I purchased a 1918 small farmhouse for cash. I turned to Groundfloor for a rehab line of credit. They knew this was going to be a take down to studs/rebuild project and that I was already in the process of demo. Initially, the process was very smooth, great communication with Andy, business account manager. My business partner had 800+ credit score. The ARV report came back higher than I projected (who doesn't enjoy hearing they think you will make more $$ than you have estimated!). Market analysis DOM supplied by a local RE agent came back at 55 days (well below the required 120 days). All three of my previous flips were verified with public documents. My LLC was in good standing. The feasibility study came back and said my cost estimates were spot-on, said I should probably add more money to Paint estimate and I should have a termite inspection (Agreed, two small changes means pretty great estimates, right?) All reports said my property would make money even if something happened to me and Groundfloor would need to pay someone else to complete the project. After three weeks of doing/submitting everything they asked of me, I was told underwriting declined my loan because "as-is" condition wasn't valued at $50k or more. They said it was valued at $19k. I countered back with local tax assessor values of $81k. They sent me a report that did not explain their $19k as-is value. I asked them to explain it to me. I was told the decision was final. That's it. End of discussion. Maybe Groundfloor should focus on as-is value in the beginning if it is a deal-breaker rather than string someone along for three weeks. In this business, time is money. I can accept a No when it can be explained to me. I was declined for no good reason and I think others should be aware.

I purchased a 1918 small farmhouse for cash. I turned to Groundfloor for a rehab line of credit. They knew this was going to be a take down to studs/rebuild project and that I was already in the process of demo. Initially, the process was very smooth, great communication with Andy, business account manager. My business partner had 800+ credit score. The ARV report came back higher than I projected (who doesn't enjoy hearing they think you will make more $$ than you have estimated!). Market analysis DOM supplied by a local RE agent came back at 55 days (well below the required 120 days). All three of my previous flips were verified with public documents. My LLC was in good standing. The feasibility study came back and said my cost estimates were spot-on, said I should probably add more money to Paint estimate and I should have a termite inspection (Agreed, two small changes means pretty great estimates, right?) All reports said my property would make money even if something happened to me and Groundfloor would need to pay someone else to complete the project. After three weeks of doing/submitting everything they asked of me, I was told underwriting declined my loan because "as-is" condition wasn't valued at $50k or more. They said it was valued at $19k. I countered back with local tax assessor values of $81k. They sent me a report that did not explain their $19k as-is value. I asked them to explain it to me. I was told the decision was final. That's it. End of discussion. Maybe Groundfloor should focus on as-is value in the beginning if it is a deal-breaker rather than string someone along for three weeks. In this business, time is money. I can accept a No when it can be explained to me. I was declined for no good reason and I think others should be aware.