Fix & Flip Loan for SFR in Lakeland, Tennessee

I Fund Cities, an alternative lending platform, funded a $184,500 senior lien position fix and flip loan for a single-family home in Lakeland, Tennessee. We funded 89% of the $207,500 purchase price, while the Borrower contributed 11% cash to the purchase at closing. The Borrower also funded the $32,116 renovation budget using their own cash. The after-repair value was estimated at $298,000 so our loan-to-value was 62%. The Borrower was a real estate investor who found us through our Google page (where we have lots of great reviews, btw)! They were in a tough spot—the lender they had been working with had dropped the ball. They now had just five days to close their deal. Not only did we meet their deadline with a real estate bridge loan, but we were able to close with a day to spare. How? We shaved off a lot of time by using something called a desktop appraisal. This is a type of appraisal where the value of the property is gained by using existing tax records and MLS listing information, rather than having an appraiser actually visit the property in person. By coming to us, the Client not only saved their deposit but also found a reliable lender for all of their future real estate investment loan deals. The Borrower plans to sell the property upon completion of the light rehab. The subject property was in good condition. The loan term was set at 6 months. This SFR fix and flip loan was funded in March 2023.