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What to Look for in a Fix and Flip Lender in Phoenix

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The real estate market in Phoenix, AZ has continued to be one of the strongest and fastest-growing in the country over the past few years. While this has made it a great place to own a home and build equity, it has also provided a lot of opportunities for real estate investors. This is particularly true for those that purchase homes that are in need of repair and improvement and are discounted in price because of their condition or appearance.

Those that are skilled investors and contractors are able to purchase these properties, make necessary upgrades and improvements, and eventually flip the home for a profit. However, many real estate investors will also find that this can be a very capital-intensive business and having access to loans is quite beneficial. One type of financing that is ideal for this type of project is a fix and flip loan.

What is A Fix and Flip Loan?

If you intend to purchase real estate with the intent of making improvements and flipping it for a sale, finding a loan that aligns with your business plan is important. Unfortunately, many types of investment property loans are designed for longer-term holds. A fix and flip loan is a good option as they are short-term loans that often have a term ranging from 6 to 18 months, as opposed to up to 30 years that is typically found with traditional home mortgages. There are various advantages that come with this type of financing.

Quick Approval and Funding

One of the main advantages of a fix and flip loan is that they can be funded quickly. With a traditional mortgage, the bank may need months to finish their underwriting and fund the loan. While this might work fine when purchasing a primary residence, the continued demand for housing in Phoenix makes speed and efficiency more important. With a fix and flip loan, you can have your loan approved and funded within a week. As you continue to develop a reputation with the lender, the process will only become faster and more efficient.


A common issue that people can have with taking out a traditional mortgage is that the terms are very rigid. As mortgage lenders need to follow certain guidelines, they often are stuck providing you with only certain terms, leverage levels, and other requirements. With a fix and flip loan, you will find there is much more flexibility. This can help ensure that you are able to get a loan that will help you execute your strategy.

Variety of Permitted Investments

If you are interested in building a real estate investment business in the Phoenix area, having the ability to have a variety of investment types is important. With standard real estate loans, you may be limited to only purchasing single-family residences and condos. However, with a fix and flip loan, you will not have the same limitations. This will ensure you are able to get the capital you need if you want to purchase and renovate a multi-unit property, commercial asset, or other type of real estate.

What to Look for When Selecting a Fix and Flip Lender

If you are looking for a fix and flip loan, you will find there are various lenders in the Phoenix area that are able to provide this type of financing. Choosing the right lender for your loan is a very important decision. There are several things to look for when you are choosing a fix and flip lender.

Lending Experience

If you are interested in fixing and flipping a home in the Phoenix area, working with an experienced lender should be a top priority. There are many differences between this real estate strategy and other types of real estate purchases and investments. Because of this, you will want to know that you have a lender by your side that is comfortable with this type of business plan and loan structure. To ensure that you have a lender that will be able to execute on their promised terms, finding one with years of experience and many transactions under their belt should be a top priority.

One great example of a fix and flip lender with plenty of experience is the Barrett Financial Group and Hard Money Lenders Arizona. This company is a hard-money lender in the Phoenix area that has continued to specialize in providing short-term financing solutions for real estate investors. The company was founded by Michael Iuculano, who is an experienced real estate lender with more than $1 billion of loans funded over the past 20 years. The entire team here has a considerable amount of experience in evaluating, underwriting, funding, and managing fix and flip loans.

The experience provided by the Barrett Financial Group and Hard Money Lenders Arizona has helped the company become one of the top 1% mortgage loan originators in the country. The company also acts as a top advisor for their clients. The company’s experience in the field ensures they are able to help clients identify opportunities and risks with transactions they are evaluating.

Rates and Terms

While you will want to have a hard money and fix and flip lender that you can trust and that is well-experienced, ultimately, you also want to get the best deal possible. Generally, fix and flip loans are a preferred option for investors as they have quicker turnarounds for approval and funding and flexible terms. However, they can also be more expensive and the costs can vary considerably from one lender to the next.

You should always look to work with a lender that is able to offer you terms that match up with the needs of the project. While some projects only require a 6-month term, others may need 24 months or longer. With the Barrett Financial Group, the terms available vary considerably and can include maturities of up to 60 months, up to 90% LTV, and funding in as little as 24 hours. Best of all, they have very competitive rates that start as low as 7.99% for qualified borrowers. The final rate that you receive will vary based on different factors including the amount of the loan, LTV, and term length.

There is also more flexibility in terms of personal recourse. While a standard mortgage will be made out to you as an individual, a fix-and-flip loan can be made to an LLC or another legal entity. It is then possible that your own personal recourse will be limited.

Reputation of Lender

When you are taking out any type of loan, you will want to work with someone that you can trust and the reputation of the lender is very important. As you are doing your research on a new lender, you should read reviews online to get a sense of their knowledge and expertise, ease of underwriting process, customer service, how they are to work with after the loan funds, and ability to close and fund a loan at the terms they initially proposed.

If you do any specific research on Hard Money Lenders Arizona, you will quickly find that they have a great reputation with past clients. This is due to the company’s continued dedication to providing their clients with a transparent and streamlined process for approving, funding, and managing fix and flip loans. Hard Money Lenders Arizona is clearly a trusted lender in the community as they have many positive and five-star reviews listed online. This will give you comfort knowing that you are working with someone that you can trust and that will deliver.

Call Hard Money Lenders Arizona Today

The strong real estate market in Phoenix has continued to open many opportunities for real estate professionals and investors. If you are able to find an undervalued asset with potential, fixing and flipping it can be a great strategy and way to make a profit. As you are looking to make this type of investment, getting a fix and flip loan is a way to ensure you have access to the proceeds that you need.

As you are looking for a fix and flip lender Hard Money Lenders Arizona and the Barrett Financial Group continue to be a great resource. This lender specializes in providing unique and flexible loan terms to those in the Phoenix area. You can contact the team today to learn more and start the process of applying for your next loan.

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