Recently Funded Fix & Flip Loan In La Habra, California

Loan Scenario:

This fix and flip loan supports a single-family home in La Habra, California. The borrower, a professional investor, bought the property for $850,000. Also, the borrower set aside a $50,000 rehab budget. American Heritage Lending then funded $772,500 toward the deal. So, the loan carries an 85.83% LTC and a 75% LTARV. Notably, AHL set up the loan as a 12-month interest-only term. Once finished, the home should reach an After Repair Value of $1,030,000.

The scope of work covers a full property update inside and out. First, demo work clears bulky items and tears out the old roof, kitchen, bathrooms, and floors. Then, a new asphalt shingle roof goes in along with three new windows. Next, the kitchen gets new cabinets, counters, backsplash, and appliances. Both bathrooms also receive new tile, vanities, tubs, and fixtures. From there, new flooring runs throughout the home, paired with fresh paint and new doors. Updated electrical and recessed lighting round out the inside work. Finally, the outside gets stucco repair, a new sprinkler system, fresh landscaping, and updated fencing.

La Habra sits in north Orange County and remains a competitive housing market. Here, tight supply keeps days on market short. Plus, updated homes in this price band tend to draw quick buyer attention. So, the rehab plan lines up well with current local demand.

Overall, this deal shows how AHL backs professional investors with high-leverage fix and flip funding. So, the 85.83% LTC frees up cash for the rehab budget. Also, the 12-month interest-only term gives the borrower room to focus on the build. In turn, the investor can move from purchase to resale without tying up extra funds.