Every fix and flip deal starts the same way: a property, a vision, and a timeline. What separates successful closings from stalled deals is preparation. We’ve helped hundreds of flippers move from “Can I qualify?” to funded in weeks—not months. The difference? Knowing exactly what lenders need to see before you submit.
If you’re a broker working with fix and flip investors, or an investor evaluating your financing options, this guide walks you through what LendSure Mortgage Corp looks for and how to get pre-qualified without unnecessary delays. Time is money in this business. Let’s make sure your deal moves fast.
The Fix and Flip Market Opportunity
Real estate flipping is a legitimate investment strategy attracting serious operators and repeat deal flow. Successful flippers close multiple deals yearly and refer other investors in their network, making this a recurring revenue opportunity for brokers who can serve them.
The challenge? Traditional lenders struggle because the deal structure doesn’t fit conventional boxes. Purchase price, construction costs, timeline, and exit strategy aren’t standard mortgage factors. That’s where specialized lending comes in.
Why Fix and Flip Deals Are Different
Fix and flip financing follows a different logic than traditional mortgages. Conventional lenders prioritize borrower income and a property’s current value. Fix and flip lenders focus instead on the after-repair value (ARV) and the investor’s ability to execute the project successfully.
This change in underwriting reframes the entire approval process. Rather than asking whether the borrower can afford monthly payments, lenders evaluate whether the deal makes financial sense and whether the investor can carry it out. Understanding this distinction helps brokers position deals correctly and allows investors to prepare applications with the information lenders actually care about.
How Our Fix and Flip Program Works
Our Fix and Flip Financing program is built for investors at any experience level. Whether your client is closing their first flip or their fiftieth, we evaluate the deal on its merits and the investor’s capability.
Loan-to-Value (LTV) Structure
We finance up to 90% of the purchase price for experienced investors and adjust based on experience level for newer flippers. For construction costs, we provide up to 100% financing (experience-dependent). This approach rewards experienced operators while giving new investors a clear path to prove themselves.
Speed
Term sheets typically arrive within 24-36 hours. In a market where deals move quickly, this speed matters. We’ve built our process to eliminate unnecessary delays while maintaining thorough underwriting.
Flexible Terms
All fix and flip loans are 12-month interest-only, with clear exit expectations. Interest-only payments keep cash flow lean during the renovation phase, which is critical since investors typically aren’t renting properties during construction.
Property Types
Single-family residences and multifamily up to 4 units qualify. We focus on properties where renovation creates clear value and reasonable resale timelines.
Pre-Qualification Checklist: What We Need to See
Before you submit a fix and flip deal, gather these items. Having everything prepared upfront accelerates pre-qualification and demonstrates you’re serious about closing fast.
Property Information
Address, purchase price, estimated after-repair value (ARV), and estimated construction costs. If you have a property inspection, contractor estimate, or preliminary construction plan, include those. These documents help us evaluate whether the deal’s math makes sense and construction timeline is realistic.
Investor Information
Basic borrower details, business structure (LLC, S-Corp, individual), and years in real estate investing. If this is an investor’s first flip, we’ll want to know their background—construction experience, previous investment activity, or other relevant expertise that demonstrates execution capability.
Financial Documentation
Bank statements (typically 2 months recent), proof of reserves, and documentation showing the investor has down payment funds available. We need to know your client can close and support the project through completion. Cash reserves demonstrate this clearly.
Experience Documentation
If your client has completed previous flips, provide documentation of prior sales, timelines, and outcomes. Before-and-after photos, previous purchase and sale statements, or brief descriptions of completed projects help us assess execution history.
Proof of Funds
Bank statements showing sufficient liquid assets to close and support construction. These funds must be seasoned (typically 60+ days in the account) to demonstrate they’re genuinely available.
Construction Plan or Estimate
A detailed contractor estimate or scope of work showing what’s being done and estimated costs. Even a preliminary estimate helps us evaluate whether renovation timeline and budget are realistic.
Exit Strategy
How does the investor plan to exit—sale to owner-occupant, investor sale, or hold for rental? A clear exit strategy demonstrates the investor has thought through the deal from beginning to end.
Experience Levels: What We Look For
We work with flippers at all experience levels. Experienced investors typically qualify for maximum LTV (90% purchase, 100% construction) with faster timelines. Intermediate investors with 2-4 completed flips qualify for strong terms (80-85% purchase, 90-95% construction).
First-time flippers can qualify with adjusted LTVs (70-80% purchase, 80-85% construction) if they demonstrate solid financial position and realistic deal fundamentals.
Common Deal-Killer Mistakes
Certain patterns emerge repeatedly in fix and flip deals—and they’re preventable with advance planning.
Unrealistic ARV Projections.
