Calling all Texas Lenders

I am looking for lender in Texas. I have a FICO of 725 can get traditional loan and have the down payment for it, but am looking for 100% loan (the LTV on the ARV will only be 70%) Here is the deal. Have a property under contract for $55K needs 30K work and have a true bona fide 3rd party appraisal says its worth $120K when I am done…Does anyone know of a lender that will do a 100% based on the fact that I am only trying to get the $85K needed for purchase and fix up cost. Thats a 70% LTV…Thanks

Steve Pittman


What you are looking for is very common. This is a rehab loan.

Conventional lenders will offer these up to about 80%. They require no money down as the equity is there.
The loans take about 3.5-4.5 weeks as the process requires a credit, income, and asset review as well as a project review. The loan is called a construction to perm which means that once the rehab work is completed, the loan will modify into permanent financing such as an ARM or fixed rate.

On the other hand there are hard money loans. These are quick and very easy to qualify. The loan is short term so the property would need to be sold or refinanced within 6 months. This type of financing is a bit more expensive on loan amounts over $125,000.

Either way, what you are looking to do can be accomplished. Contact a mortgage consultant who specializes in investment properties for more information.


Will you be acting as the general contractor on this rehab, or will you be working with a contractor? In Texas there is a big difference between the two. If you are acting as your own contractor then it is difficult to get 100% financing on a rehab or a construction loan because many lenders view it as a cash-out. I am a Dallas based lender with much experience in rehab and new construction loans.