Fix and flip loans provide investors and developers with funds to cover the costs associated with flipping property, including acquisition, renovation, and holding costs. Given the challenges of obtaining a traditional bank loan or line of credit, working with the right fix-and-flip lender is essential. That’s where Malve Capital LLC steps in.
As a leading real estate financier serving individuals and businesses nationwide, we offer a variety of lending programs with little documentation required, quick approvals, an easy process, and fast closings. When you partner with us, you will be able to fix and flip properties with confidence.
Understanding Fix and Flip Loans
Flipping a property – purchasing, improving it through refurbishments, and selling it for a profit – is challenging. Fix-and-flip loans are specific financial products designed to support this business model. Let’s explore the different aspects of fix-and-flip loans and why Malve Capital is the preferred fix-and-flip lender for your funding needs.
Funding Options for Flips
Securing the necessary financing for property flipping can be tricky. Traditional financial institutions often view such ventures as high risk due to the inherent uncertainty of the property market and renovation processes. As such, the range of loan products suitable for property flipping is somewhat limited.
At Malve Capital, we understand these challenges and have tailored our lending products to suit the needs of property flippers. We provide acquisition loans designed to cover the initial purchase of the property; our construction loans are an ideal solution to fund the refurbishment and development phase:
Acquisition Loans
Designed to aid in the purchasing of an investment property, acquisition loans provide the capital required to secure the property and lay the groundwork for the flipping process. At Malve Capital, our acquisition loans are not just about the purchasing process. We offer terms with the property flipper in mind.
Our application process is fast and streamlined, ensuring you can move quickly when a property catches your eye. We understand timing is crucial, and missed opportunities can mean lost profits. Our team is committed to delivering efficient loan approval and disbursement services.
We also offer competitive rates and flexible repayment plans on our acquisition loans to ensure the financial burden of purchasing the property doesn’t limit your ability to make necessary renovations.
Construction Loans
Construction loans are another integral part of the fix-and-flip journey. These loans fund the renovation and improvement phase of your flip project. In essence, this type of loan converts your property acquisition into a sellable, profit-generating investment.
Malve Capital construction loans fund everything from small-scale refurbishments to major structural overhauls up to $2 million. We understand that each flip is unique and tailor our loans to suit your specific project requirements. Whether you need to update the kitchen, revamp the landscaping, or overhaul the entire property, our construction loans are designed to cover the costs.
Our construction loan approval process is not just fast but also transparent. We provide clear terms and conditions, so you know exactly what the loan entails. Also, we understand that the construction phase can be unpredictable and offer flexible loan terms to accommodate unexpected renovation costs.
The combination of our acquisition loans and construction loans gives property flippers a comprehensive financial package, supporting every stage of the fix-and-flip journey. In short, these products can help you secure the funds you need to invest in a flip without significant financial stress.
Types of Properties We Fund
At Malve Capital, we fund a wide range of properties. Our versatile portfolio includes:
- Residential property – single-family homes, townhouses, and condos are all eligible for our fix-and-flip loans. These properties tend to be popular among new flippers due to their relative affordability and the demand in the housing market.
- Multifamily property – duplexes, triplexes, and apartment buildings can yield significant returns due to their ability to house multiple tenants.
- Commercial property – office buildings, retail spaces, and warehouses can also be financed through our loans. These larger projects often carry higher risks but also higher potential profits.
Fix and Flip Loan Terms
| Property Types | Residential, Multifamily, and Commercial |
| Loan Purpose | Acquisition, Refinance |
| Term | 3 to 24 months |
| Acquisition Loan | Up to 85% |
| Construction Loan | Up to 100% |
| Starting Rate | 9% |
| Prepayment Penalty | No |
| Minimum FICO | None |
Pros and Cons of Fix and Flip Loans
Like any financial product, fix-and-flip loans come with advantages and disadvantages.
Pros
Fix-and-flip loans provide immediate access to capital, enabling property investors to seize profitable opportunities as they arise. Unlike traditional mortgages, these loans have short repayment terms, which align well with the quick turnaround time of property flips.
Cons
On the flip side, fix-and-flip loans often carry higher interest rates than traditional mortgages due to the increased risk for lenders. Also, because flipping properties require a certain level of experience and skill, inexperienced flippers can find themselves facing financial difficulties if the renovation costs overrun or the property fails to sell.
Why Use Malve Capital As Your Fix-and-Flip Lender?
At Malve Capital, we have an in-depth understanding of the property market and the unique needs of property flippers. Our lending products provide the funding you need to turn your investment into a profitable flip.
We provide swift loan approval and disbursement, allowing you to capitalize on opportunities promptly. We also offer competitive rates and terms, ensuring your project stays profitable. With our dedicated customer service, we are ready to assist you from application to funding to final sale.
Flipping properties can be a lucrative venture. With Malve Capital as your financial partner, you can secure the funding you need to transform a fixer-upper into a profitable sale. Contact us today to discuss your project and explore our tailored financing solutions.