Recently Funded Fix & Flip Loan In Birmingham, AL

Loan Scenario:

This project highlights a fix and flip loan for a single-family property located in Birmingham, Alabama. The investor purchased the home for $835,000 and allocated a renovation budget of $147,900 to complete a comprehensive update. American Heritage Lending provided $900,000 in financing, resulting in a Loan-to-Cost (LTC) of 91.57% and a Loan-to-After Repair Value (LTARV) of 75.00%. Upon completion of the renovations, the property is projected to reach an After Repair Value (ARV) of $1,200,000.

The borrower, a professional real estate investor, is executing an extensive renovation plan designed to modernize both the interior and exterior of the home. On the exterior, the property is being pressure washed and repainted, including the hardy board siding, pergola, and front door, to refresh curb appeal and protect the home’s exterior surfaces.

Inside, the renovation includes repainting the entire interior and installing new flooring throughout the main living areas, staircases, and basement. All three bathrooms are being remodeled, with the primary bathroom receiving more substantial upgrades such as a new vanity and a fully retiled shower. The basement suite is also being refreshed with new flooring and paint to create a more cohesive living space. In addition, a detached shed on the property is undergoing a full renovation, including new electrical, plumbing, and air conditioning, expanding the overall functionality of the property.

Birmingham continues to see steady demand for updated homes, particularly in established neighborhoods where buyers value modern finishes paired with thoughtful upgrades. Projects that deliver clean interiors, refreshed exteriors, and functional improvements tend to perform well in this market, especially when positioned as move-in-ready offerings.

This financing scenario demonstrates how American Heritage Lending supports professional investors undertaking higher-value renovation projects. By providing flexible fix and flip financing, AHL enables investors to execute substantial improvements while maintaining a clear path toward resale.