New Funding Resources 
Fix-and-Flip Loans That Make You Money in Maryland, Virginia & Washington, DC
Fix & Flip loans help real estate investors buy & renovate dilapidated homes.
Fix-and-flip loans are a type of hard money financing. They are issued by private lenders who specialize in working with real estate investors. Just as their name suggests, they are designed to help those investors to buy, “fix,” and then resell (aka to “flip”) an investment property.
Fix-and-flip loans are specifically designed to help real estate investors earn a profit by renovating homes. As such, their underwriting is less focused on the borrower’s income or credit profile. The profit inherent in the transaction is the key. The more profitable the transaction, the more leverage they can offer.
We take a common-sense approach to determine how much profit a particular transaction can generate: we estimate the resale value of the property (commonly referred to as the after-repair value) and subtract your original purchase price, your renovation budget, and all other costs associated with buying, owning, and selling the property. We then evaluate whether a particular borrower has sufficient funds of their own to contribute to the transaction and the necessary qualifications to execute the renovation and selling strategies. We work with both experienced investors and those who are just starting out.
We work hand-in-hand with our borrowers to maximize their profits and reduce their risk.
Our fix-and-flip loans in Maryland, Washington, DC, and Virginia are designed with local real estate markets in mind. We’ve been lending in the DMV area for almost 20 years now. New constructions, condo conversions, quick in-and-out remodeling: we’ve done and financed them all. We can help you develop the optimal scope of work and help ensure you are realistic about the costs, timeframes, and exit strategies. We openly share our expertise and provide you with the right tools to accurately estimate the potential of your flip. Our hard money loan calculator can help you determine how much profit your transaction would generate, how much our fix-and-flip loan would be, and how much of your funds you might need to contribute to the transaction.
Another unique tool we offer is the maximum purchase price calculator. This calculator helps our borrower determine the maximum they are willing to pay for a particular property based on their unique and very personal profit expectations.
Our private Fix & Flip loans offer indisputable advantages over other types of rehab financing such as 203K loans.
Even financing types specifically designed for home renovations can’t compare to what we offer. The Federal Housing Administration’s (FHA) 203 (k) financing may be a suitable option for buyers seeking to purchase and renovate a primary residence. However, it fails miserably when it comes to accommodating the needs of real estate investors. These needs are underwriting flexibility, speed, and cost control—our fix-and-flip loans are created to meet all of them.
Simple & Streamlined Underwriting
We make it easy to qualify for loans. Unlike with FHA 203K or Fannie Mae renovation loans, there is no income verification. We are not driven by credit scores, so you can be eligible for financing with us even if there are dings on your credit.
Speed
Any reasonable seller would prefer a slightly lower offer from a cash buyer over a higher offer from someone relying on a complex loan such as a 203K. These sellers prefer to sell their property fast and with the least hassle. Our fix-and-flip loans are equivalent to a cash offer, providing our borrowers with a clear advantage over the competition. With us, you can close as soon as you have a clear title and the appropriate insurance—which is often within a week after your contract’s ratification.
Cost Control
Unlike 203K or Fannie Mae lenders, we are not here to mandate a process you must follow as you renovate your investment property in Greater Washington, DC. With us, you don’t have to use a licensed contractor to manage your rehab. Unlike with FHA or Fannie Mae, your contractor doesn’t have to be on any lender-approved list. You can use your own crew or do some improvements yourself. You can choose which permits to get and which to skip. In other words, we treat you as a fully-fledged business owner responsible for managing his or her risk and expenses to maximize the profits.
With FHA’s 203K loans, you are subject to restrictions that force you to pay a top dollar for labor and materials. In addition, the FHA mandates:
- The use of a licensed contractor to manage the renovation process
- Periodic inspections by an FHA-approved inspector to ensure work is up to the most recent and stringent code
- Maintaining meticulous records and receipts for your expenses
- Additionally, you will need to find a crew that is accustomed to the FHA’s rigid payment and reimbursement schedule.
Our Fix & Flip loans in Maryland, Virginia, and the District of Columbia offer creative financing to discerning local investors.
We truly live in the gig economy. If you are willing to think outside the box and hustle, there are many creative ways to make money. Fixing and flipping real estate is one of them. We are lucky to be investing in one of the most stable real estate markets in the region. The DC area is both affluent and insulated from economic ups and downs by its reliance on federal government employment. It offers plentiful opportunities for real estate investors with different budgets and experience levels.
New Funding Resources is the highest-rated private lender in the DMV area. For those looking to start earning money by flipping homes, we offer competitive pricing, streamlined underwriting, and thoughtful servicing. Let’s join forces to build a brighter future for our families and local communities.
Ready to apply for a fix-and-flip loan in Maryland, DC or Virginia? Call us today at 240-436-2340.
