Flip and Fix Loans in California | Truss Financial Group

Key Features

Flip and fix loans are designed for speed, with many closing in just 7 to 10 days so investors can move quickly on properties. 

They offer flexible credit requirements, making it possible to qualify even with a lower credit score if the deal makes financial sense.

Most of these loans come with interest-only payments during the term, helping keep monthly expenses manageable while you renovate.

They can also finance both the purchase price and the cost of repairs in one package, reducing the need for out-of-pocket cash. 

Loan terms are short, typically 6 to 18 months, so you can flip, sell, and move on to your next project faster.

What Are Flip and Fix Loans?

Definition

Flip and fix loans, also known as fix and flip loans, are short-term real estate loans designed for investors who buy homes that need repairs, fix them up, and quickly resell them for a profit. These loans help cover the cost of both the purchase and the renovation, perfect for turning run-down properties into profitable ones.

Unlike traditional mortgages, these loans are tailored for speed. In 2025, lenders in California have made it even easier for flippers to access funds quickly, sometimes in as little as 5–10 days. These loans typically last 6–18 months and are interest-only, helping investors manage cash flow while the property is being flipped.

How Flip and Fix Loans Work

The process starts with an investor identifying a property with potential, often a foreclosure, short sale, or outdated home. The lender will look at the property’s after-repair value (ARV), not just the current condition. This means borrowers can access more money upfront based on the projected resale value.

Once approved, the investor uses the loan to buy the property and fund the rehab. After renovations are complete, the investor sells the home, ideally for a profit that covers the loan, renovation costs, and closing fees.

Key Differences from Traditional Loans

Flip and fix loans focus on speed, flexibility, and the property’s future value, not the borrower’s long-term credit history or income. In 2025, many California lenders even work with borrowers who have lower credit scores or limited cash on hand.

Traditional loans take weeks (or longer) and are designed for people planning to live in the home. Flip loans, on the other hand, are for those looking to move fast and flip for profit. If you're diving into real estate investing, this could be your financial jumpstart.

Why Choose Flip and Fix Loans in California?

California investors have unique opportunities, and flip and fix loans are built to help you take full advantage.

High ROI Potential in California’s Real Estate Market

With property values still on the rise in 2025, California offers one of the strongest flipping markets in the U.S. Cities like Los Angeles, Sacramento, and San Diego are packed with older homes in need of updates, and buyers are hungry for move-in-ready properties. A well-timed renovation can turn a worn-out house into a high-demand listing, and flip and fix loans make it possible to fund both the purchase and the remodel in one go.

Speed and Flexibility Compared to Traditional Lending

Quick access to capital can make or break a deal, especially when good properties don’t stay on the market long.
Flip and fix loans are designed for speed. Many California lenders now close within 7–10 days, with minimal documentation. These loans focus on the value of the finished home, not just your credit score or income. That means more flexibility for self-employed investors, newcomers, or anyone who needs to move quickly to secure a great deal.

Ideal for First-Time Real Estate Investors

If you're just getting started in real estate, this type of loan can be the easiest entry point. California’s flip-and-fix lenders understand the needs of first-timers. Some even offer financing for 100% of renovation costs and connect you with local contractors or resources. Whether you’re looking to flip your first house or grow a small portfolio, this loan option can help you move forward without needing a large upfront investment or years of experience.

Flip and fix loans in California are more than just funding; they’re a launchpad for smart, fast-moving investors.

Who Can Qualify for Flip and Fix Loans?

Flip and fix loans are more accessible than most people think, especially in California’s investor-friendly lending environment.

Credit Score Requirements

Unlike traditional home loans, flip and fix loans don’t demand perfect credit. Most lenders prefer a credit score of 620 or higher, but many will consider applicants with scores as low as 580, especially if the deal is strong.

Here’s a quick look at typical credit score ranges:

Income and Property Evaluation

Lenders care more about the deal than your day job. Instead of focusing solely on your income, they look at

• The after-repair value (ARV) of the home
• Estimated renovation costs
• Your plan to renovate and sell
• Your past flipping experience (if any)
  
  

In 2025, many California lenders also offer bank statement loans or stated income options to help self-employed borrowers get approved more easily.

Can You Get a Flip and Fix Loan with Bad Credit?

Yes, you still have options, even with bad credit.
Some lenders in California specialize in asset-based lending, meaning they look at the property’s value and potential profit rather than your credit history. If you have a solid project and enough equity in the deal, you can often get funding regardless of your credit score.

Fix and Flip Loan Options Available

There’s no one-size-fits-all loan; California offers several flip and fix loan types tailored to different needs.

