Fix and Flip Loans for Real Estate Investors
Finance the purchase and renovation of non-owner-occupied investment properties with flexible, short-term funding designed for real estate investors.
Fix and Flip loans may provide financing for both the property acquisition and eligible renovation costs, allowing investors to complete improvements and prepare the property for resale or long-term refinancing.
WestPac Lending reviews the property, project scope, renovation budget, investor experience and planned exit strategy to help structure a financing option for the deal.
Tell Us About Your Investment Property
Share the basic property, purchase and renovation details. A WestPac Lending team member can review the scenario and discuss potential financing options with you.
Provide the property details
Include the property location, purchase price, rehab budget and estimated after-repair value.
Describe the project
Tell us about the renovation scope, investor experience and expected closing timeline.
Review possible financing
We can evaluate the scenario and discuss applicable terms, documentation and next steps.
Request a Fix and Flip Loan Review
Complete the form and provide as much information about the project as possible.
Business-purpose financing offered through Savi Ranch Capital, LLC dba WestPac Lending. Financing is intended for non-owner-occupied investment properties. Program terms and availability vary. All financing is subject to underwriting and approval.
Explore Fix and Flip Financing Topics and Investor Loan Options
Review how Fix and Flip loans work, common qualification requirements, financing terms, renovation funding, exit strategies and related WestPac Lending real estate investor resources.
On This Page
What Is a Fix and Flip Loan?
A Fix and Flip loan is short-term, business-purpose financing used to purchase, renovate and resell a non-owner-occupied investment property.
Unlike a traditional home loan, Fix and Flip financing is structured around the investment property, renovation plan, project budget, estimated after-repair value and the investor’s intended exit strategy. Financing may include funds for both the property acquisition and eligible renovation costs.
These loans are commonly used when an investor needs to move quickly, purchase a property that requires repairs, or complete renovations before the property can qualify for conventional long-term financing.
Fix and Flip loans are intended for investment properties and are not designed for an owner-occupied primary residence.
A Typical Fix and Flip Strategy
Acquire a non-owner-occupied investment property.
Complete approved repairs and property improvements.
Sell the property or refinance into longer-term financing.
Fix and Flip Loan Program Highlights
WestPac Lending offers short-term investor financing options that may help cover the purchase and renovation of eligible non-owner-occupied properties.
Up to 90% Loan-to-Cost
Qualified projects may be eligible for financing up to 90% of the total project cost, subject to applicable value, leverage and underwriting limits.
Eligible Rehab Costs
Financing may include up to 100% of approved renovation costs when supported by the project budget, property value and loan structure.
Fast Closing Options
Some qualified transactions may close in as little as three to four days when the property, title and required documentation are ready.
No-Credit-Pull Options
Certain programs may be available without a traditional credit pull, depending on the investor, property, leverage and overall scenario.
Non-Recourse Options
Non-recourse structures may be available for qualifying borrowers, entities and transactions, subject to customary carve-outs and program requirements.
Flexible Exit Strategies
Repay the short-term loan through the sale of the renovated property or refinance into an eligible long-term investor loan.
Program terms depend on the complete transaction
Maximum leverage and available terms may vary based on investor experience, project scope, property type, location, purchase price, renovation budget, after-repair value, liquidity and exit strategy.
Purchase Funds + Renovation Funds
Fix and Flip financing may combine acquisition financing with approved renovation funds in one short-term business-purpose loan.
Funds toward the eligible property purchase.
Approved rehab funds may be released through draws.
Repay the loan through a sale or eligible refinance.
How Fix and Flip Financing Works
Fix and Flip financing is structured around the full investment project—not only the property’s condition at the time of purchase.
WestPac Lending reviews the purchase price, renovation budget, estimated after-repair value, investor experience, proposed timeline and exit strategy. These details help determine the potential loan structure and the amount of financing that may be available.
Submit the property and project details
Provide the purchase contract, property address, renovation budget, estimated after-repair value and proposed closing date.
Review the financing structure
The transaction is evaluated using applicable loan-to-cost, property-value, experience, liquidity and underwriting limits.
