Purchase and rehab on one loan.
A short-term loan that funds the purchase and the renovation together. The rehab is released in stages as an inspector verifies the work, interest is paid on what has been drawn, and the loan is repaid when the property sells.
- Loan size
- $100K – $5M
- Purchase to
- 90 – 100%
- Rehab to
- 100%
- Max total LTC
- 95%
- Max loan to ARV
- 80%
- Term
- 12 / 18 / 24 mo
- To close
- 7 days
Three caps run at once and the lowest one sets the loan: the advance against purchase and rehab, a ceiling on total cost, and a ceiling on after-repair value. That is why 100% of purchase does not mean nothing out of pocket. Maximum leverage is reserved for investors with completed projects on record. Figures reflect the terms available on our panel today and change as sources are added; nothing here is an offer of credit or a commitment to lend.
What a first project can be financed against.
Three variables set the loan: purchase price, documented rehab budget, and after-repair value supported by comparable sales.
Experience is priced, not required. A first project is financed at reduced leverage; the maximum advance is held back for investors with completed projects on record. Either way a line-itemed budget and a licensed general contractor under contract are required.
The advance against purchase and rehab, a ceiling on total project cost, and a ceiling on after-repair value. Whichever produces the smallest number sets the loan, and which one binds changes deal to deal.
You fund each stage, an inspector verifies it, the lender reimburses. On a four-draw schedule that is 25% of the rehab budget out of pocket before the first reimbursement.
Run the numbers first.
The calculator returns the maximum loan, the cash required at closing, the cash required after closing, and which constraint is binding — cost or value. No email required and nothing is transmitted.
Flip feasibility & cash to close
What the deal supports, what you bring to the table on day one, and what you still need after it.
Your number — we don't guess at construction costs.
What it sells for finished, from comps.
Four numbers, and the lowest result wins. Change them to match a term sheet you're holding.
Both charged on the total loan commitment, both your own assumption — JOGA does not quote either here. Our fee is disclosed in writing on every term sheet.
Percent of purchase price.
Same total cost either way — but it changes how much cash you need, and when.
You fund each draw before the lender reimburses it. Most lenders also want to see liquid reserves in the bank at closing — cash you must have, not cash you spend.
Agent, closing, concessions.
- Total loan commitment
- $384,750
- Advanced at closing
- $299,750
- Rehab holdback, drawn later
- $85,000
- LTV at closing
- 94%
- Loan to total cost
- 87%
- Loan to ARV
- 71%
- Down payment
- $20,250
- Lender points
- $7,695
- Placement fee (your assumption)
- $3,848
- Title, settlement & recording
- $3,840
- Appraisal, legal, doc prep
- $2,500
- Prepaid insurance & taxes
- $3,500
- Cash to close
- $41,633
- First draw, funded by you
- $21,250
- Total cash into the project
- $62,883
- Liquid reserves to show
- $19,238
- Total project cost
- $443,495
- Net sale proceeds
- $502,200
- Projected profit
- $58,705
- Return on cash in
- 93%
- Equity multiple
- 1.93×
- 70% rule — 70% of ARV less rehab
- $293,000
- Price that still returns 45% on cash
- $346,000
- Price that still nets $64,800 — 12% of ARV
- $314,000
- Average of the three
- $318,000
Total cost is binding. At 95% of a $405,000 cost basis the loan caps at $384,750. This is why 100% of purchase does not mean nothing out of pocket — the advance percentages allow $405,000, but the overall loan-to-cost ceiling pulls it back. The difference is your equity.
$41,633 at the table, $62,883 into the project. The difference is the $21,250 first draw — you pay the contractor, an inspector verifies the work, and the lender reimburses you afterwards. On a 4-draw schedule that is 25% of the rehab budget funded before the first reimbursement.
At $320,000 you are $2,000 above the three benchmarks. The 70% rule ignores your actual financing and is the crudest of the three; the two return-based numbers use the loan terms and fees entered above. They disagree because they answer different questions — the rule asks what the market pays, the return numbers ask what this capital stack can carry.
Your $17,113 of interest is held back from the loan. Nothing to pay monthly and nothing at the table — but it is not free: it reduces what you actually receive, and it is already counted in the project cost above. Switch the reserve setting to see how the same deal feels when a lender makes you fund it or pay it monthly instead.
Plus $19,238 you must have, not spend. Most lenders verify liquid reserves at closing — commonly a few months of interest sitting in the bank. It is verified at closing and is separate from cash to close.
Illustrative arithmetic only. Not an offer of credit, a pre-qualification, a commitment to lend, or an appraisal of value. Financing costs are your own assumption — lender points and our placement fee are quoted per deal, disclosed in writing on every term sheet, and never guessed at here. Interest carried over the hold is not included.
Get real term sheetsSpeed to close.
Published close times range from 10 to 21 days across our panel. Actual times move month to month with each lender's volume and appraisal capacity. A contract with a hard close date is priced against the actual figure, not the published one.
Close times, leverage tiers and credit boxes are re-verified on each capital source at least every 45 days, and every quote carries the date its guidelines were last confirmed.