Tempe is our home: Ambition Lending's office is at 410 N Scottsdale Rd. We lend on Tempe single-family homes, condos and townhomes, small multifamily and commercial property, underwriting the asset, the budget and the exit rather than your W-2.
What Tempe investors should know
- A renter-majority city. Census ACS 2020–2024: median home value $455,400, median gross rent $1,743, about 58% of occupied homes rented, median home built in 1984, population about 188,000. Tempe is Arizona State University's original home and its biggest campus, which anchors rental demand.
- Thin rent yields. Median rent against median value is a gross yield of about 4.6%. Rentals bought near the median rarely reach a 1.0 DSCR at high leverage; value-add purchases, small multifamily and lower-leverage holds pencil better. See DSCR loans in Arizona.
- Condos and townhomes are a large share of Tempe's housing; HOA rental rules and project condition matter to lenders. See financing condos and townhomes.
- No transfer tax under Arizona's constitution; the recorder's affidavit fee is $2.
- Short-term rentals: check City of Tempe licensing before underwriting STR income — see short-term rental financing options.
Statewide terms and rules: hard money loans in Arizona. Nearby: Phoenix hard money lenders.
A typical Tempe flip, by the numbers
To show how a hard money loan works in this market, here is an illustration built on Tempe’s median values — not a quote. Assume you buy a distressed home at 75% of the median value, budget 15% of value for a renovation sized to the local housing age, and resell at the median.
| Purchase price | $341,550 |
|---|---|
| Rehab budget | $68,310 |
| After-repair value | $455,400 |
| Loan (90% of purchase + 100% of rehab, max 75% of ARV) | $341,550 |
| Your cash in, before fees | $68,310 |
| Gross spread before financing and selling costs | $45,540 |
A gross spread of 10% of ARV is thin once interest, points, holding and selling costs (often 10–15% of ARV combined) come out — in Tempe the deal has to be bought well below this illustration. Run your own numbers in the fix & flip calculator.
Rentals and DSCR in Tempe
At the median value, a 75% loan ($341,550) at 7.5% over 30 years costs about $2,388 a month in principal and interest. Median rent of $1,743 covers that 0.73 times before property taxes, insurance and any HOA — which lower the ratio further. Rent doesn’t cover the payment at this leverage, so rentals need a larger down payment or a below-median purchase price to qualify. Check a specific property with the DSCR calculator.
How Ambition Lending works with Tempe investors
We are a direct, business-purpose lender that funds metropolitan, suburban and rural deals from $100,000 to multi-million balances: we underwrite the property, the budget and your exit — sell, refinance or hold — rather than your W-2. Fix & flip loans fund up to 90% of the purchase and 100% of the rehab through draws released after inspections; bridge loans go to 75% of value with no DSCR or DTI test. Send the address, purchase contract, scope of work and entity documents and we return a term sheet within 24 hours on most requests.
Frequently asked questions
Is Ambition Lending based in Tempe?
Yes. Our office is at 410 N Scottsdale Rd, Tempe, AZ 85288, and we lend across the Phoenix metro, Arizona and nationwide.
What loans do you offer in Tempe?
Fix and flip loans up to 90% of purchase and 100% of rehab (capped at 75% of ARV), bridge loans up to 75% of value, new construction loans with staged draws, and DSCR rental loans qualified on rent.
Do DSCR loans work in Tempe?
They can, but at Tempe's median value rent does not cover a 75% loan's principal and interest at a 7.5% illustrative rate, so most Tempe rentals need more equity, a below-median purchase or above-median rent to reach a 1.0 DSCR.
What is the median home value in Tempe, AZ?
The median value of owner-occupied homes in Tempe is $455,400, and median gross rent is $1,743 per month, according to the U.S. Census Bureau's ACS 2020–2024 5-year estimates.
Is Tempe a good market for rental property investors?
Tempe's gross rent yield is about 4.6%, and 58% of homes are rented. That is a balanced profile; rentals work best when bought below median value. Always underwrite the specific property and neighborhood.
How fast can a hard money loan close in Tempe?
Ambition Lending issues a term sheet within 24 hours on most requests. Closing speed then depends on title, insurance and a complete file — investors who send the purchase contract, scope of work, entity documents and ID up front close fastest.
Methodology: figures are U.S. Census Bureau ACS 2020–2024 5-year estimates for the Census place of Tempe, AZ. Gross rent yield = 12 × median gross rent ÷ median home value. Examples are illustrations, not offers to lend; terms depend on the property, leverage and experience.
