Multi-Family Property in Millick St, PA - Fix & Flip

The Investor Scenario & Opportunity

A local real estate investor secured an off-market two-story brick rowhouse in the Brewerytown neighborhood of North Philadelphia. Located just north of Girard Avenue near Fairmount Park, the property sat in a corridor experiencing strong infill development and consistent end-buyer demand.

The distressed property had been held by an out-of-state owner facing back property taxes and municipal violations. The seller required a quick cash-equivalent closing to satisfy municipal liens, setting a contract price of $160,000 for a buyer who could execute within seven days. With fully renovated rowhouses on the same block selling above $315,000, the transaction offered strong profit potential for an investor equipped to fund and execute a full restoration.

The Challenge (Why Banks Failed)

The rowhouse was completely unbankable under traditional lending criteria. The interior suffered from severe neglect, including non-functional plumbing, outdated knob-and-tube wiring, a compromised rear subfloor, and no working heating system.

Retail banks and conventional lenders required a 45-day underwriting process, a full third-party appraisal, and structural sign-offs before approving the loan. The seller refused to accept traditional bank financing contingencies or wait for institutional committee approvals, establishing a strict six-day closing deadline before placing the property on the open market.

The Henry Solution (Loan Mechanics & Underwriting)

Hard Money Henry evaluated the deal based on property equity and local sub-market sales data rather than bank red tape. Our internal team completed an in-house assessment of recent Brewerytown rowhouse sales within 24 hours, bypassing the traditional appraisal process.

We issued a firm commitment letter and structured a $200,200 total loan facility, covering 90% of the purchase price ($144,000) and 100% of the renovation scope ($56,200). Construction capital was secured in escrow and allocated across three milestone-based draw disbursements as work was inspected and verified. The deal closed and fully funded in five business days.

The Financial Win & Outcome

The investor executed a comprehensive 90-day renovation. Scope of work included structural subfloor repair, installing central HVAC, updating electrical and plumbing systems, and completing modern interior finishes with an open-concept living space. Upon completion, the home was listed and went under contract within nine days.

• Purchase Price: $160,000
• Rehab Budget: $56,200
• Financing & Holding Costs: $11,800
• Total Cost Basis: $228,000
• Final Sale Price: $325,000
• Gross Profit: $97,000
• Net Profit (After Selling Costs): $77,500

Key Takeaways for Local Investors

• Closing speed wins off-market contracts. Distressed owners facing tax liens prioritize direct funding certainty over higher contingent retail offers.
• Asset-based underwriting bypasses condition hurdles. Partnering with a lender focused on real estate value allows you to acquire distressed assets that conventional banks reject.
• 100% renovation funding protects working capital. Structuring loans to cover full construction costs keeps your cash reserves available for additional acquisitions.

Have a fix and flip or bridge opportunity in Philadelphia that requires fast capital? Submit your property address at hardmoneyhenry.com/apply for a 24-hour commitment letter.