Fix-and-flip financing built around the deal, not the pay stub
Reviewed by Loan Daddy LLC editorial team · Updated October 21, 2026
Quick answer
Fix-and-flip financing is short-term, business-purpose capital for buying and renovating non-owner-occupied property you plan to sell or refinance. Hard Money Loan App arranges and shops that financing from wholesale lenders, with the exit underwritten from day one.
A flip lives or dies on three numbers: what you pay, what the renovation truly costs, and what a finished home in that neighborhood can sell for. Short-term investor financing exists because those three numbers, plus a credible crew and timeline, can make a deal work on a property that would never survive a slow, owner-occupied loan process.
We are a mortgage broker, not a lender. That means our job is to take your deal — address, purchase price, rehab budget, timeline and exit — and arrange and shop it with wholesale lenders whose programs fit flips. You bring the deal discipline; we bring the lender match and the paperwork order.
What makes a flip financeable?
Wholesale lenders start with the property and the plan. They read the purchase price against the neighborhood, the scope of work against the budget, and the finished value against comparable sales. A tight, honest budget with a contractor who can actually start reads better than a padded wish list with a handshake start date.
Experience matters, but it is not the whole file. First-time flippers strengthen a scenario with a realistic scope, a contingency line, reserves for the payments and a second exit. Repeat investors strengthen it with a track record written down: addresses, timelines and outcomes, ready to share instead of summarized from memory.
How do purchase funds and renovation draws differ?
The purchase portion arrives at closing. The renovation portion usually does not; it is typically released in draws as work is completed and verified. That rhythm protects everyone, but it means your cash plan must carry the first phase of work and the monthly payments while inspections and draw requests move.
Budget for that float honestly. Materials ordered early, contractor deposits and carrying costs stack up before the first draw lands. Investors who model the draw schedule into their cash plan finish calmer than investors who assume renovation money behaves like a checking account.
Why should you test the exit first?
Every flip file should answer one question before closing: how does this loan end? A sale is the classic answer, and it needs a finished value grounded in comparable sales, not in the best flip story on the street. A refinance into a DSCR loan is the other answer, and it needs rent that covers the new long-term payment.
We push for both answers early because short-term financing punishes drift. If the sale market cools, can the property rent and refinance? If rents read soft, is the margin still there at a lower sale price? A deal that only works in the perfect version of the future is not a deal yet.
How do we review a flip scenario?
Send the address, purchase price, your rehab budget by category, the timeline, your entity and your planned exit. We arrange and shop the scenario with wholesale lenders that fit the property type and scope, then lay out what each path asks for in documents, reserves and draw handling.
Fix-and-flip financing here is business-purpose only, for non-owner-occupied investment property. If the plan is to move in, stop here — we do not arrange owner-occupied financing, and the application will tell you the same thing.
What does this program ask of the deal?
- Purchase and renovation budgets reviewed as one deal
- Rehab funds typically released in verified draws
- Sale or DSCR refinance exit planned before closing
- Contractor scope and contingency read closely
- Business-purpose, non-owner-occupied property only
What do investors ask about this program?
Do I need experience to get fix-and-flip financing?
Experience helps but the whole file matters: purchase price discipline, a realistic rehab budget, reserves, contractor readiness and a clear exit. We help you present the strongest honest version of the deal to wholesale lenders.
How are rehab draws handled?
Renovation money is commonly released in stages after work is completed and verified. Plan cash for the first phase of work, deposits and carrying costs so the draw rhythm never stalls the job.
Can I refinance a flip instead of selling it?
Yes, that is the fix-and-hold or BRRRR path. The property needs to lease and the rent needs to cover the long-term payment. Test it early with a rental coverage worksheet.
Which resources can help you plan the next step?
Ready to share your next project?
Address, numbers, timeline, exit. We arrange and shop financing from wholesale lenders and tell you plainly how the deal reads.