fix and Flip Loans empower real estate investors to purchase distressed or undervalued properties, renovate them, and sell them for profit. These borrowers operate on a fast-paced timeline and budget, aiming to buy low and sell high.
During the underwriting stage of the Fix and Flip Loan process, Level Up Lending can fund up to 85% of the purchase price, cover 100% of the renovation costs, and extend up to 65% of the After Repair Value (ARV) to experienced real estate investors. Our efficient underwriting process typically closes within an average of 21-35 days.
To secure a Fix and Flip Loan, investors must demonstrate the property’s profitability. Borrowers prefer these loans due to their simplified underwriting process when compared to traditional financing. Additionally, they appreciate the flexibility these loans offer, as there are no penalties for early repayment, allowing them to explore other opportunities.
Understanding Fix & Flip Loans vs. Hard Money Loans
Fix & Flip Loans serve as asset-based financing solutions, similar to Hard Money Loans, but with distinct underwriting criteria. While Hard Money Loans primarily focus on the asset’s Loan to Value (LTV), Fix & Flip Loans consider both the property and the borrower.
It’s common to confuse Hard Money Loans with Fix and Flip Loans due to their shared source of funding from hedge funds. However, they diverge in the underwriting procedures. Unlike Hard Money Loans, Fix and Flip Loans often undergo comprehensive underwriting with tighter guidelines. Depending on the lender, Fix and Flip Loans may require a minimum FICO score, and borrowers must maintain a clean credit history, free from late payments, foreclosures, judgments, or bankruptcy for 24-36 months.
Moreover, Fix and Flip Loans are designed as rehab loans, providing short-term financing to acquire a property and fund its renovation (9-24 months). They are tailor-made for investors seeking profitable opportunities in residential real estate.
Securing Your Fix and Flip Loan with Level Up Lending
At Level Up Lending, securing a Fix & Flip Loan is a clear and streamlined process. Once you’ve identified a property of interest, you’ll engage with our loan officer team to pre-qualify for financing. After meeting the underwriting criteria, we’ll outline the loan terms and provide an overview of the process.
It’s essential to note that Fix and Flip Loans are ideal for investors looking to invest in residential properties, such as houses and single-family units, but not intended for owner-occupied properties.
Our dedicated team of loan officers, experienced in working with house-flipping investors, will guide you through the four key areas where you’ll need funds for a Fix and Flip Rehab Loan: the down payment, closing costs, reserves, and the initial draw.
During the loan processing and underwriting stage, we assess the property’s value and your financial history. If all metrics align, you’ll advance to the funding stage, involving the signing of paperwork and promissory notes. Funds are disbursed to the property seller or directly to you once all requirements are met.
Level Up Lending collaborates with real estate investors specializing in property flipping to create a Draw Schedule for construction funds within the Rehab Loan process. An inspector ensures compliance with building codes, and funds are released in stages. Typically, funds are transferred to the designated bank account 2-3 days after the draw request.
Nationwide Fix & Flip Loan Programs
Level Up Lending offers nationwide Fix and Flip Loan Programs meticulously crafted to provide house-flipping investors with swift access to funding. Our commitment to a seamless and reliable loan process sets us apart in the industry.
For investors and entrepreneurs ready to realize their investment property, Level Up Lending specializes in creating productive lender-investor partnerships.
Our program highlights include:
- Eligible Property Types: Single-Family Residences (1-4 Units) and Multi-Family Residences (5-24 Units). No mixed-use properties.
- Loan Amounts: Up to $4 million for Single-Family Residences and up to $7.5 million for Multi-Family Residences.
- Simple Terms: Enjoy a 12-month interest-only period with no prepayment penalties.
- Expedited Process: Non-TRID loans enable faster closings.
- Convenient Rehab Draws: Choose options for no interest on rehab draws until requested, with timely processing.
- Extensive Rehab Support: Heavy rehab options available, with 100% rehab financing available.
- Expedited Processing of Rehab Requests.
- Up to 85% LTV, 65% ARV, and 85% LTC Available.
Your Simple Path to a Fix & Flip Loan with Level Up Lending
1. Pre-Approval:
Initiating the process at Level Up Lending means ensuring your financing aligns with your real estate investment goals. We assess your project’s details, location, acquisition price, renovation scope, and proof of funds. Start by having a conversation with one of our knowledgeable loan officers.
2. Processing and Underwriting:
Our underwriting process includes a review of your application’s documentation and a comprehensive project plan. Once our criteria are met, we schedule an appraiser to inspect the property. Additional documents related to your experience, cash, income, and credit will be requested. We cater to both individuals and entities.
3. Funding:
Upon approval, we move to the closing and funding phase. This involves various document signings. Once all requirements are met, funds are disbursed to the property seller or directly to you.
4. Fix and Flip Draw Schedule:
Our team collaborates with you to create a Draw Schedule for construction funds. An inspector ensures code compliance, and funds are released in stages. Typically, funds are transferred within 2-3 days after a draw request.
Fast and Flexible Fix and Flip Loans
Quick Closings
Level Up Lending's Fix and Flip programs offer an average closing time of 21-35 days, ensuring a swift and hassle-free experience for borrowers.
Flexible Underwriting
We pride ourselves on a flexible underwriting process that simplifies securing funding for your real estate investment goals. Contact us today to start your journey to successful property investment.
Get Started on Your Fix & Flip Project with Level Up Lending
Have you found the perfect investment property and are ready to explore Fix and Flip Loan financing solutions? Get in touch with us today. Our team brings years of expertise in Fix and Flip Loan financing, guaranteeing a smooth application-to-approval process. We recognize the significance of fast and reliable funding for your investment ventures and are dedicated to supporting you at every stage of the journey.
For more information or to begin your real estate investment project with Level Up Lending, please email us at [email protected] or call us at (848) 249-5626. Take the first step by applying for loan pre-qualification today.
Empower your real estate investments with Level Up Lending — Your Key to Success in Fix and Flip Financing!