Hard Money loan and private money loan are terms used interchangeably in our industry. It simply means a loan that provides real estate financing where approval is based primarily on the value of the HARD asset (the property’s value) and the exit strategy, rather than traditional mortgage income documentation. These loans are often used by investors who need to move quickly—like fixing and flipping a property or bridging to long-term financing. At CV3, this is structured for non owner occupied, business purpose properties, with underwriting focused on the deal’s strength and your experience as an investor.
DSCR stands for Debt Service Coverage Ratio. It measures how well a property’s net operating income (NOI) covers its annual debt service (principal and interest payments). In simple terms: DSCR = Net Operating Income ÷ Annual Mortgage Payments A DSCR above 1.0 means the property is generating enough income to cover the payment; many lenders look for 1.1–1.25+ depending on the loan program and risk profile. DSCR loans allow CV3 to qualify investors primarily on property cash flow, not personal income.
In real estate, ARV (After Repair Value) is the projected market value of a property after all planned repairs and renovations are completed. Every serious fix & flip or BRRRR deal starts with ARV, because it determines: • How much you can pay for the property • How much you can spend on rehab • Whether the deal meets your profit or cash out goals CV3 structures fix & flip and bridge loans with ARV in mind so your capital stack is aligned with your exit. Think of it as your finished line value—what the property should fetch once you’ve completed the renovation plan that’s built into your loan. ARV is also a risk management tool: if the numbers don’t work at realistic ARVs, the deal may not be worth pursuing.
Foreclosure auctions are public sales where properties in default are sold—often to satisfy the outstanding loan. Bidders compete, and the highest qualified bid wins, subject to the auction’s rules. These auctions can offer discounted opportunities, but they demand fast decisions, strong capital, and comfort with risk.
To get a fix and flip loan: 1. Connect with a private lender like CV3 that specializes in rehab financing. 2. Share your deal details—purchase price, scope of work, ARV, timeline, and exit strategy. 3. Provide required documents (entity info, experience, credit profile, etc.). 4. Work with the lender to finalize terms, draw schedules, and closing logistics. CV3 offers short term bridge and fix & flip loans with options for up to 100% of rehab costs for qualified investors, designed to keep your liquidity focused on sourcing more deals.