Fix & Flip Funding Secrets: How Smart Investors Get Approved Before the Deal

If you’re a new real estate investor or fix and flipper trying to figure out why you keep getting passed over on deals… this episode is for you.

In this episode of The Fast Flip Podcast - Mortgage Strategy In Minutes, we break down how to get pre-approved like a real investor and what lenders are actually looking for behind the scenes.

This isn’t the generic advice you hear online.

We’re talking real strategy:

•  How lenders evaluate your income and cash flow 
•  What your credit profile is really saying about you 
•  Why liquidity and reserves matter more than you think 
•  How the deal itself can make or break your approval 
•  And how to position yourself to move fast and win deals 

If you want to stop getting denied…
 stop losing deals…
 and start getting taken seriously as an investor—

This episode will change how you approach financing.

Ready to get pre-approved the right way and start closing deals?

👉 Apply now: www.HomeloansNetwork.com

👉 Schedule your 1-on-1 strategy session
👉 Or connect with me directly to structure your next deal

And if you’re serious about building your real estate business…

👉 Start generating more leads and deals with this tool:
https://carrot.com/?fpr=2775&fp_sid=assignor

This is one of the best platforms for investors who want to attract motivated sellers and scale consistently.

Finance smart, invest smarter…
and I’ll see you at the closing table.

Ebonie Beaco - Mortgage Strategist & Sr. Loan Officer 

Phone: 312-392-0664 | www.HomeLoansNetwork.com  

Home Loans Network Powered by Loan Factory (NMLS: #2389954)

Licensed in: Alabama, Arkansas, California, Florida, Georgia, Illinois, Indiana, Kentucky, Michigan, Missouri, Virginia

Transcript

SPEAKER_00 0:00

Welcome, welcome, welcome back to the Fast Flip Podcast Mortgage Strategy and Minutes. I am your host, Ebony Biko, Mortgage Strategist, and in this particular podcast, I'm going to be talking about something that separates the beginners from real players in this game when it comes to flipping. How to get pre-approved like an investor and what lenders actually look for. So let me ask you this: have you ever found a deal that checked all the boxes? Great price, strong numbers, solid location, but you still lost it. Not because the deal wasn't good, but because you wasn't positioned right. See, this is how most people are when it comes to asking, how can I get approved? Or why did I not get approved? Well, investors, here's the thing: they move different, right? A real estate investor moves different versus Joe who is trying to flip a property. Those are two different types of entities, DNAs, everything else. They breed differently. They move differently. They are already approved and they're asking how fast we can close. So what I'm going to do is break down exactly what lenders are really looking for so you can stop getting passed over and stop getting discouraged to the point that you're going to start getting the offers accepted. So, what the lenders are actually looking for. See, the first thing is you need to understand lenders are not just proving you, they are approving risk. They are asking, can this borrower execute? Does the deal make sense? And can we get our money back if something goes wrong? So, number one, they look at the income and cash flow. It's not just about having a job. They are looking for consistency, they're looking for reliable income and the cash flow to be, you know, a potential cash flow. This is where like your W-2 comes in at your business income, the bank statements, or rental income through the DSCR loans, meaning rental income from that particular property. So, say for an example, you may not make the most money, but if that property that you're purchasing has rental income coming in, that income can be used. So take that into consideration. If your income shows stability and scalability, then you instantly become a stronger borrower. Now, the other thing they look at is your credit profile. See, your credit tells the story of how you manage money, not just your score, but your behavior. So when it comes to the lenders, they're looking at the late pays, the credit usage, the overall credit history. This is where your DTI comes in at, which is the debt to income ratio. Strong investors don't just have good credit, but they have a clean and strategic credit profile. Now, let's talk about assets and liquidity. This is where deals get approved or denied. So we want to be able to see, like as a loan officer, and I'm working with my real estate investor, I'm already prepping up the deal so it can go to the lender, so it can go to the underwriter. So one of the things that I want to see is the cash reserves because I need the package to file up to go to the underwriter. I need to know that they have access to funds. So for an example, they can have stocks in 401ks and they can have$100,000 or$200,000 in there, but do they actually have access to it? Can they pull from it? Then the ability to close quickly. Hey, is this gonna be a hard money? If so, you know how soon? If this is gonna be going through a Chase Bank or a Bank of America, what the problem is they don't do hard money, so now it gets a little tricky because there are gonna be a lot of different underwriting guidelines and stipulation to the point that the deal may get actually denied. So knowing that they have um the ability to close quickly, whether it's true cash on hand or hard money, and they're working with a loan officer who does specialized and work with real estate investors. Um this is you know, this is this is what your lender is looking for, and this is what your seller is looking for. So, again, what's gonna set the self the um investor apart from a regular buyer is they have everything in line, in place. Investors don't move hoping the deal works, they actually move with buying power already in the door. Now, the deal itself is really important. Sometimes it's not just you, it's the deal. So sometimes your credit may not be the best or whatever, but if that's a really good deal, that's really important. So when it comes to the deal, you know, the lenders are analyzing the property conditions, the rental income potential, your exit strategy. If the numbers don't make sense, the deal is not gonna go anywhere. So, which means the deal is done because it's not gonna make sense. They also look at the speed of structure. This is the deal where real estate investors um have an advantage. So investors really have to make sure their documents are already ready. When you're working with the right loan officer, you know, we're gonna tell you what you need in advance, right? Before it actually goes to the underwriter. But most importantly, if you are a real estate investor, a lot of times they already know what's needed because they've done it so many times. So this is how I'm teaching you how to think like an actual real estate investor in the door to get your deals closed and funded much faster. Now, in addition to that, you know, when it comes to the investors, the investors, outside of having their documents ready, their strategy is clear. They know exactly what it is that they're gonna go ahead and do, their financing is already lined up. Because here's the thing in this market, the cleanest and fested deals always wins. The cleanest and fested deals can actually negotiate sometime a lower purchase price, but everything has to already be lined up and you have to have a strategy. So if you're serious about investing and you want to stop guessing and start getting approved like a real estate investor does, I want you to take the next action. And the next action is to go visit www.homeloansnetwork.com, schedule you a one-on-one um complimentary consultation call with me, or send me a direct message. I will help you structure your file the right way, position you for approvals, and get you ready to actually start winning deals. With that being said, getting pre-approved isn't just a step. It's your leverage, it's your power, and it's what gets you to the closing table. This is the Fast Flip Podcast Mortgage Strategy Amendments. I'm your host, Ebony D. Co. Mortgage Strategist. Finance smart, invest smarter, and guess what? I will see you at the closing table.