Park City, UT Fix and Flip

The Opportunity

Experienced Utah investors who focus on high-end builds and fix and flips found the opportunity to purchase a luxury Park City home from the homeowners. They were able to negotiate a purchase price hundreds of thousands of dollars below the original listing number, setting themselves up for significant profit when the flip was completed.

To make the numbers work, they needed to find financing with high loan-to-cost leverage from a lender that recognized the ultimate potential of the flip. They had worked with Lima One before on a successful flip project and reached out to see what options were available.

The Solution

During underwriting, Lima One analyzed the investors’ successful history, both at Lima One and overall, and credited that experience to unlock higher leverage on the fix and flip loan. This enabled the investor to get a $2.3 million loan that covered 84% of the costs of the property plus construction budget. The loan closed on an efficient timeline, giving the investors the funds they needed to take down the property and complete rehab so that they could achieve their planned $4M sale price.

Because of their savvy acquisition and flipping expertise, the investors created the opportunity for significant profit. Financing was the piece that unlocked this potential, and Lima One’s common-sense underwriting that enabled higher leverage was just what the investors needed. Now these Utah investors are primed for a big profit on this beautiful Park City property.