Looking to flip properties but concerned about your credit history affecting loan approval?
A fix-and-flip loan is designed for real estate investors looking to purchase, renovate, and sell properties for a profit. But if your credit score is less than ideal, finding a loan without a credit check can help.
Our team has analyzed and found the best fix-and-flip loans with no credit check. Read on to explore your options and learn the ins and outs of no-credit-check fix-and-flip loans.
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Do you need a no-credit-check fix-and-flip loan?
Standard fix-and-flip loans require a minimum FICO credit score between 620 and 680. Many lenders use your personal credit score to determine approval, but they may look at your business credit score if you have an established flipping business.
If you don’t meet traditional lending requirements—perhaps because of a low credit score, a short credit history, or recent financial issues, such as bankruptcy or foreclosure—you might consider a no-credit-check loan.
- No credit check means the lender doesn’t review your credit history at all.
- Soft credit checks give a lender a high-level view of your creditworthiness without affecting your credit score.
- Hard credit checks involve a thorough review and can lower your credit score by a few points.
Some fix-and-flip lenders do not check borrowers’ credit. Others have no minimum credit score requirements but still run a soft or hard credit check during the application process. In both cases, they base approval on the value of your property instead of your credit score.
Opting for one of these lenders means you’ll pay higher interest rates and fees to offset the increased risk they take by not assessing your creditworthiness. Be sure you understand these risks.
The best borrowers for no-credit-check fix-and-flip loans are investors who can’t qualify for traditional financing due to credit issues but possess the expertise to quickly renovate and sell properties at a profit.
If you’re in this group, have a solid investment opportunity, and understand the costs and risks involved, a no-credit-check loan could be a viable option. But if you can improve your credit score or find alternative funding sources, you might secure better loan terms elsewhere.
Where to find fix-and-flip loans with no credit check
To help you find the best fix-and-flip loan for your needs, we’ve rounded up four options to consider. This list includes lenders that require no credit check for approval and those that conduct a soft credit check.
A soft credit check is a screening of your credit report that doesn’t lower your credit score. This is opposed to a hard credit inquiry, which can hurt your credit score. You can click the lender’s name in the table below to jump to more about its no-credit-check loans, or keep reading for the details about all four.
| Lender | Min. credit score | Rates (APR)* | Loan amt. |
| New Silver | 650 | 10% – 12.75% | Up to $5M |
| Constitution Lending | None | As low as 7.95% | $50K – $5M |
| QuickLine Capital Partners | 620 | Not disclosed | 100% of rehab |
| OnDeck | 625 | Not disclosed | $5K – $250K |
New Silver
- Conducts a soft credit inquiry when you apply for a fix-and-flip loan
- Flexible loan terms and conditions
- Considered trustworthy and user-friendly
New Silver is known for its hassle-free loan application process. It conducts a soft credit inquiry, but this won’t affect your credit score. New Silver requires a fair FICO credit score of 650. The company offers various loan products tailored to meet the specific needs of house-flipping businesses.
Its terms include an origination fee starting at 1.875%, up to 24 months to repay the loan, and the ability to rehab property types, including residential one-to-12-unit residences, condos, and townhomes. If you’re approved, New Silver will provide an instant proof of funds letter, interest-only payments, discounts for repeat borrowers, and borrower incentives such as a $500 credit at closing.
Constitution Lending
- Does not conduct a credit check
- Flexible underwriting guidelines
- Familiar with the local real estate market
Constitution Lending stands out as a no-credit-check lender for real estate investors, offering flexibility to accommodate various financial situations. You’ll find its familiarity with local markets and understanding of real estate dynamics advantageous.
Constitution offers borrowers repayment options, including interest-only and balloon, where the full amount is due at once. Underwriting and approval are based solely on your property value without checking your credit report or debt-to-income ratio. The lender advertises closings in five to 14 days, and you can borrow money for single-family, multifamily, or a portfolio of real estate.
Quickline Capital Partners
- No credit check required for loan approval
- Personalized loan solutions
- Quick lending process
Quickline Capital Partners stands out with its no-credit-check policy, catering to those with a less-than-perfect credit record. However, its website states that it requires a 620 FICO credit score. It maintains a reputation for providing reliable and timely financial solutions.
It loans to investors who want to flip single-family houses, two-to-four-unit residences, condos, townhouses, and multifamily units. Quickline loans aren’t available in the following seven states: Alaska, Arizona, Minnesota, Nevada, North Dakota, South Dakota, or Vermont.
OnDeck
- Soft credit inquiry during application
- Known for quick approvals and disbursements
- Comprehensive customer support
Offering one of the most efficient services, OnDeck can be a solid choice for people who need quick funding for their fix-and-flip needs. Its transparent and responsive customer service fosters confidence.
You can make daily or weekly payments with a repayment term of up to 24 months. OnDeck requires at least a FICO credit score of 625, one year in business, $100,000 annual revenue, and a business checking account.
How to apply for a no-credit-check fix-and-flip loan
Applying for a no-credit-check fix-and-flip loan often requires less paperwork than traditional financing. Here’s what you need to know:
- Find the lender you want to apply with. Look for lenders that specialize in no-credit-check loans for fix-and-flip projects. These could include online lenders, hard money lenders, or private investors.
- Fill out the application form on the website. Many lenders allow you to complete the application process online. But some may require a quick call with an underwriter before you can apply.
- Submit requested documentation. You likely won’t need income verification documents, such as tax returns or W-2s. But you may still need to show purchase and sale agreements or an exit strategy outlining the changes you plan to make.
