NO RED TAPE's Fix & Flip loans are for Real Estate Investors to finance the acquisition and improvement of real estate with an existing structure.
LOAN AMOUNT - ALTLOAN calculates loan amounts by Loan-to-Cost (LTC) and After-Repair-Loan-to-Values (ARLTV's) percentages. LTC = Loan Amount/Total Project Cost (TPC). TPC = Purchase Price + Rehab Budget. ARLTV = Loan Amount / After Repair Value.
DEFERRED MAINTENANCE - Property can be in poor condition with C1-C6 appraisal condition rating and/or Q1-Q6 appraisal quality rating allowed.
NO RED TAPE will lend up to 90% Loan-to-Cost and 75% After-Repair-Loan-to-Value. Rehab budgets are held in a control fund and are disbursed after improvements have been inspected and approved. Ground-up construction with no existing structure is not permitted.