Little City Investments provides rehab funding for residential projects in Austin and Houston Texas. We’ll fuel your flips.
With over a decade of experience funding rehab projects and flipping houses ourselves, we know what it takes to consistently develop successful and profitable projects. It’s not just a solid understanding of the market and dependable contractors. It’s also about having a fast, reliable funding source that’s there when you need them.
We pride ourselves on our ability to provide quick, straight feedback on a project’s viability and what we can lend. Usually we can provide a ballpark initial loan assessment within 24 hours, so that you can plan your next move.
How our rehab funding works: We lend up to 75% of the after-repaired value (ARV) of the rehab project and we release up to 75% of current market value for the purchase of the property. The difference between these two amounts is put into an escrow account and released in draws throughout the project as repairs are made and value is added. We work with you to create a draw schedule that meets the goals of your rehab budget and timeline.
Rehab loan terms:
- Interest rates starting at 8.5%
- 1.5 – 3.5 point origination fee
- $350 document preparation/legal fee only, no junk fees
- No prepayment penalties after 4 months
- 12-month loan term
- Interest-only monthly payments
- 75% maximum loan to value (LTV)
- $250 draw fee (per draw)