With a fix and flip loan, real estate investors have the funding to purchase, renovate, and sell a property for a profit. The loan is designed to provide funding for the purchase of distressed or undervalued properties, and for the necessary repairs and upgrades to make the property more attractive to buyers.

The typical process for a Fix and Flip loan involves the borrower finding a property that they believe has potential for a profit, securing financing to purchase the property, and then using the funds to renovate and improve the property. The property is then listed for sale, and once it is sold, the borrower repays the loan and keeps the profits from the sale.

Fix and Flip loans are generally short-term loans, with repayment terms ranging from six months to two years. The interest rates for these loans are often higher than traditional mortgage rates, reflecting the higher risk and shorter term nature of the loan.