Close on the investment property
Approved acquisition funds are provided at closing, subject to final underwriting, title, valuation and documentation.
Complete renovations and request draws
Approved renovation funds may be released as work is completed and documented according to the loan’s draw process.
Sell or refinance the completed property
Repay the short-term loan by selling the renovated property or refinancing into an eligible longer-term investor loan.
Fix and Flip Loan Requirements
Qualification is based on the complete transaction, including the investor, property, renovation plan, project economics and proposed exit strategy.
Business-Purpose Transaction
The loan must be for a non-owner-occupied investment property and used for a legitimate business or investment purpose.
Eligible Borrowing Entity
Loans may close in an eligible LLC, corporation or other approved business entity, depending on the program and transaction.
Purchase Contract
A complete purchase agreement is typically required when financing the acquisition of the investment property.
Renovation Scope and Budget
Provide a detailed scope of work, estimated costs, contractor information and expected project timeline.
Property Value and ARV
The current property value and estimated after-repair value may be reviewed through an appraisal, valuation or other approved method.
Investor Experience
Prior completed projects may affect available leverage and terms, although first-time investor options may also be available.
Liquidity and Reserves
Investors may need funds for the down payment, closing costs, reserves, project overruns and other required contributions.
Defined Exit Strategy
The proposed plan should identify whether the completed property will be sold or refinanced into longer-term investor financing.
Requirements vary by loan program and project
Additional documentation or conditions may apply based on the property type, location, renovation scope, experience level, leverage, entity structure and final underwriting review.
Loan-to-Cost, Rehab Financing and After-Repair Value
Fix and Flip loan amounts may be evaluated using several measurements, including the total project cost, current property value, renovation budget and estimated value after the work is completed.
Loan-to-Cost
Loan-to-cost, or LTC, compares the proposed loan amount with the combined cost of purchasing and renovating the property.
Rehab Financing
Approved renovation costs may be included in the loan structure and released through draws as eligible work is completed and documented.
After-Repair Value
After-repair value, commonly called ARV, is the estimated market value of the property after the proposed renovations have been completed.
Multiple Loan Limits May Apply
The final loan amount may be limited by more than one calculation. A transaction may need to satisfy applicable loan-to-cost, current-value and after-repair-value limits.
Fix and Flip Loans for First-Time Investors
First-time investors may have Fix and Flip financing options even without a history of completed renovation projects.
A lender may place greater emphasis on the strength of the property, renovation plan, available liquidity, contractor qualifications and exit strategy when the borrower does not yet have completed Fix and Flip experience.
Available leverage, reserves, documentation and pricing may differ from terms offered to an investor with a longer track record. A well-prepared project can help demonstrate that the transaction has been carefully evaluated.
What Can Strengthen a First-Time Investor Scenario?
Itemized costs can help show that the project scope is realistic and properly planned.
Relevant contractor experience may support the proposed renovation timeline and cost estimates.
Funds for contributions, closing costs, reserves and possible project overruns may be required.
A supportable completed value helps demonstrate the project’s potential economics.
The plan should explain whether the property will be sold or refinanced after completion.
Build in time for inspections, material delays, draw requests and unexpected repairs.
Eligible Properties and Renovation Projects
Fix and Flip financing may be available for a range of non-owner-occupied investment properties and renovation strategies, subject to the property, location, project scope and underwriting requirements.
Potentially Eligible Property Types
Property eligibility varies by program, value, condition and intended use.
Single-Family Homes
Detached residential investment properties purchased for renovation and resale or long-term rental use.
Two-to-Four-Unit Properties
Small residential multifamily properties may be considered when the units and project meet program requirements.
Condominiums and Townhomes
Select condominium and townhome projects may qualify, subject to property, association and marketability review.
Select Multifamily Properties
Larger residential investment properties may require a commercial or specialized investor-loan structure.
Potential Renovation Scopes
The proposed work should be supported by a detailed budget, realistic timeline and qualified project team.
Cosmetic Renovations
Flooring, paint, cabinetry, fixtures, landscaping and other improvements that do not substantially alter the structure.
