Credit requirements for fix and flip loans are more flexible than conventional financing, but they do vary by lender. Here is what most California fix and flip lenders expect.

Typical Credit Requirements

• Most fix and flip lenders require a minimum FICO of 620–660
• Some lenders will consider borrowers below 620 with compensating factors (strong deal, significant down payment, experienced investor)
• Better credit typically translates to better LTV and lower rates, even in the hard money space

Credit Events

Fix and flip lenders are generally more tolerant of credit events than conventional lenders. Borrowers with a prior bankruptcy or foreclosure may still qualify, particularly if the event is seasoned (1–2+ years) and the current credit profile is improving.

What Matters More Than Credit

For fix and flip loans, lenders weight the following heavily alongside credit:

• The deal quality — purchase price vs. ARV, renovation budget vs. scope
• Borrower experience — track record of completed projects
• Exit strategy — how and when the loan will be repaid
• Down payment and skin in the game

Entity Borrowers

If borrowing in an LLC, the lender will typically pull the personal credit of the guarantor(s). Strong personal credit from the guarantor can compensate for a thin entity credit profile.