The Funding Landscape: Your Primary Options

When you find a great deal, you need to act fast.Understanding your funding options is critical. Here are the three most commonpaths for financing a flip.

1. Traditional Bank Loans (e.g., Conventional Mortgages)

This is what most people think of for home loans. You go toa bank, submit extensive paperwork about your income and credit, and wait.

• Pros:     Lower interest rates.
• Cons:
  
   
  • Slow      Process: Can take 45-60+ days to close, causing you to lose deals.
   
  • Strict      Requirements: Based heavily on your personal income and credit score.
   
  • Won't      Fund "Distressed" Properties: Banks often refuse to lend on      homes that need significant repairs—the very homes flippers target!

2. All Cash

Using your own cash is the fastest way to close, making youroffer very attractive to sellers.

• Pros:     No loan fees or interest; you have full control.
• Cons:
  
   
  • High      Risk: All your capital is tied up in one project.
   
  • Limited      Growth: You can only work on one project at a time, slowing your      ability to scale your business.

3. Private & Hard Money Loans

This is financing provided by a private company (likePrivate Money Lenders, LLC) or individual, specifically for real estateinvestment.

• Pros:
  
   
  • Speed:      Can often close in 7-14 days.
   
  • Asset-Based:      The loan is primarily secured by the value of the property, not just your      personal credit.
   
  • Flexibility:      Can often include funds for the renovation itself.
 
• Cons:     Higher interest rates and fees than traditional loans (a trade-off for     speed and flexibility).

The PML Advantage: Your Partner in Profit

For fix-and-flip investors, a private money loan isn't justan alternative; it's a strategic tool. At Private Money Lenders, LLC,we've designed our entire process around the needs of investors like you.

We Fund Deals, Not Just Borrowers

Banks get nervous about properties that need work. We getexcited. We are an asset-based lender, which means our primary consideration isthe potential of the property. We look at the "After Repair Value"(ARV), which is the estimated value of the home after you’ve completed yourrenovations.

Speed is Your Competitive Edge

In a competitive market, a seller will almost always choosethe offer that can close the fastest. Our streamlined process means you canconfidently make strong offers and close in a fraction of the time it takes atraditional bank.

Funding for the Flip Itself

Most of our loan programs can include financing for yourrenovation budget. This is a game-changer, as it dramatically reduces theamount of cash you need to bring to the table.

Example Loan Structure:

A typical loan might cover up to 90% of the purchase priceand 100% of the renovation costs, as long as the total loan amount doesn'texceed a certain percentage (e.g., 75%) of the ARV.

Total Loan≤0.75×ARV

Our Simple 4-Step Funding Process

We believe getting funding should be the easiest part ofyour project.

Step 1: Submit Your Deal (5 Minutes)

Fill out our simple online form or give us a call. We justneed the basic details about you and the property you're looking at.

Step 2: Quick Underwriting & Term Sheet (24 Hours)

Our experienced team will analyze the deal's potential(purchase price, rehab budget, ARV). If it's a good investment, we'll issue youa straightforward term sheet outlining the rates and fees.

Step 3: Appraisal and Approval

We'll order a quick, independent appraisal to confirm thevalue and our team will gather the necessary documents. No tax returns orincome statements required.

Step 4: Close & Get Funded (As Fast As 7 Days)

You sign the documents at a title company, and the funds arewired. You now have the keys and the capital to start your flip!

Success Story: The First-Time Flip

The Scenario: A first-time flipper finds a dated butstructurally sound home listed for $400,000. It needs $60,000 in cosmeticupdates. The estimated After Repair Value (ARV) is $625,000.

The Challenge: The investor has savings for a downpayment but not enough to cover the purchase and the entire renovation. Atraditional bank won't finance a property in its current condition.

The PML Solution:

• Private     Money Lenders, LLC approves a loan covering 85% of the purchase price     and 100% of the rehab costs.
• Purchase     Price: $400,000
• Rehab     Budget: $60,000
• PML     Loan: ($400,000×0.85)+$60,000=$340,000+$60,000=$400,000
• Cash     Needed from Investor: Just the down payment ($60,000) + closing costs.
• The     Outcome: The project is completed in 5 months and sells for $620,000.     After paying back the loan and other costs, the investor walks away with a     profit of over $80,000 on their first deal!

Ready to Fund YourFirst Flip?

Don't let a lack of funding hold you back from achievingyour real estate goals. The team at Private Money Lenders, LLC is hereto be your strategic capital partner.

We offer fast, reliable, and transparent financing solutionsdesigned specifically for investors.

Let's analyze your deal together. There's no cost and noobligation.

Get a Free Quote in 24 Hours

CALL US: (310) 651-8000

EMAIL US: loans@privatemoni.com

APPLY ONLINE: www.privatemoni.com

Private Money Lenders, LLC

8888 W Olympic Blvd. Ste 200 Beverly Hills, CA 90211

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