Below are some sample Q&A we typically get when speaking about our Fix and Flip product.
What type of properties are eligible: 1-4 units, warrantable, non-warrantable condos and townhouses.
How much of the renovation budget is the borrower required to have sourced in 2 months of assets? That will depend on what they qualify for. Which is determined by the Term Sheet that is issued on that borrower. Please submit our questionnaire to receive a full term sheet quote.
Do large deposits require sourcing – Yes, all depends on the trend of activity for that borrower. The outlier amounts would require sourcing.
Does this loan report on credit – No we will not report this debt on credit since the loan is intended as a 1 year term – Interest Only.
Foreign National Borrowers required to transfer their funds into a US account? Yes they will need to have an approved banking institution account set up for the ACH of their monthly payment (if applicable). Funds for the rehab fees, closing costs can be proven through their home country’s bank statements (translated).
If someone completed a personal 203-K project and now wants to Fix & Flip or wants to Fix & hold – would they be eligible? We would consider this depending on how recent this project is. To help consider this we would need to see the completed project report + rehab budget details to make that determination. If considered, that Borrower would need to meet the Beginner Rehab Bwr qualifications.
What are the rates on this program? The rate is broken up in to 4 tiers determined based on where geographically the subject property is located. To receive a specific rate quote please complete our term sheet request form on our home page.
Can the borrower be approved and then find the property? The qualifications to get approved for the terms are determined on the subject property details. As for the Borrower’s qualifications – please refer to the minimum FICO scores, documentation specifications to determine if they will qualify.
Will credit pulls be hard or soft pull? A hard pull/ inquiry of credit will be required.
Can the loan be refinanced to a long therm hold investment. Yes! But please call to discuss.