A typical San Diego flip, by the numbers
To show how a hard money loan works in this market, here is an illustration built on San Diego’s median values — not a quote. Assume you buy a distressed home at 75% of the median value, budget 20% of value for a renovation sized to the local housing age, and resell at the median.
| Purchase price | $680,025 |
|---|---|
| Rehab budget | $181,340 |
| After-repair value | $906,700 |
| Loan (90% of purchase + 100% of rehab, max 75% of ARV) | $680,025 |
| Your cash in, before fees | $181,340 |
| Gross spread before financing and selling costs | $45,335 |
A gross spread of 5% of ARV is thin once interest, points, holding and selling costs (often 10–15% of ARV combined) come out — in San Diego the deal has to be bought well below this illustration. Run your own numbers in the fix & flip calculator.
Rentals and DSCR in San Diego
At the median value, a 75% loan ($680,025) at 7.5% over 30 years costs about $4,755 a month in principal and interest. Median rent of $2,313 covers that 0.49 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 San Diego 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
What is the median home value in San Diego, CA?
The median value of owner-occupied homes in San Diego is $906,700, and median gross rent is $2,313 per month, according to the U.S. Census Bureau's ACS 2020–2024 5-year estimates.
Is San Diego a good market for rental property investors?
San Diego's gross rent yield is about 3.1%, and 53% of homes are rented. Rents are low relative to prices, so rentals usually need more equity to qualify for a DSCR loan. Always underwrite the specific property and neighborhood.
How fast can a hard money loan close in San Diego?
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 San Diego, CA. 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.
