Fix and Flip in Missouri

Not right away. Missouri reassesses real property on a biennial cycle, as of January first of each odd-numbered year, and new construction or improvements are valued as though completed on that same date. That means a rehab you finish in 2026 is not picked up until the 2027 valuation date, not immediately when the work is done. Separately, RSMo 137.115.10 requires the assessor to conduct a physical inspection before raising a residential parcel's assessed value by more than 15% since the last assessment, with written notice and at least thirty days for you to request an interior inspection; a drive-by does not satisfy it. The State Tax Commission has called these requirements mandatory, and where an assessor skips them the property owner can prevail as a matter of law. Budget the reassessment for the following odd year, not the year of the work, and keep your notice paperwork.

The favorable one, and it does not depend on unit count. RSMo 137.016.1(1) classifies any structure "used or intended to be used for residential living by human occupants" as subclass (1) residential, assessed at 19% of value, versus 32% for the commercial subclass (3). Unlike states that flip a property to commercial at four or five units, Missouri keeps a duplex, a fourplex, and a much larger walk-up all in the 19% bracket. On a $500,000 building that is $95,000 of assessed value at 19% against $160,000 at 32%, a base 68% higher in the commercial bracket (160,000 / 95,000 = 1.68). The 19% rate applies to the property's use, not to who lives in it. Keep the property leased and residential in character and you stay in the lower bracket. A short-term rental whose room receipts are taxed as transient housing under RSMo 144.020.1(6) is carved out of the residential subclass, so a whole-house Airbnb strategy carries reclassification exposure a long-term rental does not.

No, and it is not just an old exemption, it is a constitutional bar. Missouri Constitution article X section 25 prevents the state, counties and other political subdivisions from imposing any new tax, including a sales tax, on the sale or transfer of real estate. That has been the rule since 2010, and a Missouri closing statement carries no transfer-tax line at all, a real advantage over the tax that hits a sale across the river in Illinois or across the line in Kansas. Recording is separate and modest: RSMo 59.310 sets the base recorder's fee at $5 for the first page and $3 for each page after, plus a $25 penalty for documents that fail the statutory formatting rules, though counties add their own surcharges on top so the real first-page total runs higher than $5. No mortgage recording or mortgage registration tax was found either, so a note secured here does not carry the per-thousand tax some neighboring states charge.

No, and this is the trap worth knowing before you underwrite the exit. House Bill 594 lets individuals subtract 100% of income "reported as capital gains for federal tax purposes" when figuring Missouri taxable income, effective for the 2025 tax year. A flip you hold as dealer inventory reports as ordinary income federally, not capital gains, so it gets nothing from that subtraction. The break is real for a buy-and-hold investor who sells an appreciated rental after a qualifying holding period and reports the sale as a capital gain, and it is not yet open to corporations at all. If your Missouri LLC is set up to flip rather than hold, plan your tax bill on the state's 4% corporate rate or the individual pass-through brackets topping out at 4.7% for 2025, not on a headline that does not apply to dealer income. Talk to your CPA about how your entity and hold period classify the sale before you count on this deduction.

Wind and hail drive Missouri landlord pricing more than fire or flood, since the state sits in the tornado and hail corridor; we are not publishing a premium figure because no regulator source gives one worth quoting, so get a real quote for the address before you close. The distinct exposure is earthquake near the New Madrid seismic zone in southeast Missouri, and it is largely uninsured: the Missouri Department of Commerce and Insurance reports take-up in the New Madrid region fell from 18.3% in 2015 to 10.4% in 2024, and fewer than 20% of residences in 101 of Missouri's 115 counties carry earthquake coverage. A standard landlord policy does not include it. Coverage is increasingly available, with the share of insurers writing new earthquake policies rising from 32% in 2024 to 37% in 2025, but it is rarely bought, so price it separately if your property sits in or near that region.

Yes, as of 2026-08-28. RSMo 407.3600, created by SB 973, requires a wholesaler assigning a contract on a one-to-four unit property, without holding title, to give the owner a separate boldface disclosure at least fourteen calendar days before the purchase contract, signed and dated by both the owner and the wholesaler. It must say the presenter is a wholesaler under Missouri law, that the owner should get legal advice, that the wholesaler does not represent the owner, that the contract can be assigned without further consent, and that the price may be below market. Skip the disclosure and the owner can cancel any time before closing, with earnest money returned, and the Attorney General can enforce it as an unfair practice. There is no license and no fee cap, only the disclosure. A double-close structure, where the buyer takes title rather than assigning the contract, reads outside the statute's "without holding title" language on a plain reading, but that reading has not been tested by any Missouri court or the Attorney General as of this writing, so confirm it with Missouri counsel before relying on it for deal flow.

We fund up to 90% of the purchase price and up to 100% of your rehab budget, with the total capped against the after-repair value (ARV). Rehab money is released in draws as the work is completed.

Our fix and flip pricing starts around 9.99%, interest-only, with origination typically 1 to 3 points depending on your experience, leverage, and the deal, and every quote is subject to underwriting. Across the market most flip loans run roughly 9% to 12%. On most flip loans, including ours, interest is charged on the full loan amount, rehab budget included. Paying interest only on rehab funds as you draw them exists in the market, but it is the exception, not the rule.

No. We work with first-time flippers as well as full-time operators. Experience mainly affects your leverage and rate, since a longer track record earns higher loan-to-cost and better pricing. A newer investor can still get funded with a sound deal, a realistic budget, and a clear exit.

We can get you a term sheet the same day on a complete application, and we typically fund within 48 hours of clear title. The main variable is how fast title and insurance come together, which is why a full close usually runs 5 to 7 days. Because we are the lender and underwrite in house, there is no second layer of approval to wait on.

No. Our fix and flip loans have no prepayment penalty, so paying off early when the property sells costs you nothing extra. Terms run 6 months, and because there is no penalty, selling sooner never costs you extra.

We run credit, but this is an asset-based loan, so the property, your budget, and the ARV matter most. We do not ask for W-2s or tax returns to qualify a flip. We will want to confirm you have reserves to carry the project to its exit.