IL Market
Bridge, Flip & Construction
Loans in Illinois
Bridge, fix & flip, construction, renovation and DSCR loans for investors buying in Illinois, from the US or abroad, on the same terms. $1M to $5M. Foreign nationals welcome.
Passy Capital finances real estate investors who buy, renovate and build residential investment property in Illinois, with most of our activity in Chicago and its inner suburbs: bridge loans, fix & flip loans and ground-up construction loans from $1M to $5M, with renovation and DSCR financing for the hold. Two-flats, three-flats and small apartment buildings bought to renovate are the deals we see most, along with new single-family and 2-4 unit product on city lots.
We lend to Illinois operators and to investors buying from abroad on the same terms. A non-US investor borrows through a US LLC, with no US credit history and no Social Security number required, and the loan is underwritten on the property and the business plan.
Term sheets go out in 24-48 hours and a clean file closes in about two weeks. Leverage runs up to 90% of cost on fix & flip and renovation, up to 85% of cost on ground-up construction, and up to 80% of value on bridge and DSCR loans. Business-purpose lending only, on non-owner-occupied property. Larger commercial deals are placed through our capital-partner network.
Illinois Market Highlights
Two-Flat and Three-Flat Stock
Small brick multi-unit buildings are Chicago's core flip, renovation and buy-and-hold product, and they sit inside our 2-4 unit and small multifamily lending.
Judicial Foreclosure
Foreclosure runs through the circuit courts, with a redemption period and a court-confirmed judicial sale.
State Transfer Tax
50 cents per $500 of value, also charged on transfers of a controlling interest in a property-owning entity (35 ILCS 200/31-10).
Chicago Transfer Tax
$3.75 per $500 paid by the buyer, plus $1.50 per $500 for the CTA paid by the seller. Budget both on a flip.
No Homeowner Exemption for Investors
Cook County's homeowner exemption applies only to owner-occupants. Underwrite the full tax bill on a hold.
Same Terms From Abroad
Foreign nationals borrow through a US LLC with no US credit history and no foreign-national premium.
Cities We Serve
Chicago
Evanston
Oak Park
Skokie
Berwyn
Cicero
Forest Park
Naperville
Schaumburg
Aurora
Elgin
Joliet
Property Types We Finance
Single-Family
Two-Flats & Three-Flats
2-4 Units
Condos & Townhomes
Small Multifamily (5-9)
New Construction
Build-to-Rent
SFR Portfolios
Loan Programs
Bridge Loans
Buy, refinance or cash out an investment property, closing in about two weeks.
Construction
Ground-up spec homes and build-to-rent, with draws tied to milestones.
Renovation / Rehab
Rehab financing on 1-4 unit and small multifamily, drawn against completed work.
Fix & Flip
Purchase and rehab in one loan for 1-4 unit flips, closing in about two weeks.
DSCR / Rental
Long-term rental financing based on property cash flow.
Other US Markets
We finance investment property for US and foreign investors in other markets too.
FL
Florida →
No-tax growth market, Miami, Orlando, Tampa
TX
Texas →
Population boom, Dallas, Houston, Austin
CA
California →
Spec builds and flips, Los Angeles, Bay Area, San Diego
NY
New York →
1-4 unit and small multifamily, NYC, Brooklyn, Long Island
AZ
Arizona →
Flips and build-to-rent, Phoenix, Scottsdale, Tucson
GA
Georgia →
Flips and spec builds, Atlanta metro
TN
Tennessee →
Build-to-rent and rentals, Nashville, Memphis
NC
North Carolina →
Spec builds and flips, Charlotte, Raleigh
CO
Colorado →
Flips, infill and rentals, Denver metro
OH
Ohio →
Flips and buy-and-hold, Columbus
WA
Washington →
Infill and middle housing, Seattle
VA
Virginia →
Flips and rentals, Richmond
SC
South Carolina →
Flips and coastal rentals, Charleston
MT
Montana →
Higher-price builds and rentals, Bozeman
NJ
New Jersey →
Flips and small multifamily, Jersey City, Newark
PA
Pennsylvania →
Rehabs and flips, Philadelphia, Pittsburgh
MO
Missouri →
Flips and rentals, St. Louis, Kansas City
Have a deal in Illinois?
Submit your deal in 2 minutes. We'll review it and get back to you within 24 hours with financing options.
Submit a DealWhat is specific about lending in Illinois
- Judicial foreclosure. Illinois forecloses only through the circuit courts. The lender files suit, obtains a judgment, and the property is sold at a judicial sale that the court must confirm. The statute also sets a redemption period that must run before the sale can take place. Distressed property reaches the market on a court timeline, which matters if you source inventory from foreclosure.
- State and county transfer tax. The state real estate transfer tax is 50 cents per $500 of value (35 ILCS 200/31-10). It also applies to the transfer of a controlling interest in an entity that owns Illinois real estate, which is worth knowing when property is held in an LLC. Cook County and Lake County each add 25 cents per $500.
- Chicago adds its own transfer tax. In Chicago, the city's real property transfer tax is $3.75 per $500 of price, paid by the buyer, plus a $1.50 per $500 portion for the CTA, paid by the seller. On a flip you pay the first going in and the second going out, so budget both alongside the state and county stamps.
- Cook County taxes investment property on the full bill. Cook County's homeowner exemption is limited to owner-occupants, so an investor's tax bill does not carry it. Single-family homes, condos and buildings of six units or fewer are assessed as Class 2 residential at 10% of market value. We underwrite a hold on the full bill, not on the seller's.
- Two-flats and three-flats. Chicago's neighborhoods are built on small brick multi-unit buildings. A two-flat bought tired, renovated, then sold or leased unit by unit fits our 2-4 unit and renovation lending, and a DSCR loan can take out the bridge once the units are rented.
Buying in Illinois from outside the US:
Frequently asked questions
What do you finance in Illinois?
Bridge loans, fix & flip loans and ground-up construction loans, plus renovation loans and DSCR loans as the hold or exit. Property types are single-family, two-flats, three-flats and other 2-4 unit buildings, condos and townhomes, small multifamily up to 9 units, build-to-rent and SFR portfolios. Loans run from $1M to $5M, business-purpose only.
How much leverage is available on an Illinois flip or renovation?
Up to 90% of cost on fix & flip and renovation, up to 85% of cost on ground-up construction, and up to 80% of value on bridge and DSCR loans. The fee is 1-2% of the loan, paid at closing, with no upfront fees.
Can a foreign national finance Illinois investment property?
Yes. The loan is made to your US LLC and underwritten on the property and the business plan, not on a US credit history, so a non-resident borrows on the same terms as a US investor. No Social Security number is required, and you do not need to travel to the United States to close.
Is Illinois a judicial foreclosure state?
Yes. Foreclosure goes through the circuit courts, with a judgment, a statutory redemption period and a judicial sale that the court confirms. There is no trustee sale outside of court.
What transfer taxes apply to a Chicago purchase?
The state tax of 50 cents per $500, the Cook County tax of 25 cents per $500, and the Chicago tax of $3.75 per $500 paid by the buyer. The seller pays the $1.50 per $500 CTA portion.
Illinois City Guides
Bridge, fix & flip and construction financing in each Illinois market we cover.