According to FHFA research on appraisal accuracy, appraised values deviate most in areas with limited comps and diverse home types—exactly where flips happen. Conservative ARV estimates supported by realistic comps and credible scope of work close faster. Fix: Research recent post-renovation sales and use conservative comparables.
Underestimated Construction Costs.
Build in contingency (10-15%) with detailed contractor estimates. Running out of cash mid-project kills deals.
Insufficient Liquidity.
Investors need reserves beyond purchase and construction costs. Ensure your client has liquid reserves for at least 6 months of holding costs (mortgage, insurance, taxes, utilities).
Weak Experience Documentation.
First-time flippers should document any relevant experience—construction background, property management, or contractor partnerships.
Vague Exit Strategy.
Saying “I’ll sell it” isn’t a strategy. Have your client clearly articulate the exit—”Sell to owner-occupant in 6 months” is specific and evaluable.
Getting Your Deal Pre-Qualified Fast
Ready to get a fix and flip deal moving? Pre-qualification is straightforward, and you don’t need formal approval to start.
Simply submit your scenario with the checklist items above. Include property details, investor background, financial documentation, and any construction estimates or project plans you have. Our team will review and provide feedback within 24 hours.
When you submit, you’re starting a conversation, not a formal application. We’ll identify any gaps, clarify deal structure, and help you move toward a term sheet. If documentation is incomplete, we’ll tell you exactly what’s missing rather than leave you guessing.
Why Speed Matters in Fix and Flip Financing
Fix and flip deals operate on tight timelines. A property sits on the market, gets shopped by investors, and closes weeks later. By the time an investor decides to move forward, they’re already behind schedule psychologically. Fast pre-qualification lets your client move with confidence.
Beyond speed, fix and flip lenders need to understand investor mentality. These aren’t buy-and-hold borrowers looking for 30-year mortgages. They’re operators looking to redeploy capital efficiently. Lenders who get this distinction can move faster and make better decisions because they’re evaluating the right metrics.
Why Fix and Flip Lending Matters to Your Business
Adding fix and flip capability to your product suite opens a recurring revenue stream. Successful flippers close multiple deals yearly. A broker who can confidently pre-qualify and place flips becomes the natural partner for that investor’s entire portfolio.
Fix and flip clients also demonstrate sophistication and deal-making capability. When you’re closing these deals, you’re no longer competing on conventional lending terms. You’re competing on expertise, speed, and relationships—advantages that don’t commoditize.
Finally, fix and flip deals showcase your value as a problem-solver. Investors remember the broker who moved fast, understood their deal, and got them funded when others said no.
Ready to Close Your Next Flip?
Fix and flip deals are opportunities. The investors executing them are serious, experienced, and looking for partners who understand their business. If you can confidently pre-qualify and place these deals, you differentiate yourself from conventional lenders.
Ready to get started? Submit your fix and flip scenario to our team, or contact us to discuss how our Fix and Flip Financing can support your business growth.
The flippers are ready. Make sure you’re ready to fund them.
Frequently Asked Questions
What if my investor client is new to fix and flip?
Not everyone is a seasoned pro, and that’s okay. We work with both experienced and first-time investors. We’ll evaluate the deal’s fundamentals, help you position it effectively, and support you through the process. The goal? Get it closed and establish the foundation for future deals.
My client doesn’t have traditional income documentation. Is that a problem?
No W-2s? No problem. Fix and flip financing is designed for investors who may not fit traditional employment boxes but know how to execute projects. We evaluate the deal structure and investor capability, not employment history.
How fast can we actually close?
Term sheets typically arrive within 24-36 hours of complete submission. Full funding timelines depend on appraisal and underwriting completion, but our process is built to move. Once approved, closings happen on schedule.
Can we finance properties that need significant work?
Absolutely. That’s the whole point. We finance properties needing substantial renovation. What matters is that the after-repair value and renovation budget are realistic and the investor has a clear execution plan.
What if construction takes longer than planned?
Our 12-month terms accommodate reasonable delays. If renovation extends beyond the loan term, we discuss extension options with the investor. The key is communication—we want to know about delays early, not at closing.
Do you finance commercial properties or larger multifamily?
Our fix and flip program focuses on single-family and multifamily up to 4 units. Larger commercial projects operate differently and may require different financing structures. Contact us to discuss your specific situation.
Can an LLC qualify, or does it need to be an individual?
Either structure works. Many investors use LLCs for liability protection, and we accommodate that. We evaluate the investor behind the entity, not just the business structure.
What happens if the property doesn’t sell at the projected ARV?
That’s why we evaluate exit strategy upfront. If an investor is realistic about ARV and has a clear buyer profile, this becomes manageable. Our role is making sure the deal math is sound before we fund, not managing the exit.
