# What Is a Fix-and-Flip Loan? | Key Real Estate Capital *A fix-and-flip loan funds the purchase and renovation of an investment property. See how renovation draws and after-repair value work, plus KREC fix and flip loan terms.* ## What is a fix-and-flip loan? A fix-and-flip loan is short-term financing used to purchase (or refinance) and renovate an investment property before reselling it. KREC funds up to 95% of the purchase price with rehab funds released in draws, on terms of 6 to 24 months, with rates starting at 7.75% and loan amounts from $75K to $10M. Answered by the Key Real Estate Capital lending team · Updated August 2026 ### How it works Two numbers drive the structure: the total cost of the project (purchase plus renovation) and the after-repair value (ARV) — what the property should be worth once the work is complete. KREC lends up to 100% of purchase plus 100% of rehab on a loan-to-cost basis, capped at 75% of after-repair value. Renovation money is not handed over at closing. It is released as draws as work is completed, which protects both the lender and the project budget. KREC funds fix and flip loans with no up-front fees, no appraisal, and no income verification, and no prior experience is required. ### Key considerations - A detailed, line-item renovation budget is required — it sets the draw schedule and the loan amount. - Terms run 6, 9, 12, 18, or 24 months, so the renovation and resale must fit the term. - Minimum FICO is 600, with lower considered on exception. - Eligible property types include single-family, condo, and multifamily. - The exit strategy — resale or refinance — needs to be defined before closing. ### Who it may be for Investors buying a property that needs work, where a conventional lender will not finance the renovation. Operators running multiple projects who need speed and predictable draw funding. First-time flippers — no prior experience is required on this program. ### Related KREC financing options #### Fix & Flip Loans Rates from 7.75%, $75K to $10M, up to 95% of purchase price, rehab funded through draws, 6 to 24-month terms. #### Bridge Loans For acquisitions where timing, not renovation, is the constraint. ### Frequently asked questions Common follow-up questions about fix and flip loans. #### How does renovation financing work? #### What is after-repair value (ARV)? #### How much of the purchase price can be financed? #### Do I need experience to get a fix-and-flip loan? #### Related questions - [How do investors finance fix-and-flip projects?](https://keyrealestatecapital.com/answers#how-do-investors-finance-fix-and-flip) - [Fix-and-flip financing vs traditional financing](https://keyrealestatecapital.com/answers#flip-vs-traditional) - [What should I prepare before applying?](https://keyrealestatecapital.com/answers#what-should-i-prepare-before-applying) - [How does funding work?](https://keyrealestatecapital.com/answers#how-does-funding-work) ### Ready to talk through your deal? Share the property and your plan, and a KREC loan specialist will outline the financing structures that fit. Flexible, creative lending solutions to help real estate investors scale their portfolios. 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All rights reserved. Service Hours: 24/7 | Monday - Sunday ## Frequently Asked Questions ### How does renovation financing work? The acquisition portion funds at closing and the renovation budget is released through draws as verified work is completed. Draw timing follows the schedule set for your line-item budget. ### What is after-repair value (ARV)? ARV is the property's expected value once renovations are complete. KREC caps fix and flip loans at up to 75% of after-repair value, which is why supportable ARV comps matter. ### How much of the purchase price can be financed? Up to 95% of the purchase price, with loan-to-cost reaching 100% of purchase plus 100% of rehab, subject to the after-repair value cap. ### Do I need experience to get a fix-and-flip loan? No. KREC's fix and flip program requires no prior experience, no income verification, no appraisal, and no up-front fees. Minimum FICO is 600, lower on exception. ## Links - [View fix & flip loans details](https://keyrealestatecapital.com/loan-products/fix-and-flip) - [View bridge loans details](https://keyrealestatecapital.com/loan-products/bridge) - [Browse all real estate lending answers](https://keyrealestatecapital.com/answers) - [Contact KREC](https://keyrealestatecapital.com/contact) - [Call (619) 369-4444](tel:619-369-4444) - [San Diego](https://keyrealestatecapital.com/locations/san-diego) - [Phoenix](https://keyrealestatecapital.com/locations/phoenix) - [Dallas-Fort Worth](https://keyrealestatecapital.com/locations/dallas-fort-worth) - [Houston](https://keyrealestatecapital.com/locations/houston) - [Atlanta](https://keyrealestatecapital.com/locations/atlanta) - [Tampa](https://keyrealestatecapital.com/locations/tampa) - [Orlando](https://keyrealestatecapital.com/locations/orlando) - [Miami](https://keyrealestatecapital.com/locations/miami) - [Las Vegas](https://keyrealestatecapital.com/locations/las-vegas) - [Denver](https://keyrealestatecapital.com/locations/denver) - [Charlotte](https://keyrealestatecapital.com/locations/charlotte) - [Nashville](https://keyrealestatecapital.com/locations/nashville) - [Sacramento](https://keyrealestatecapital.com/locations/sacramento) - [Riverside](https://keyrealestatecapital.com/locations/riverside) - [Jacksonville](https://keyrealestatecapital.com/locations/jacksonville) - [San Antonio](https://keyrealestatecapital.com/locations/san-antonio) - [Columbus](https://keyrealestatecapital.com/locations/columbus) - [Indianapolis](https://keyrealestatecapital.com/locations/indianapolis) - [Kansas City](https://keyrealestatecapital.com/locations/kansas-city) - [Memphis](https://keyrealestatecapital.com/locations/memphis) - [Birmingham](https://keyrealestatecapital.com/locations/birmingham) - [Cleveland](https://keyrealestatecapital.com/locations/cleveland) - [Austin](https://keyrealestatecapital.com/locations/austin) - [Privacy Policy](https://keyrealestatecapital.com/privacy-policy) - [Terms & Conditions](https://keyrealestatecapital.com/terms-of-service) - [Anti-Spam Policy](https://keyrealestatecapital.com/anti-spam-email-policy) --- Canonical URL: https://keyrealestatecapital.com/answers/fix-and-flip-loans Markdown URL: https://keyrealestatecapital.com/answers/fix-and-flip-loans.md Agent overview: https://keyrealestatecapital.com/llms.txt Full reference: https://keyrealestatecapital.com/llms-full.txt Sitemap: https://keyrealestatecapital.com/sitemap.xml Related Key Real Estate Capital resources: - Loan programs: https://keyrealestatecapital.com/loan-products - Questions answered: https://keyrealestatecapital.com/answers - Loan calculator: https://keyrealestatecapital.com/calculator - Contact: https://keyrealestatecapital.com/contact Key Real Estate Capital — nationwide private capital lender. 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