Recently Funded Fix And Flip Loan In University Park, IL

Loan Scenario:

This fix-and-flip project involves a single-family detached home located in University Park, Illinois. The property was purchased for $128,000, with a rehab budget of $50,000. The total loan amount secured for this project is $151,300, resulting in a Loan-to-Cost (LTC) ratio of 85% and a Loan-to-After Repair Value (LTARV) of 69%.

The after-repair value (ARV) of the property is projected at $220,000, offering significant potential for a profitable return on investment. The scope of work includes comprehensive updates, such as:

• General interior painting, including HVAC and lighting fixture updates
• Exterior power washing and painting to improve curb appeal
• Garage repairs, including painting and any necessary structural work
• Kitchen remodel, including new fixtures and appliances
• Living room updates with new paint and finishes
• Bathroom and bedroom renovations, including new fixtures, flooring, and finishes

The semi-experienced investor behind this project plans to utilize the financing to cover all hard costs associated with these improvements, ensuring a successful transformation of the property. The extensive renovations will significantly enhance both the functionality and aesthetic appeal of the home, positioning it well in the local University Park market.

The local real estate market has shown consistent growth, and the projected increase in home value makes this an attractive opportunity for the investor. By executing these cost-effective updates, the project aims to maximize the property’s value and generate strong returns.