Fix and Flip Loans for Real Estate Investors

A fix and flip loan is short-term financing that covers both the purchase of a distressed property and the cost of renovating it, so you can sell for a profit. These loans are underwritten on the deal’s numbers — purchase price, rehab budget, and after-repair value — not on your personal income, and they’re built to close fast because in flipping, speed is everything.

Up to 90% of the purchase price plus 100% of the rehab. Credit scores in the 500s can work on the right deal.

Who Fix and Flip Loans Are For

Active flippers buying distressed single-family homes to renovate and resell
New investors doing their first or second flip who need a lender that will walk them through the process
Wholesalers-turned-flippers who found a deal too good to assign and want to take it down themselves
Contractors and tradespeople who can do the work themselves and want financing that recognizes sweat equity in the numbers
Investors pivoting from rentals who want short-term capital for a flip project
Investors buying in an LLC — most flippers hold title in an entity, and Sewell Business Services (our sister company) can handle the formation

First flip? This is the place to be. We fund beginners easily and well — a lot of our repeat borrowers did their very first deal with us. You don’t need experience to get started here; you need a property with real potential and a plan that makes sense. We’ll walk you through the process step by step, tell you honestly whether the numbers work before you’re committed, and stay a phone call away when questions come up mid-project. Everybody’s first flip feels big. We’ll make sure it doesn’t feel like you’re doing it alone.

If you’ve got a property under contract (or about to be) and a realistic rehab plan, you’re who this loan is for.

How Fix and Flip Loans Work

You find the deal. A distressed property with a clear path to a higher after-repair value (ARV).
We underwrite the deal. We look at purchase price, your rehab budget, comparable renovated sales, and your experience level — not your W-2.
Fast closing. Flip loans are built for speed. Timelines are far shorter than conventional mortgages because there’s no personal-income underwriting.
Rehab draws. Renovation funds are typically released in draws as work is completed and inspected, keeping the project funded and on track.
You sell (or refinance) and repay. Most flip loans run 6 to 18 months with interest-only payments, so your monthly cost stays low while you work.

Key terms to understand: Lenders talk about loan-to-cost (LTC, the loan vs. your total project cost) and loan-to-ARV (the loan vs. the finished value). Stronger deals — lower LTC, realistic ARV — get better pricing. Contact us for current terms and structure options.

Why Investors Choose Fix and Flip Loans

Purchase + rehab in one loan. You don’t have to fund the renovation out of pocket or juggle a second loan.
Speed. When a good deal hits the market, it doesn’t wait. Neither should your lender.
Interest-only payments keep holding costs manageable during the renovation.
No prepayment penalty structures are common — you sell when the flip is done, not when a loan term says so.
Repeat-borrower relationships. Flippers who perform get faster approvals and better terms on the next deal. We want to fund your fifth flip, not just your first.

Fix and Flip Loans: What to Know

We’re based in Fort Worth, Texas, and we fund flips in most states. Licensed in Texas, Florida, California, and Arizona; investment-property loans available in most states. Texas is a flip-friendly state, and here’s what matters here — much of it applies wherever you invest:

DFW, Houston, Austin, and San Antonio all have deep buyer demand for renovated homes, which supports ARVs — but each market has its own price ceilings by neighborhood. We underwrite ARVs conservatively so you don’t get caught.
Property taxes are a real holding cost here. Budget them into your flip math alongside insurance and interest.
Title and closing move quickly in Texas, which pairs well with fast flip financing.
Competition for distressed inventory is real in the major metros. Having a lender lined up before you make offers — a pre-approval from us — makes your offers stronger.

Frequently Asked Questions

How fast can a fix and flip loan close? Much faster than a conventional mortgage — there’s no personal income verification slowing things down. Exact timelines depend on appraisal, title, and your readiness, but speed is the whole point of this product. Ask us for a realistic timeline on your deal.

How much do I need to put down? Down payments vary with the deal strength and your experience. Stronger deals (lower loan-to-cost, realistic ARV) and experienced flippers typically put down less. We’ll quote your specific deal honestly.

Can a first-time flipper get funded? Yes — many of our borrowers are on flip one or two. Expect more scrutiny on the rehab budget and ARV, and possibly a higher down payment, but inexperience alone doesn’t disqualify you. A realistic contractor bid goes a long way.

Do you fund 100% of purchase and rehab? Full financing is possible on exceptional deals for proven borrowers, but most flip loans require the borrower to have skin in the game. We’ll tell you straight what your deal supports.

What happens if the flip takes longer than the loan term? Extensions are often available. The key is communication — tell your lender early if the timeline slips. We’d rather extend a performing borrower than be surprised.

Can I use a fix and flip loan for a property I want to keep as a rental? The common play is to flip, then refinance into a DSCR loan (the BRRRR method). We do both, so we can plan your exit financing from day one.

Do you lend on condos, townhomes, or multifamily flips? It depends on the deal and the market. Single-family is the bread and butter, but small multifamily flips are common in the Texas metros we know best — and we fund them in most states. Bring us the numbers.

Fund Your Next Flip With Lawton Building and Loan

Got a deal under contract — or one you’re about to make an offer on? Don’t lose it waiting on a slow lender. We’ll underwrite it fast, tell you straight whether the numbers work, and fund the purchase and rehab together.

Call 817.862.6922 or email joel@lawtonbuildingandloan.com today.

Joel Lawton, NMLS #380245 — Lawton Building and Loan.

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