Moderate Rehabilitation
Kitchen, bathroom, roofing, mechanical and other property improvements involving multiple trades.
Heavy Renovation
Extensive projects may be considered when the scope, budget, contractor experience and value support the transaction.
Property Repositioning
Certain layouts, unit configurations or property-use changes may require additional approvals, permits and documentation.
Property eligibility is determined case by case
Additional restrictions may apply to rural properties, unusual construction, significant structural work, environmental concerns, incomplete developments, mixed-use properties or projects requiring substantial entitlement or zoning changes.
Fix and Flip Loan Rates, Costs and Terms
Fix and Flip loan pricing is based on the complete transaction rather than a single advertised interest rate. Terms may vary by property, borrower, project scope, leverage and exit strategy.
What May Affect Fix and Flip Loan Pricing?
Investor Experience
Completed projects and relevant experience may influence available leverage, pricing and reserve requirements.
Loan Amount and Leverage
Loan size, loan-to-cost and value-based limits may affect the available interest rate and overall structure.
Property and Location
Property type, marketability, condition and geographic location may influence eligibility and pricing.
Renovation Scope
Larger or more complex projects may require additional reserves, documentation, inspections or experience.
Loan Term
The expected project timeline and requested term may affect the interest rate, extension provisions and cost.
Exit Strategy
The strength and feasibility of the proposed sale or refinance plan are part of the overall risk review.
Common Fix and Flip Loan Cost Categories
Interest
Interest is generally charged during the short-term loan period based on the applicable loan structure.
Origination Points
Origination charges may be calculated as a percentage of the loan amount and vary by transaction.
Valuation Costs
An appraisal, broker price opinion or other approved valuation method may be required.
Draw and Inspection Fees
Renovation draws may involve inspections, documentation and processing fees.
Title and Closing Costs
Title, escrow, recording, legal and settlement costs may apply based on the property and location.
Extension Fees
Additional charges may apply if the loan extends beyond the original maturity date.
Rates, fees, leverage, loan terms and program availability are subject to change and depend on the complete transaction. This page does not constitute a commitment to lend or a quote for a specific loan.
Fix and Flip Loans vs. Hard Money Loans
Fix and Flip financing is often described as hard money financing, but the terms are not always used in exactly the same way.
Fix and Flip Loans
Financing specifically structured around purchasing, renovating and exiting an investment property.
- Designed for purchase and renovation projects
- May include acquisition and rehab financing
- Often evaluated using LTC and after-repair value
- May include a formal renovation draw process
- Intended for resale or refinance after improvements
- Commonly used for non-owner-occupied residential properties
Hard Money Loans
A broader category of short-term, asset-based financing that may be used for several investment-property purposes.
- Often secured primarily by real estate
- May be used for acquisitions, bridge needs or renovations
- Frequently designed for faster underwriting and closing
- May focus heavily on property value and exit strategy
- Terms vary significantly among lenders and programs
- May or may not include renovation draws
Speed
Both financing types may provide faster underwriting and closing than a traditional consumer mortgage when the property and required documentation are ready.
Property Condition
Financing may be available for properties that require repairs and may not qualify for conventional residential financing in their current condition.
Pricing
Short-term investor financing commonly has higher rates and fees than long-term residential financing because of the transaction structure and project risk.
Exit Plan
A clear and realistic sale or refinance plan is important because these loans are generally intended to be repaid within a relatively short period.
Fix and Flip Exit Strategies
A clear exit strategy explains how the short-term Fix and Flip loan will be repaid after the renovation project is completed.
Prepare for Changes in Timing, Cost or Market Conditions
Renovation projects do not always follow the original schedule. Investors should consider possible delays, cost overruns, slower resale activity and refinancing requirements before closing.
The Fix and Flip Loan Process
The exact timeline and documentation requirements vary by transaction, but most Fix and Flip loans follow a similar review, closing, renovation and repayment process.
Submit the Property and Project Details
Provide the property address, purchase price, renovation budget, estimated after-repair value, experience level, closing date and proposed exit strategy.
