7–14 days
typical close time

No income docs
required

70–75% LTV
on most properties

$100K–$10M+
loan amounts

When Hard Money Makes Sense

• Auction or REO purchases requiring fast close
• Off-market deals with seller-imposed deadlines
• Bridge financing between a sale and a purchase
• Properties that don’t qualify for conventional financing yet
• Investors who need capital before refinancing into long-term
• Borrowers with credit events who need time to season

Hard Money vs. Bridge Loans

• Hard Money: Private lender, asset-based, often no credit or income requirements
• Bridge Loan: Institutional non-QM, typically better rates, requires some credit qualification
• Both: interest-only payments, short terms (6–24 months), fast close
• Both: the property equity / LTV is the primary qualification
• Bridge loans typically used for cleaner transactions at lower LTV
• Hard money for distressed, transitional, or complex situations

The Process

• Day 1: Submit property address, purchase price, and your exit strategy
• Day 1–2: We pull a BPO or order an appraisal
• Day 2–5: Term sheet issued; title and escrow opened
• Day 7–14: Close on most qualified transactions
• Interest-only payments begin after closing
• Exit: sell, refinance into long-term, or extend before maturity

Typical Requirements

• Property equity / LTV is the primary qualification (65–75% LTV typical)
• Clear exit strategy required at origination
• Minimal credit and income documentation (varies by lender)
• Property in a marketable location with clear comparables
• Title insurance and property insurance required
• Reserves to cover 3–6 months of payments preferred

What is the minimum credit score for a hard money loan?
True hard money loans from private lenders often have no minimum credit score — the property is the collateral. Bridge loans from institutional lenders typically start at 600–620. We match you to the right program based on your situation.

Can I use a hard money loan for a primary residence?
Yes, though there are more regulations. Owner-occupied hard money loans exist for borrowers in unique situations. More commonly, hard money is used for investment properties, fix-and-flips, and commercial real estate.

What happens if I can’t exit the loan before maturity?
Most lenders offer extensions at a fee (typically 1–2 points). We proactively discuss exit strategy and timing at origination — if you see a potential issue coming, contact us early so we can arrange an extension before the maturity date.

Are hard money rates higher than conventional?
Yes. Hard money rates typically range from 9–13% depending on LTV, property type, and lender. The tradeoff is speed, flexibility, and access to deals that conventional lending can’t touch. Most investors factor the higher rate into their deal analysis.

Can I use hard money to purchase land?
Land loans are more restrictive. Some private lenders will fund improved land with entitlements. Raw land is very difficult and usually not available. Discuss your specific land situation with us.

What properties do hard money lenders prefer?
Properties in active markets with clear comparables and a realistic exit value. Single-family homes and small multifamily in metropolitan areas are easiest to fund. Rural, highly unusual, or damaged properties are harder to place.