Hard Money Loans

Hard money loans are the most common flip and fix financing. They’re funded by private investors or companies and focus on the property’s potential, not your financial background. Expect:

• Fast closings (often 7–10 days)
• Interest-only payments
• Loan terms of 6–18 months
• Higher interest rates (but faster approval)
  
  

100% Fix and Flip Loans (No Money Down)

Yes, these exist, and they’re gaining popularity in 2025.
Some lenders will finance both the purchase price and renovation costs if the numbers make sense. You’ll need:

• A solid ARV and rehab plan
• Experience or a strong contractor team
• Sometimes, a second property or asset as collateral
  
  

These loans are perfect for experienced flippers who want to scale without tying up their cash.

Fix and Flip Loans with No Credit Check

For borrowers with credit challenges, some lenders now offer no credit check flip loans.
Approval is based almost entirely on the property’s value and your exit strategy. You’ll likely pay a higher rate, but the trade-off is fast access to funds without digging into your credit history.

How Much Do Flip and Fix Loans Cost?

Before you take on your next flip project, it’s smart to know what kind of costs to expect, so you can budget accurately and protect your profit.

Typical Interest Rates and Fees

Interest rates for flip and fix loans in California usually fall between 8% and 12%. These rates can shift depending on your credit score, flipping experience, and how much profit potential the property offers after repairs.

Lenders also charge origination fees, which typically range from 1% to 3% of the loan amount. These fees cover the cost of evaluating your deal, preparing the paperwork, and getting the loan funded.

While the rates may seem high compared to traditional mortgages, remember—these loans are built for speed, not long-term use. The goal is to borrow quickly, complete the project, and pay it back within months.

Loan Terms and Repayment Periods

Most fix and flip loans come with short terms—usually 6 to 18 months. During that time, you’ll often make interest-only payments, which helps keep monthly costs low while you focus on renovations.

Once you sell the property or refinance, you’ll pay off the full loan balance. Some lenders also offer extensions if your project takes longer than expected, so it’s always good to ask about that upfront.

Closing Costs and Other Expenses

Besides interest and fees, be ready for other out-of-pocket costs that come with closing a flip loan. These may include:

• Appraisals and inspections
  
  
• Title and escrow services
  
  
• Permits, insurance, and taxes
  
  
• Rehab reserves (if required by the lender)
  
  

A safe rule is to set aside an extra 2% to 5% of the total loan for these costs, just to make sure you’re covered if anything unexpected comes up.

Finding the Best Flip and Fix Loan Lender in California

Having the right lender on your side makes flipping smoother, faster, and more profitable.

What to Look for in a Lender

Not every lender is a good fit for real estate investors. Here’s what to look for:

• Speed: Can they close in 10 days or less?
  
  
• Flexibility: Do they offer solutions for low credit or limited cash?
  
  
• Experience: Do they understand California’s fast-paced market?
  
  
• Transparency: Are the fees and terms clear from day one?
  
  

A good lender should feel like a partner, someone who helps you succeed, not just someone who funds the deal.

Why Choose Truss Financial Group

At Truss Financial Group, we know what it takes to make a flip successful, because we’ve helped thousands of investors do it. Our team specializes in California flip and fix loans with a focus on speed, service, and smart solutions.

When you work with Truss, you get:

• Fast approvals and closings in as little as 7 days
  
  
• Competitive rates and flexible loan terms
  
  
• Options for bad credit or no money down
  
  
• Real support from experts who know your market
  
  

We’re not just loan officers, we’re your flipping partners from start to finish.

How to Apply for a Flip and Fix Loan with Truss

Getting started is easier than you might think. Here’s how to apply:

1. Tell us about your deal, purchase price, rehab plan, and timeline
   
   
2. Get pre-approved quickly, often within 24 hours
   
   
3. Close and fund fast, so you can jump right into renovations
   
   
4. Flip with confidence, knowing your financing is solid

Ready to move forward? Contact Truss Financial Group today and let’s make your next flip your most profitable one yet.

Frequently Asked Questions (FAQ)

How long are flip and fix loans usually?

Most flip and fix loans come with terms between 6 to 12 months. This gives you time to purchase, renovate, and sell the property without long-term debt.

Can I get a flip and fix loan with bad credit?

Yes. Many lenders, including Truss Financial Group, offer flexible loan options for borrowers with less-than-perfect credit. If the deal is strong and the numbers work, your credit score doesn’t have to be a dealbreaker.

What are the main benefits of using a flip and fix loan?

Flip and fix loans offer fast access to capital and minimal paperwork and let you use other people’s money (OPM) to fund your projects. That means you can scale your real estate investing without tying up all your own cash.