Renovation, then a sale or a refinance
Fix-and-flip loans for Illinois investment property
The loan is for the purchase and the renovation. You pay it off when you sell, or when you refinance after the work. You cannot live there.
Send the address with the price, the rehab budget, and what you expect the building to be worth when the work is done. We do not print a loan-to-cost. If the spread between what you have in it and the exit is thin, say so. A prettier budget does not survive a look at the address.
The buildings are houses, 2-flats, and small buildings an investor will resell or refinance. Chicago buildings of that kind are spelled out on their own page. The rest of Illinois comes through this form with the city named.
You do not need a signed contractor bid to ask. You do need a number you can explain. In the note, write who is doing the work if you know: your crew, a general contractor, or you. A roof, two kitchens, and a vacant-unit turn can be two lines. Save the 40-page packet.
If you are not funding a renovation, use the bridge loan. Cash-out and a plain refinance live there.
Questions
- What will you not pay for?
- Personal credit cards, a primary residence, or work on a home you occupy. The loan is the purchase, if you are buying, and the renovation budget in the form.
- The rehab number grew after I wrote it down. Now what?
- Send the new number before you spend it. The first budget is the deal we were asked to read. A larger scope is a new ask.
Send the deal
Write the after-repair price you believe, and who is doing the work, in the note with the address.