Fix & Flip Financing: What You Need Before You Submit a Deal

Fix and flip loans are faster than conventional financing. Some lenders can close in 7–10 days.

But faster doesn't mean loose. Lenders are still evaluating your deal carefully — they're just doing it quickly. Which means if you show up unprepared, you'll slow everything down or get declined outright.

Here's what experienced investors have ready before they ever contact a lender.

1. The property address and purchase price

Obvious — but also the starting point for everything else. The lender needs to know what you're buying and what you're paying.

2. Your ARV — After Repair Value

This is the most important number in a fix-and-flip deal. ARV is what the property will be worth after the rehab is complete. Lenders underwrite to ARV, not purchase price.

Most hard money and bridge lenders will lend 65–75% of ARV. So if your ARV is $300,000, you're looking at a loan of $195,000–$225,000.

Your ARV needs to be supported by comparable sales — properties of similar size, condition, and location that sold recently. 'I think it'll be worth that' doesn't work. Comps do.

3. Your rehab budget — itemized

Not a round number. Not 'roughly $40K.' A line-item breakdown of what you're doing and what it costs.

Roof: $8,500. Kitchen: $12,000. Flooring: $6,200. And so on.

Lenders use this to verify that your ARV is realistic and that you've actually thought through the project. A vague budget is a red flag. A detailed budget builds confidence.

4. Your experience

Have you done this before? How many flips? What were the outcomes?

First-time investors aren't automatically disqualified — but lenders will look harder at your deal and may require more equity in the transaction. The more experience you have, the more flexibility you get on terms.

5. Your credit score

Fix-and-flip lenders vary widely on credit requirements. Some hard money lenders will go down to 600. Most prefer 640+. Better credit means better rates.

Know your number before you start. A surprise on your credit report mid-process can kill a deal under contract.

6. Your liquidity

How much cash do you have after the down payment and close costs? Lenders want to see reserves — typically 3–6 months of loan payments sitting in your account.

This is the one most investors underestimate. They calculate the down payment, budget the rehab, and forget to account for carrying costs, surprises, and the reserves the lender requires.

7. Your exit strategy

Are you selling after the rehab? Refinancing into a long-term rental loan? Lenders want to know — and they want it to be realistic.

If you're selling, what's your target list price and how does that compare to your ARV? If you're refinancing, does the property cash flow enough to qualify for a DSCR loan at that value?

Pull it together before you call

The investors who close the fastest aren't the ones who call a lender first. They're the ones who have their deal packaged before they pick up the phone.

If you want a second set of eyes on a deal before you submit it — or you want to know which lenders are the right fit for your specific project — that's exactly what I do.