- Understand the terms. Make sure you understand the loan’s terms, including interest rates, fees, and repayment terms. These loans often come with higher interest rates and shorter repayment periods due to increased lender risk.
- Await approval. The approval and funding process for no-credit-check loans varies. But it can be as soon as one day, depending on the lender.
Pros and cons of no-credit-check fix-and-flip loans
No-credit-check fix-and-flip loans can be a valuable tool for real estate investors facing credit challenges. But consider the pros and cons before you agree.
Pros
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Easier eligibility requirements.
With no-credit-check fix-and-flip loans, you don’t need a high credit score to qualify. This opens up the door for all types of flippers to apply, including those with bad credit or no credit.
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Faster approval times.
Expect quicker approval than traditional bank loans. The lenders focus on the property’s potential rather than your credit history, so the process moves faster. This is helpful for time-sensitive deals.
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Flexible loan terms.
Lenders often allow you to tailor fix-and-flip loans to your project’s timeline and budget. This can include interest-only payments with a balloon payment when you sell the property.
Cons
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Higher costs.
Be prepared for higher interest rates and additional fees. Lenders will charge more to offset the risk of not performing a credit check.
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Shorter repayment terms.
You’ll likely have 12 to 24 months to repay the loan, which can add pressure to complete your project. You could run into challenges if you encounter unexpected renovation issues or a slow real estate market.
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Dependent on the property
Approval and loan terms depend on the property’s potential value post-renovation. If your project doesn’t increase the property value as expected, you could lose money.
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Potential for predatory lending
Exercise caution and do your research when looking for no-credit-check fix-and-flip loans. Predatory lenders look to take advantage of borrowers with limited options due to their credit history.
Is getting a fix-and-flip loan with no credit check worth it?
A no-credit-check fix-and-flip loan can be a double-edged sword—you get the funding you need, but at what cost? Here’s how to determine whether it’s the right move for you:
| Consider applying if… | Reconsider applying if… |
| ✅ Your credit score is low | ❌ You have access to traditional financing options |
| ✅ You’ve found a property with high potential that requires quick action | ❌ The cost of borrowing outweighs the potential profit |
| ✅ You have a solid track record for flipping houses | ❌ You’re new to real estate investing |
| ✅ You can manage the higher costs and shorter repayment terms | ❌ The terms and fees aren’t transparent, or the deal seems too good to be true |
Consider applying if
- Your credit score is low. If your credit history is a barrier to traditional financing, a no-credit-check loan can provide the necessary capital to start or continue your real estate investment journey.
- You need to take quick action. No-credit-check loans have faster closing times, which can be ideal for securing a property in a competitive market.
- You have a solid track record. If you’ve flipped a few houses in the past—and you know what you’re doing—taking on a loan with higher costs may be less risky.
- You can manage the costs. It may be worth considering whether the numbers work out and you have a cushion for unexpected expenses—even after factoring in higher rates and fees.
Reconsider applying if
- You have access to traditional financing. Traditional fix-and-flip loans might offer better terms, so they’re worth exploring if you think you may qualify.
- Costs outweigh profit. Analyze the deal. If the borrowing costs reduce your profit margin, it might not be worth the risk.
- You lack experience. Real estate flipping involves more than just financing. Without experience or a solid plan, the project could become overwhelming.
- Questionable terms. Be wary of lenders not transparent about fees, rates, or terms. Predatory lending practices can turn an investment sour.
Our expert’s take
No-credit-check loans are the most expensive and least desirable loans. I would only recommend considering them if no other financing option is available.
Alternatives to fix-and-flip loans if you want to avoid a credit check
If you don’t think these fix-and-flip loans are the wisest move, explore these alternatives.
- Partner with someone. Collaborate with someone who has the financial resources and creditworthiness to secure financing. In return, you can offer your expertise in finding and managing property renovations. This approach spreads the risks and the rewards.
- Use a home equity line of credit (HELOC). If you already own property, a HELOC for bad credit might be a viable option. A credit check will apply, but it may be easier to qualify if you have decent equity and a good payment history.
- Look into seller financing. Some sellers may be open to financing the purchase themselves if they’re eager to sell or the property’s been on the market for a while. This eliminates traditional lenders from the equation, but you’ll need to negotiate terms with the seller.
- Try crowdfunding. You could use a real estate crowdfunding platform to raise small amounts of money from accredited investors to finance your next flip. These platforms connect you with eligible investors, so you don’t have to find them yourself.
FAQ
What is the minimum credit score required to qualify for a fix-and-flip loan?
Most lenders require a minimum credit score of 620 for a fix-and-flip loan. However, your exact requirements may vary depending on several factors, such as the loan amount, loan-to-value ratio, and the individual lender’s policies and guidelines.
What’s the difference between my individual credit score and that of my house-flipping business?
Your personal credit score represents your individual creditworthiness based on your credit history. Your house-flipping business credit score, if it exists, reflects the creditworthiness of the business entity. Both scores can affect your eligibility for loans, but a strong business credit score might tip the scales in your favor if your individual score is lacking.
Will I pay a higher interest rate if I get a loan without a credit check?
No-credit-check loans could come with higher interest rates because the lender takes on a higher risk by providing a loan without determining creditworthiness. However, the exact interest rate can vary based on your business plan, the condition of the property, and the overall real estate market conditions.
What happens if I can’t repay my no-credit-check fix-and-flip loan?
If you fail to repay a fix-and-flip loan, the lender has the right to take legal steps to recover its money. This often involves initiating foreclosure proceedings on the property under the loan. However, the exact repercussions depend on your loan agreement, so it’s important to understand these details upfront.