Trends Watch: Direct Lending in the Mid-Atlantic, Midwest & Northeast Regions

Direct lending to fix-and-flip properties has been deemed an attractive investment opportunity, especially for those real estate investors who have good credit experience and liquidity, as an alternative to using a traditional local bank to execute these deals.  

At EisnerAmper, we regularly engage with industry leaders to uncover emerging trends and opportunities in real estate finance. In a recent conversation, we spoke with Tibor Wilheim, CEO of Mount Wilson Capital, a direct lender specializing in fix-and-flip and residential bridge loans across the Mid-Atlantic, Midwest, and Northeast regions. He spoke on the various opportunities, along with challenges, when it comes to investing in the space.  

Workforce Housing Opportunities  

Wilheim specified that the greatest opportunities in the sector are in workforce housing, with a persistent housing shortage across the US, and the fact that the average loan and exit on these deals is anywhere from $200,000 to $500,000. The predictability of this asset class makes it an attractive investment given the vast number of tasks that can be done from home, which outweighs tasks that can be done in offices.  

Regional Hotspots for Investment  

Several geographic regions stand out for fix-and-flip investments:  

• Midwest: Ohio, Kentucky, and Indiana 
• Mid-Atlantic: Maryland and Pennsylvania  

These regions offer strong potential for value creation, particularly in markets where existing homes can be renovated and sold to owner-occupants seeking affordable housing.  

Navigating Challenges in the Market  

On the other hand, Wilheim said one of the main challenges when it comes to investing in this space is the ability to charge higher rates because the investment opportunity is quite attractive with robust returns. A lot of institutional capital and white powder has already flowed into it. This underscored the importance of strategic positioning and deep knowledge of the market.   

Direct lending in the fix-and-flip market offers strong risk-adjusted returns and contributes to community development by increasing access to affordable housing. Through our ongoing dialogue with industry experts like Tibor Wilheim, EisnerAmper remains committed to delivering actionable insights that empower our clients to succeed in today’s evolving real estate landscape. Listen to the full episode at  

EisnerAmper’s Alternative Investments Podcast on YouTube.