Fix & Flip
Fix & Flip Loan Calculator: LTC, ARV, and Rehab Draws
Estimate the lower of LTC and after-repair-value financing limits, and understand why a rehab holdback differs from initial funding.
A project estimate compares eligible cost and after-repair value. The lower of the entered LTC and ARV limits is a starting estimate before other underwriting limits, fees, and draw requirements.
Estimate Project Financing
Enter purchase price, budget, and ARV to compare the limits.
Illustration only. Other eligibility limits, fees, reserves, appraisal, and underwriting may reduce proceeds. Rehab draws are not all available at closing.
How the estimate works
Eligible cost in this calculator is purchase price plus rehab budget. Multiply it by the entered LTC limit, then multiply ARV by the entered ARV limit. Compare the two results. For a $200,000 purchase, $50,000 rehab, and $350,000 ARV, 90% LTC gives $225,000 and 75% ARV gives $262,500; the lower estimate is $225,000.
Initial funding is different from the total loan
A total loan may include rehab funds held back for later draws. If $50,000 is held back from a $225,000 loan, the simplified initial amount is $175,000 before other reserves, fees, and adjustments. Confirm the actual closing advance and draw schedule with the lender.
Draws and project cash flow
Ask which work is reimbursed, whether inspections are needed, how requests are documented, and which costs must be paid before reimbursement. This calculator does not estimate cash to close, profit, or approval.