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100% Fix and Flip Financing: What Hard Money Lenders Require
100% fix and flip financing is possible — but hard money lenders still expect liquidity, credit, and skin in the game. Learn how to qualify and what to avoid.
Investors ask about 100% fix and flip financing every week — usually right after they find a distressed property and realize they do not want to tie up their own cash. The answer is not a simple yes or no. 100% hard money financing can exist on a fix-and-flip, but lenders still underwrite you as a borrower, not just the spreadsheet on a “great team.”
Does 100% fix and flip financing actually exist?
Yes — with the right file. Jaken Finance Group has funded 100% fix and flip scenarios before, including for borrowers without a long flip track record. That does not mean every deal qualifies, and it definitely does not mean a lender absorbs all the risk while you bring none.
Hard money is asset-based, but the lender still needs confidence you will perform: close on time, manage the rehab, and pay the loan back through a sale or refinance. 100% financing on the purchase and rehab stack is a leverage decision tied to ARV, LTC, and your borrower profile — not a promise that cash is optional.
If your pitch is essentially “fund everything because my team is elite,” expect pushback. Lenders hear that often. The investors who get funded lead with deal economics, a realistic scope, and proof they can execute.
What hard money lenders still require at 100% leverage
Even when leverage approaches 100% on a fix and flip loan, most programs expect:
- Liquidity — reserves for carrying costs, draw gaps, overruns, and closing expenses. Zero dollars in the bank is a different conversation than 100% LTC on a strong deal.
- Decent credit — not perfect FICO, but enough to show you honor obligations. The lender has to believe you will pay them back, not just that the house will sell.
- A credible exit — ARV supported by comps, a defined rehab budget, and a timeline that matches the loan term.
Experience helps, but it is not always mandatory. First-time flippers can sometimes access 100% fix and flip funding — there are just more hoops: stronger third-party validation, tighter numbers, or additional guarantor structure depending on the file.
For a broader overview of how these products work, see our guide on 100% financing and fix and flip hard money loans.
Why lenders prefer at least 10% down
Honest take from the lending desk: 10% down (or equivalent skin in the game) makes almost every fix-and-flip file easier to approve and faster to close.
When you contribute capital:
- You share downside risk with the lender, which aligns incentives on budget discipline.
- Draw requests and change orders get less scrutiny when you are not fully reliant on every dollar of holdback.
- Underwriting can stretch on leverage because you have demonstrated commitment to the project.
That is an opinion, not a universal rule — 100% financing remains on the table for qualified borrowers and strong deals. But if you can put 10% down and choose not to, you may be trading a slightly higher out-of-pocket check for a smoother path to “yes.”
First-time flippers: more hoops, still possible
No flip history does not automatically disqualify you from hard money for fix and flip. It does mean the lender will stress-test:
- Your contractor and scope — line-item budget, not a single “rehab: $80K” line.
- Your liquidity — can you float payroll between draws or cover a surprise roof line item?
- Your credit and background — standard for any high-LTC approval.
- The margin — thin deals at max leverage rarely work for inexperienced borrowers.
We have closed 100% funding on fix and flip files for newer investors when the math and the borrower story both hold up. Expect more documentation, not a lower bar on the deal itself.
Build capital before you ask for 100% — wholesaling works
One of the fastest ways to strengthen your next lender conversation is to arrive with $20,000–$30,000 in liquidity — not from a gift or vague “investor backing,” but from activity in the business.
Wholesaling is the classic path: find distressed sellers, assign or double-close contracts, and stack assignment fees until you have real reserves. Buyers for wholesale deals exist in most markets if your numbers work. That capital then supports down payment, reserves, or both on your first fix and flip hard money loan.
Approaching a lender with zero money and asking for 100% financing signals you have not done the unglamorous work yet. There is capital everywhere in real estate — wholesale fees, joint ventures, private raises, W-2 savings — but the lender needs to see that you are resourceful, not that you are looking for someone else to take all the risk because you assembled a “great team.”
How not to pitch a hard money lender
Avoid openings that sound like:
- “I need 100% because I don’t want to use my own cash.”
- “My team is so strong that you should take all the risk.”
- “I have no money down but the deal is a slam dunk.”
Instead, lead with the property address, purchase price, ARV, rehab budget, timeline, and what you are contributing — even if that contribution is modest today but growing. Pair that with getting pre-qualified or submitting a fix-and-flip scenario so underwriting can react to real numbers.
For deeper reading on structuring leverage, see our master fix and flip financing guide.
100% financing vs. traditional fix and flip loans
| Factor | Bank renovation loan | Hard money fix and flip |
|---|---|---|
| Speed to close | Often 30–45+ days | As fast as 7–10 business days* |
| Experience required | Usually extensive | Flexible; stronger files at 100% LTC |
| Leverage | Typically 70–80% LTC | Up to 100% for qualified deals |
| Focus | Borrower W-2 & credit | ARV, LTC, exit, liquidity |
| Best fit | Slow, owner-occupied rehabs | Investor flips, speed, high leverage |
*Closing times are in business days and subject to appraisal payment, borrower conditions, and underwriting approval.
In this video
- 0:00 — Why “zero-risk” borrower pitches fail with lenders
- 0:26 — When 100% fix and flip financing exists — and why liquidity and credit still matter
- 0:51 — Building $20–30K through wholesaling vs. approaching a lender with no capital
Full transcript
Take a look at this here. This person is looking for someone else to take all of the risk in their deal and for them to take none of the risk because they have a great team. Listen guys, 100% financing does exist, but you still need liquidity. You still need decent credit because the lender’s got to know that you’re going to pay them back. You don’t necessarily have to have experience. You can get 100% funding on a fix and flip without experience. There’s just a little more hoops to work through. We’ve done it before. I prefer that a borrower put at least 10% down. They’re just — it just makes the deal a lot easier. That’s just my honest opinion. That being said, it’s really easy to build up 20 or 30 grand these days on the internet, especially in real estate. Go wholesale. There’s people ready to buy your contracts. Don’t come to a lender when you have zero money because it also shows that you’re not resourceful. There’s money everywhere in this game. You just have to figure out which way you want to go. Don’t approach a lender with this type of topic or this type of intro.
See if your deal qualifies for 100% fix and flip financing
Have a property under contract or a wholesale fee you are rolling into your first flip? Get approved and share the address, ARV, rehab scope, and what you can bring to the table — or submit your fix-and-flip file and a Jaken Finance Group lending specialist will walk through leverage, reserves, and timeline.
Rates, terms and conditions offered only to qualified borrowers and are subject to change at any time without notice. Closing times are in business days and commence upon receipt of appraisal payment and satisfaction of borrower conditions. Closing times may be delayed due to appraiser property access. All loans are subject to full underwriting for loan approvals. Jaken Finance Group only finances non-owner occupied investment properties.
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Jaken Finance Group, 2300 Barrington Road, Suite 400, Hoffman Estates, IL 60196