LX Financial invests in, and arranges loans for, 1-4 family Fix & Flip, REO projects. We are interested in partnering with capable developers, usually without taking ownership. Instead we secure our investment - plus a pre-determined profit share - with a mortgage. Our investment is then repaid with our profit share (plus interest if any) when the property is sold or re-financed. This allows developers to manage the project independently (with our support), and maximize profits.

We help developers be the succesful bidder for liquidated properties, and support the rehab and marketing process of the renovated property. We also assist with bank financing of the re-sale, or re-finance if the property is retained as an investment. Please note that LX Financial is an investor - not a mortgage lender, or realtor.

Investment terms
Our investment terms depend on the project viability and developer background. Credit and income history are relevant but are not disqualifyers. We will fund as much as 100% of hard cost (purchase price and rehab cost) of highly profitable investments. Feel free to submit a quote request for a scenario you have in mind, even if your plans are little more than just an idea at this point.


The biggest obstacle for developers of 1-4 unit REO properties is the exit.
The sales process can be lengthy and the outcome uncertain. You need to find a buyer in a weak market, price reductions may be needed, and then there is the mortgage and closing process. We have seen project times of 9 months and longer, seriously eroding developer profits. Most developers want/need to sell to cash out, and move on to the next project. We recommend you consider an alternate strategy...

Best to convert properties to long-term rentals, and use the (newly created) equity in all properties with bridge rehab loans. To take advantage of this, the strategy is as follows: 

    1. Rehab, and rent the property. You can still sell the property at any time. 
    2. Request bridge funding the as soon as you have the next project(s) either on the radar, or under contract.


Process and timeline
We can close in 2 weeks, less even. It depends on how fast we get all the supporting documentation. Our turn times are 24 hours for items 1, 2, 3 below - and all subsequent documentation submitted.