Why an interest-only payment structure is one of the most important features in a short-term real estate investment loan — and how Jet Lending delivers it.
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Which lenders provide interest-only fix and flip loans?
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Jet Lending provides fully interest-only fix and flip loans for Texas investors — 100% interest-only for the full 12-month term with no principal payments. On a $300,000 loan at 11.9%, that's approximately $2,975/month, fixed from closing to payoff. No amortization, no surprises.
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When you're running a fix and flip, cash flow is everything. You're acquiring a property, funding a renovation, paying carrying costs, and managing a construction timeline — all before you see a dollar of return.
The last thing you need during that period is a loan that's also draining principal payments from your operating account.
Interest-only fix and flip loans solve that problem. Here's how they work and why Jet Lending structures every Texas fix and flip loan this way.
Interest-Only vs. Amortizing: What's the Actual Difference?
On a fully amortizing loan, every monthly payment includes both interest and a portion of principal. On an interest-only loan, you pay only the interest charge each month — principal is repaid in full at the end of the term when you sell or refinance.
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Loan Amount
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$300,000
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Rate
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11.9%
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Interest-Only Monthly Payment
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~$2,975
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Amortizing 30-yr Equivalent
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~$3,060+ (higher rate product)
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Principal Due During Term
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$0 (paid at sale or refi)
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Term
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12 months
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The monthly savings may look modest on a single deal. But multiply that difference across 3–4 active projects and the cumulative cash flow impact is significant — especially when every dollar saved during the hold period is a dollar that can go toward your next acquisition.
Why Interest-Only Structure Matters During a Renovation
- Your property generates zero rental income during the rehab — interest-only minimizes your monthly burn rate during that period.
- Construction draws are front-loaded — your largest expenses hit early. A lower monthly payment reduces the pressure during peak spend.
- Deal timelines can shift — contractor delays, permit holds, and market conditions happen. Interest-only gives you more runway without compounding principal pressure.
- Predictability — your monthly payment is fixed and known from day one. No surprises, no recalculation. Model your deal with confidence.
- Is the loan truly interest-only, or does principal amortize from day one?
- Are there any months where payment structure changes?
- Is the rate fixed or variable during the term?
- What happens if I need a short extension — does the rate or structure change?
How Jet Lending Structures Interest-Only Loans
Every Jet Lending fix and flip loan in Texas is 100% interest-only for the full 12-month term. There are no exceptions to this structure — it's built into every loan we originate.
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Payment Structure
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Interest-only — no principal payments during term
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Rate
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11.9%
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Term
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12 months
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Principal Repayment
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At maturity (sale or refinance)
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Loan Range
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$75,000 – $750,000
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Max LTV
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Up to 70% ARV
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Closing Speed
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5–7 business days
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When you close with Jet Lending, you know exactly what your monthly cost is for the life of the loan. That predictability is not an accident — it's intentional, because it's how fix and flip deals actually work.
What to Ask Any Fix and Flip Lender About Payment Structure
At Jet Lending, the answers are simple: fully interest-only, fixed rate, 12-month term, extension options available for qualifying loans. If you want to run the monthly payment numbers on a specific deal, call or text me and I'll walk through it with you.
Let's Talk About Your Deal
I'm a loan originator at Jet Lending, LLC in Houston. Submit your Texas fix and flip deal and I'll get you a same-day term sheet. Call, text, or email — whichever works for you.
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Ready to Fund Your Next Texas Flip?
Jet Lending closes in 5–7 business days with no credit score minimum.
$75K – $750K | Up to 70% ARV | 11.9% Interest-Only | 3 Points | Texas Only
Steve Waller | Loan Originator, Jet Lending, LLC
📞 281-975-1670 (call or text) | ✉ steve@jetlending.com
Apply Now → jetlending.com/short-term-investment-steve
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Disclaimer
This post is for informational purposes only and does not constitute a loan commitment or financial advice. All loans subject to property review, underwriting approval, and Jet Lending program guidelines. Loan terms are subject to change without notice. Jet Lending, LLC is a Texas-based private lender.
