Hard money, fix and flip and DSCR loans in Atlanta: your questions answered

It is a mortgage on an investment property that is funded by private institutional investors, not a bank. The decision is based on the property and the deal: its value after renovation or construction, or whether its rent covers the payment. Your job history and debt-to-income ratio are not reviewed.

Atlanta Fix and Flip Loans is the Atlanta division of Optimus Capital Corp, a nationwide hard money lender that works only with real estate investors. It is run by Andrew Shanti, Senior Vice President, who has worked in lending and real estate since 2005.

Across metro Atlanta: Atlanta, Decatur, East Point, College Park, Marietta, Smyrna, Lawrenceville, Stone Mountain and the cities around them in Fulton, DeKalb, Cobb, Gwinnett, Clayton and Henry counties. Through Optimus Capital Corp we also lend in other states.

Fix and flip loans, DSCR loans for rental property, ground-up construction loans, mid-rehab and completion loans, rental portfolio loans, and commercial loans on multifamily, hospitality, office, industrial and retail property.

Choose a lender that funds most of the purchase and all of the renovation, pays draws promptly, and underwrites crawl space and termite work, insurance and Georgia property taxes realistically. We lend up to 90% of the purchase and 100% of the rehab on terms of 6 to 24 months. See investment property loans in Atlanta.

It means the borrower will not live in the property. Flips, rentals and new builds for sale are non-owner-occupied, and they are financed with business-purpose loans. Every loan we make is on non-owner-occupied property.

No. We lend on investment property only. The exception is commercial property occupied by the owner’s business. For a primary residence, a conventional NMLS-licensed mortgage broker is the right place to go.

As a rule, no, except on large commercial loans. The one cost before closing on most loans is the appraisal, which you pay to the appraisal company.

Programs begin at a 600 score. Fix and flip loans start at 600 with reduced leverage, while the best terms, 90% of purchase and 100% of rehab, are for scores of 720 or higher. Rental loans are available at 600 with up to 70% loan-to-value.

No. We look at three things: enough cash to buy and carry the property, a property that can cover its payment now or once the work is finished, and a credit record that shows debts are paid on time.

No. These are business-purpose loans and are not reported on personal credit like a conventional mortgage.

As many as your deals support. There is no limit on the number of properties we will finance for one investor.

Yes. We will need the articles of organization, the IRS EIN letter, a signed operating agreement showing each member’s share and, if the LLC is over a year old, a certificate of existence from the Georgia Secretary of State.

Georgia’s transfer tax is $1 per $1,000 of price, customarily paid by the seller. A long-term mortgage note adds intangible recording tax of $1.50 per $500 of the loan, up to $25,000, while short-term notes such as most flip loans are generally exempt. Georgia closings are conducted by a closing attorney, who also handles the title work.

A DSCR loan is approved on the debt service coverage ratio: the rent divided by the full monthly payment. We prefer 1.0 or higher. Strong borrowers can qualify below 1.0 with lower leverage, and a no-DSCR program exists at a higher rate.

In the City of Atlanta, renting for less than 30 days needs a short-term rental license, and a license is available only for the owner’s primary residence and one additional unit, so an out-of-town investor generally cannot license a house in the city. Operators must also collect hotel-motel tax. Suburban cities and counties set their own permit rules, and many homeowners associations ban short stays. We underwrite on long-term rent unless the address can legally host short stays.

Georgia taxes real estate on 40% of its fair market value, and combined millage rates in Fulton and DeKalb counties often work out to about 1.3% to 1.8% of market value. Investment property gets no homestead exemption and no cap on yearly increases. The county reassesses each year, and a recent sale price usually becomes the new value. Plan on taxes at full market value, not the seller’s bill.

Georgia law bars cities and counties from adopting rent control, so rents follow the market. Since 2024, the state’s Safe at Home Act requires rentals to be fit for living, caps security deposits at two months’ rent and requires three business days’ written notice before an eviction for nonpayment.

Atlanta’s tree protection ordinance requires a permit to remove most trees on private property, with replanting or fees to the city’s tree fund for trees you take down. On a new build or a large addition, price the tree plan into the budget and the schedule.

Many older Atlanta houses sit on crawl spaces over red clay, so moisture, sagging floor framing, wood rot and termites are common findings. Get a full inspection and a termite letter before you set the rehab budget.

Yes, through our rental loan programs.

Fix and flip loans average up to 21 days and can close in about 7 days when title and insurance are ready. Rental and DSCR loans take about 30 days, appraisal included.

In Georgia, a closing attorney conducts the closing and handles the title work. Have yours chosen when you apply.

The minimum is $75,000. The maximum is more than $10 million.

From 6 months to 30 years. Fix and flip loans are 6 to 24 months with interest-only payments. Rental loans are fixed for 5 to 30 years.

Not on fix and flip loans. Rental loans come with a 3-year or 5-year prepayment penalty, the 5-year usually priced about 0.25 to 0.5% lower, or with no penalty at a higher rate.