Fix and Hold Loans(BRRRR Method) in Maryland
Found a property that needs work before it can cash flow? Property Flip Loan provides Fix and Hold Loans specifically designed for real estate investors using the BRRRR strategy — Buy, Rehab, Rent, Refinance, Repeat.
We make it easy to acquire and renovate a property so you can refinance into long-term financing and build lasting cash flow. Whether you’re a first-time BRRRR investor or scaling your portfolio, we focus on speed, flexibility, and common-sense underwriting to help you move fast and maximize returns.
Why Investors Choose Property Flip Loan
Purpose-built for BRRRR investors: Loans tailored to the short-term “buy and rehab” stage before your refinance take-out.
Fast closings: Win competitive offers and start renovations immediately.
Flexible leverage: Up to the lesser of 65%–70% of ARV or 85% of LTC.
100% of rehab budget funded (allocated to your draws).
Loan terms up to 12 months with no prepayment penalties.
Focus on cash flow and refinance readiness.
Local expertise: Serving Maryland, Washington, DC, and Virginia investors with deep market knowledge.
Business-purpose loans only. Non-owner-occupied investment properties.
What Is a Fix and Hold Loan?
A Fix and Hold loan bridges the gap between acquisition and long-term financing. It’s perfect for properties that need renovations before they can be rented or refinanced.
We fund your purchase and rehab, giving you time to stabilize the property with tenants and prepare for your refinance into permanent financing—whether conventional, DSCR, or a bank portfolio loan.
Ideal for investors using the BRRRR Method:
Buy: Acquire undervalued properties below market.
Rehab: Renovate to increase value and rent potential.
Rent: Stabilize with strong tenants.
Refinance: Pull your capital back out based on the new appraised value.
Repeat: Reuse your capital for the next deal.
Why the BRRRR Strategy Works
The BRRRR method allows investors to recycle their capital rather than tying it up in each property. A successful BRRRR deal can return most (or all) of your initial cash investment while leaving you with a cash-flowing rental asset and ongoing appreciation.
What Makes a Great BRRRR Deal
Purchase Below Market Value: You make money when you buy. Look for properties 20–30% below ARV after accounting for repairs.
Strong ARV Comps: Use realistic, recent comparable sales to estimate the After Repair Value.
The 1% Rule: After renovation, your monthly rent should ideally equal 1% of the all-in cost (purchase + rehab). Example: if you’re all in for $200,000, target $2,000/month in rent.
Refinance Readiness: Lenders look for DSCR ratios (Debt Service Coverage Ratio) of 1.20x or higher—meaning the rent more than covers the new mortgage payment.
Exit Strategy: Know your refinance plan before you close on the rehab loan. We’ll help ensure your short-term structure sets you up for long-term success.
How Our Fix and Hold Loans Work
Prequalify Fast: Send a 6-line Deal Snapshot (address, purchase, rehab, ARV, exit, timeline).
We Size the Loan: Up to the lesser of 65%–70% of ARV or 85% of LTC.
Close Quickly: We fund the purchase and 100% of the rehab budget.
Renovate: Draw funds as work is completed.
Rent & Stabilize: Lease the property, gather income documentation.
Refinance: Pay off the rehab loan with long-term financing (DSCR, conventional, or bank portfolio loan).
Standard Loan Snapshot
Purpose: Buy, Rehab, and Rent (BRRRR strategy)
Geography: Maryland, Washington, DC, Virginia
Term: Up to 12 months
Leverage: Up to lesser of 65%–70% ARV or 85% LTC
Rehab: 100% of rehab budget funded
Prepay: No prepayment penalty
Credit: Evaluated (refi readiness matters)
Structure: 1st lien, interest-only monthly payments
Exit: Refinance to long-term rental loan (DSCR or conventional)
Why Credit Matters in a Fix and Hold Deal
Unlike pure fix-and-flip projects, your credit and refinance eligibility play a larger role in BRRRR deals. While we don’t require a minimum score to fund your rehab-to-rental loan, your take-out lender will.
Typical refi requirements:
Minimum credit score: ~660+ (varies by lender)
DSCR ratio: ≥ 1.20x (rents cover debt service)
Seasoning: 3–6 months of rental history is often required
Appraisal: Based on stabilized value and rent roll
We’ll help ensure your short-term loan structure positions you to meet those long-term lending requirements smoothly.
Example: How the Numbers Can Work
Purchase Price: $120,000
Rehab Budget: $40,000
All-In Cost: $160,000
ARV (After Repair Value): $240,000
65% of ARV: $156,000
85% of LTC: $136,000
Loan Amount: Lesser of the two → $136,000
We fund 100% of your $40,000 rehab and $96,000 toward the purchase.
Borrower brings the remainder and closing costs.
After rehab, you rent for $2,000/month and refinance into a long-term 30-year DSCR loan.
At a 75% LTV refi on $240,000, you pull out $180,000, repaying our short-term loan and recapturing your capital to deploy on the next BRRRR.
Ideal Property Types
Single-family homes, townhomes, small multifamily (2–4 units)
Condos (case-by-case)
Properties needing moderate to full renovation
Non-owner-occupied only
Documents We’ll Need
Purchase contract (or ownership proof if owned)
Rehab scope & budget
ARV comps
Rent estimates or pro forma
Entity docs, ID, and insurance
Frequently Asked Questions
Do you lend to first-time BRRRR investors?
Yes. As long as the deal makes sense and your refinance plan is clear.
Do I need a credit score minimum?
We don’t require one to fund, but your refinance lender will. We’ll help you plan accordingly.
How fast can you close?
Once we have your deal details and clear title, we can often close within days.
Can I refinance with any lender?
Yes — DSCR, conventional, or local banks. We encourage you to line this up early.
Do you fund 100% of rehab?
Yes, we fund 100% of the approved rehab budget via draws.
Are these owner-occupied loans?
No, these are business-purpose investment loans only.
Ready to Start Your Next BRRRR Project?
Send us your 6-line Deal Snapshot for a quick review:
Address:
Purchase price:
Estimated rehab (1–2 sentences):
ARV estimate + 2–3 comps:
Exit: Rent + refinance (refi lender identified? Y/N)
Timeline: Target close date & renovation duration