Fix-and-Flip Loans: How Real Estate Investors Close in 10 Days Without a Bank

If you’re a real estate investor doing fix-and-flip deals, you already know the feeling: you find a distressed property at the right price, run your ARV numbers, and the math works. Then you call a bank and everything falls apart. The committee meets in 45 days. They want three years of W-2 income. They don’t lend on distressed properties. By the time they finish, your contract has expired and another investor bought the deal.

This is not a bug in the system. It’s how traditional banks are designed. They weren’t built for the speed or the asset type that fix-and-flip investing requires. But private lenders were.

What Is a Fix-and-Flip Loan?

A fix-and-flip loan – also called a hard money loan or rehab loan – is short-term financing designed specifically for real estate investors buying distressed properties, renovating them, and reselling for profit. The key differences from a conventional mortgage:

• Speed: Closings in 10-15 business days, not 45-60.
• Asset-based: The deal is qualified on the property’s after-repair value (ARV) and your renovation plan, not your W-2 or tax returns.
• Rehab draws: The lender releases renovation funds in draws as work is completed, protecting both sides.
• Short term: Typically 6-18 months. You exit at sale or refinance into a long-term product.

How the Math Works on a Fix-and-Flip Loan

Let’s walk through a real scenario (fictional borrower, results not typical):

An investor in Tampa finds a 3BR/2BA at $265,000. ARV after renovation: $420,000. Renovation budget: $60,000. All-in cost: $325,000.

With a private fix-and-flip loan covering 90% of purchase and 100% of renovation draws, the investor brings roughly $32,000 to close. The carry cost on a 5-month hold at market rates is approximately $16,000-$22,000. Net profit at sale: $70,000-plus, after all costs.

Compare that to losing a $5,000 earnest money deposit because the bank committee took 6 weeks. Or missing the next deal while waiting. The private loan that looks “expensive” at first glance is often the lowest total cost when you count the full picture.

Who Qualifies for a Fix-and-Flip Loan?

Requirements vary by lender, but most private fix-and-flip programs look for:

• A clear plan: purchase price, renovation budget, and estimated ARV.
• Skin in the game: most lenders want 10-15% of the deal from you.
• Some real estate or renovation experience (first-time flippers can qualify with the right deal and plan).
• The property must be non-owner-occupied.

What most private lenders do NOT require: perfect credit scores, W-2 income, or years of tax returns. The deal qualifies the deal. Funding is subject to lender approval.

Ready to see if your deal qualifies? Apply at Slate Financial in under 3 minutes – no hard pull on credit to get started.

Fix-and-Flip vs. Ground-Up Construction: Which Do You Need?

If the structure is already standing and you’re renovating, that’s a fix-and-flip loan. If you’re building from raw land or doing a complete tear-down rebuild, that’s a ground-up construction loan. Both are available through Slate Financial. Ground-up programs are currently active in Florida, Texas, Georgia, and South Carolina, with draw schedules released on construction completion milestones.

The BRRRR Strategy and Fix-and-Flip Loans

Many investors use the BRRRR method (Buy, Rehab, Rent, Refinance, Repeat) alongside fix-and-flip financing. The short-term loan funds the purchase and renovation. Once the property is stabilized and rented, a DSCR refinance replaces the bridge loan with long-term debt – and the investor pulls out equity to fund the next deal. If you’re building a rental portfolio this way, the sequence matters: flip loan -> stabilize -> DSCR refi -> repeat.

How to Apply for a Fix-and-Flip Loan Through Slate Financial

The process is straightforward:

1. Submit your deal details online (takes about 3 minutes).
2. A Slate funding specialist reviews your deal and matches you to the right lender from our network.
3. You receive term sheets, typically within 24-48 hours.
4. Underwriting and title work run in parallel. Close in 10-15 business days.

There is no hard credit pull to see your options. Funding is subject to lender approval.

Start your fix-and-flip application here. If you have a deal under contract and a timeline, we want to hear from you.

Bottom Line

If your bank has told you no – or taken so long that no becomes irrelevant – you are not out of options. Fix-and-flip lenders exist specifically for deals banks won’t touch. The right private loan closes your deal, funds your renovation, and keeps you in the game.

Don’t let the bank’s timeline become your exit strategy.

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