Review Potential Terms and Leverage
The scenario is evaluated using the property, project cost, estimated value, borrower experience, liquidity and applicable underwriting guidelines.
Provide the Required Loan Documents
Submit the entity, property, valuation, insurance, title, liquidity and project documentation required for the specific transaction.
Complete Valuation, Title and Underwriting
The property value, after-repair value, title, insurance, project feasibility and required documentation are reviewed before final loan approval.
Review Final Terms and Close the Loan
Approved acquisition funds are provided through the closing process after final conditions, documents and borrower contributions have been satisfied.
Complete the Work and Request Rehab Draws
Renovation funds may be released according to the approved budget and draw process as eligible work is completed and documented.
Sell or Refinance the Completed Property
Repay the short-term loan through the sale of the renovated property or an eligible refinance into longer-term investor financing.
Every Transaction Has a Different Timeline
Closing speed depends on the property, valuation, title, insurance, borrower documentation and final underwriting conditions. A three-to-four-day closing is not available for every transaction.
Frequently Asked Questions About Fix and Flip Loans
Review common questions about qualification, renovation financing, credit, project experience, closing timelines, repayment and property eligibility.
What is a Fix and Flip loan?
A Fix and Flip loan is short-term, business-purpose financing used to purchase, renovate and sell or refinance a non-owner-occupied investment property. Financing may include funds for both the acquisition and eligible renovation costs.
How do Fix and Flip loans work?
The lender reviews the purchase price, renovation budget, current value, estimated after-repair value, investor experience, liquidity and exit strategy. Approved purchase funds are provided at closing, while renovation funds may be released through draws as eligible work is completed.
Can a first-time investor qualify for a Fix and Flip loan?
First-time investor options may be available. The transaction may be evaluated more heavily on the property, renovation plan, liquidity, contractor qualifications, project feasibility and exit strategy. Leverage, reserves and pricing may differ from terms available to experienced investors.
Is a credit pull required?
No-credit-pull options may be available for certain qualifying transactions. Eligibility depends on the specific program, borrower, property, leverage, experience and complete underwriting review.
Can renovation costs be included in the loan?
Fix and Flip financing may include up to 100% of eligible renovation costs, subject to the approved budget, project scope, valuation, leverage limits and underwriting. Rehab funds are generally released through a draw process rather than provided entirely at closing.
What does up to 90% loan-to-cost mean?
Loan-to-cost compares the loan amount with the combined eligible purchase and renovation costs. Financing up to 90% LTC may be available for qualified transactions, but the final loan may also be limited by property value, after-repair value and other underwriting requirements.
How quickly can a Fix and Flip loan close?
Some qualified transactions may close in three to four days when the property, valuation, title, insurance and borrower documentation are ready. The actual closing timeline depends on the complete transaction and final loan conditions.
Are Fix and Flip loans non-recourse?
Non-recourse options may be available for qualifying borrowers, entities and transactions. Non-recourse financing may still include customary carve-outs for fraud, misrepresentation, misuse of funds and other specified events.
Are Fix and Flip loans the same as hard money loans?
The terms are often used together, but hard money is a broader category of short-term, asset-based real estate financing. A Fix and Flip loan is usually structured specifically for purchasing, renovating and exiting an investment property.
What property types may qualify?
Potentially eligible properties may include single-family homes, two-to-four-unit properties, condominiums, townhomes and select multifamily or specialized properties. Eligibility depends on the program, property condition, location, project scope and proposed exit.
What happens if the renovation takes longer than expected?
Investors should contact the lender before the loan reaches maturity. Extension options may be available, but they can involve additional fees, updated documentation, project review and approval. Extensions are not automatic.
Can I refinance the completed property into a DSCR loan?
An eligible completed property may be refinanced into a DSCR or another long-term investor loan when the property, lease or market rent, value, seasoning and program requirements are met. The refinance should be planned before the Fix and Flip loan matures.
Learn About DSCR LoansCan I get a Fix and Flip loan with no money down?
Most transactions require a borrower contribution, closing costs, reserves or other available funds. The required contribution depends on the purchase price, project costs, property value, experience, leverage and specific loan program.
