If you’re pricing out a fix and flip project right now, here’s the honest number: most investors are borrowing at 9.5% to 13% on hard money in mid-2026, plus 1.5 to 3 origination points upfront. Strong borrowers with established track records and clean files are landing below 10%. First-time flippers or deals with higher leverage push toward 12–14%.
The rate range sounds wide because it is. Your specific position within it comes down to a handful of underwriting variables — and most of them are in your control.
What Are Fix and Flip Hard Money Rates Right Now?
The table below captures the current fix and flip hard money rates by borrower profile in mid-2026:
| Borrower Profile | Typical Rate | Origination Points |
|---|---|---|
| Experienced (5+ flips, 740+ credit, ≤65% LTC) | 8.5%–9.5% | 1.5–2 |
| Intermediate (2–4 flips, 680–740 credit, 70–75% LTC) | 10%–11.5% | 2–2.5 |
| First-time or high-leverage (≤720 credit, 80–85% LTC) | 11.5%–13%+ | 2.5–3 |
Most programs are interest-only for the full term, which runs 6–12 months. The balloon payment comes due at sale.
Fix and flip activity has stabilized after several years of compression. Per ATTOM’s Q1 2026 Home Flipping Report, flips accounted for 8% of home sales in Q1, with gross ROI ticking up to 25.4% — the first quarterly increase in seven quarters. There’s still a market; the math just requires discipline on the acquisition side.
Five Factors That Move Your Fix and Flip Rate
1. LTV and ARV leverage. Hard money lenders price heavily on your loan-to-ARV ratio. Borrow at 65% of after-repair value and you’re in a different tier than borrowing at 80%. Most programs cap at 70–75% of ARV or 85–90% of total project cost — and the lower your leverage, the better your rate.
2. Credit score. Asset-based doesn’t mean credit-blind. Most hard money programs want a minimum 620–640, but the pricing difference between a 680 and a 740 can be 100–150 basis points on the rate and half a point on fees. For a $350,000 loan over 9 months, that gap is real money.
3. Flipping experience. A verifiable portfolio of completed flips — purchase price, renovation budget, final sale price, timeline — reduces lender risk meaningfully. I’ve seen borrowers shave 50–100bps off their rate simply by presenting documented deal history instead of showing up with an idea and no track record.
4. Liquid reserves. Equity in other properties doesn’t count here. Lenders want accessible cash — 6–12 months of projected interest payments in a bank or brokerage account. Demonstrated reserves reduce the probability of a mid-project default, and lenders price that directly into the rate.
5. How you approach the market. Borrowers who work through a broker often reach lenders that don’t advertise publicly and operate in tighter rate tiers. We work with a national hard money and bridge lender network, and the pricing we access is frequently 50–100bps tighter than what’s available on direct-to-consumer platforms. Shopping matters.
The Real All-In Cost: Rate Plus Points
The interest rate is only part of the number. Here’s a concrete example:
- Loan amount: $300,000
- Rate: 10.5%
- Term: 9 months
- Origination: 2 points
Monthly interest: $300,000 × 10.5% ÷ 12 = $2,625/month
Total interest (9 months): $23,625
Origination fee (2 points): $6,000
Total financing cost: ~$29,625
That $29,625 comes off the profit side before renovation cost overruns, holding costs, or agent commissions. Know this number before you write the offer.
From a recent deal: I placed a fix and flip loan for an investor working a dated colonial in the Atlanta suburbs — purchase at $275,000, rehab budget of $65,000, ARV at $440,000. The borrower had three prior completed flips, a 710 credit score, and two months of reserves. We got the deal done at 10.25% with 2 points and closed in 11 days. He held 8 months before selling — total financing cost came in just over $25,000 all-in.
Looking at a fix and flip project? We structure these deals nationally. Schedule a 15-minute call →
Where Hard Money Rates Sit in Mid-2026
The 10-year Treasury is hovering near 4.60% as of mid-2026, and the Federal Reserve held its benchmark at 3.50–3.75% at its June meeting. Hard money rates don’t move in lockstep with Treasuries — they’re priced more on lender capital supply, deal risk, and borrower profile — but the overall environment has kept these programs in the 8.5–14% band for most of the year.
The Mortgage Bankers Association projects total commercial and multifamily originations to reach $805 billion in 2026, up 27% from 2025. Capital is flowing — which means lender competition is real and rates have stabilized rather than climbed further.
For pro forma purposes, use 10.5–11.5% as a conservative mid-market assumption for a straightforward residential flip, plus 2 points. Then stress-test the scenario with a 3-month extension on the hold period. If the deal still works at 12 months of carry instead of 9, you have margin to absorb reality.
For investors planning to hold after renovation rather than sell, the exit is typically a refinance into a long-term DSCR loan. Read more on how bridge-to-DSCR works and the timing considerations.
What to Prepare Before You Apply
Before submitting a deal, have these ready:
- Purchase contract or letter of intent
- Detailed scope of work and line-item rehab budget
- Comparable sales supporting your ARV estimate
- Portfolio of prior completed flips (purchase price, sale price, timeline)
- Bank or brokerage statements showing liquid reserves
The more complete your package, the faster you close. In competitive markets, days matter. See the full breakdown in our fix and flip loan requirements guide for what lenders actually look at line by line.
Frequently Asked Questions
What credit score do I need for a fix and flip hard money loan?
Most programs have a minimum of 620–640, though you’ll see meaningfully better pricing above 700. A 740+ credit score can lower your rate by 100–150bps and reduce origination points on the same deal.
Can I get a fix and flip loan as a first-time investor?
Yes, but the terms reflect the higher risk. Expect rates at the top of the market range (11.5–13%+) and origination fees of 2.5–3 points. Keeping LTC below 80% helps offset the experience gap. See our fix and flip guide for first-time investors for what to expect.
How are fix and flip hard money rates different from DSCR loan rates?
Hard money rates run significantly higher because they’re short-term, higher-risk, and underwritten on future property value rather than current cash flow. DSCR loans are long-term buy-and-hold products priced closer to conventional financing. We break down the full comparison in our hard money vs. DSCR loan guide.
Ready to Finance Your Fix and Flip?
We work with a national network of hard money and bridge lenders across residential and small commercial fix and flip programs. Send us your scenario — purchase price, rehab budget, ARV — and we’ll respond within one business day with realistic terms.
This article is for informational purposes only and does not constitute financial, legal, or tax advice. Loan terms, rates, and availability vary by borrower, property, and market conditions. Consult Willowbrook Capital for scenario-specific guidance.
