Most fix and flip lenders only take into consideration a homes purchase price. We delve further into the deal to determine the current market value on which to base the hard money loan. In addition, we can provide the necessary funds to make needed repairs and upgrades, and can also consider the property’s ARV (After Repaired Value) when determining our final fix and flip loan amount.
Our LTV’s reach as high as 70% when considering hard money loans for flipping houses If the house is purchased at a substantial discount from current market value, the need for borrower funds contribution can be greatly reduced.
If substantial improvements and repairs are contemplated, a Fund Control Account may be established to ensure that the scheduled property improvements are made and that they comply with general building codes and standards. The Fund Control Account protects all involved parties and assures that all work is done properly and as intended.