Fix and Flip for Multifamily Properties

Multifamily Fix and Flip Funding Solutions

In recent years, we’ve seen many of our seasoned real-estate investors turn to multi-unit dwellings to diversify their portfolios. Demand for rental units continues to rise across the United States, and fix-and-flip investors are noticing. Here, we’ll discuss short-term loans to purchase and rehab multifamily, not to be confused with funding for buy-and-hold residential rental properties or commercial properties. While renovating a multifamily property may require a larger investment and more work, it can be very profitable when executed correctly. Contact the FBC Funding mortgage professionals in South Holland, Illinois, to learn more about this and other fix-and-flip funding solutions.

The Basics of Multifamily Investing

Multifamily properties, also known as multidwelling units, contain more than one housing unit within a single building or group of buildings within a single complex. Duplexes, triplexes and quadplexes are all multifamily properties, as are town houses and semi-detached properties, with two separate homes on a single piece of land.

Selling a multifamily property can be intimidating to some of our investors who have not worked with this type of property before. While the search for the right buyer differs than with a single-family residence, it is not necessarily more challenging. As the cost of renting continues to rise in South Holland and across Illinois, landlords and property investors recognize that they can increase profitability by purchasing multi-family units, which means you have a great chance to succeed in fix-and-flipping this type of property. We offer three programs multifamily rehab lending. This is Program One for Multifamily fix and flip. Program One is for more experienced investors seeking value add versus major renovations. Programs Two and Three address major rehabs, smaller loan amounts and credit scores down to 600.

Fix and Flip for Multifamily Properties – Program One

  • Loans from $250,000 to $5,000,000 with no limit on the number of units
  • Loans up to 80% of the purchase price with rates as low as 8.5% and 24 month term
  • Minimum credit score of 670 is required
  • Multifamily property must have at least 5 units
  • Projects with at least 50% occupancy are preferred
  • Value add projects are preferred over gut rehab projects

Our multifamily fix and flip program is designed for clients with strong credit and who have experience owning and renovating multifamily properties. Strong net worth and liquidity may allow for flexibility if credit and experience do not meet the program requirements. If you do not meet the requirements of the program, we offer other multifamily rehab programs that may be a better fit.

Fast Funding for Faster Profits

Whether you’re just beginning as a fix-and-flipper or have been profiting as an investor for a while, FBC Funding has solutions for you. We have strong lender connections and can offer fast answers when time is of the essence for our fix-and-flip clients. There are some amazing multifamily properties with huge potential available in South Holland, IL, for those who are willing and who have fast funding. Contact our mortgage professionals to see what great rates you could secure for multifamily fix-and-flip properties.