How can I get a commercial property investment loan (fix and flip). ?
I am not looking to start a business on this property. Only to purchase it and then fix and flip it.
The assessed tax value of this property is $175k +.
I have the opportunity to purchase it for far less ($120k) than appraised tax value.
This amount will allow me to make minor repairs and then sell it for a profit
Looking forward to hearing your response.
Your local business bank should offer an interim construction loan. I have done these with a local community bank before. Very simple. They will appraise the property with the assumption that repairs are made. You purchase the property for one sum, then make draws on the construction portion, and the bank sends inspectors to make sure the funds are going into the repairs. Works brilliantly!
Hi, Robert – thank you so much for your question! There are a few routes you can take to get a commercial property investment loan. Depending on your circumstances, an SBA loan may be your best option – however, they can take longer to close than other types of loans.
For more information on commercial real estate loan options, check out our guide here.
Best of luck,