Best Hard Money Lenders for 2019

Learn more about hard money lending, and find a list of the best ranked hard money lenders in the U.S.

Updated on November 18th, 2019

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Hard money lenders are private investors that provide hard money loans, rental loans, and lines of credit to borrowers.

Borrowers use hard money loans, also known as bridge loans, to purchase real estate or finance large expenses quickly by using their property as collateral.

Business owners typically turn to hard money loans when they are unable to secure conventional loans due to a low credit score, or are undergoing foreclosure or bankruptcy.

Unlike traditional loans, hard money loans are not issued by conventional lenders or banks, but rather by private investors or companies. Interest rates are typically higher and terms are shorter, but qualifications are more flexible and investors usually fund within 15 days.

Hard money loans are commonly used by fix-and-flip investors⁠ — real-estate investors that buy a house, renovate it and resell the property later at a profit.

Best Hard Money Lenders:

Our Rank

Hard Money Lender




From 7.5%



8 - 12%


Finance of America Commercial

Contact the company for a quote.


Patch of Land

From 7.5%


Visio Lending

6 - 12.5%



Up to 90% of cost


Lima One Capital

7 - 11.5%



1.25 - 1.5% per month / 7.99%


Rehab Financial Group

10.99% paid monthly


Wilshire Quinn

8.5 - 12%


Sherman Bridge Lending

Contact the company for a quote.


Investmark Mortgage

10.99 - 12.99%


Source Capital Funding, Inc.

From 7.99%


Jet Lending

8.99 – 14.9%


Noble Mortgage & Investments

Contact the company for a quote.


How do hard money loans work?

Hard money loans are short-term loans that are secured by property. Hard money lenders calculate your loan by dividing the amount borrowed by the value of your property. This is known as the Loan-to-Value ratio (LTV).

Lenders will either require a 10-15% down payment or will fund the borrower at an After Repair Value of 60-70%.

Hard money loan terms are typically 12 months, but can last anywhere from 1-5 years. During this time, you will only pay the monthly interest which ranges between 7-20%, and an upfront lender fee of 1-10%.

See our list of the top Hard Money Lenders, for more information.

Do hard money lenders require down payment?

The majority of hard money lenders require a down payment ranging from 10-15% of the LTV, depending on your credit score and past projects.

Learn more about hard money loans.

How much do hard money lenders charge?

Hard money lenders charge interest rates between 7-20%, lender fees between 1-10%, and loan origination fees that vary across the board.

See our list of the top 15 Hard Money Lenders.

Are hard money loans a good idea?

As with any loan, there are pros and cons to borrowing from a hard money lender.

Hard money loans offer convenience, quick turn-around, flexible terms, and the ability to use your property as collateral. Also, lenders don't base loan amounts on your creditworthiness like mainstream financial institutions.

On the downside, hard money loans have higher interest rates and origination fees than conventional loans, and the re-payment terms are shorter.

Read more about hard money loans.

How do you qualify for a hard money loan?

  • Have a down-payment of 20-40% of the property value, depending on the lender.
  • Have the necessary cash-reserves to make the monthly loan repayments and pay for any additional costs.
  • Have architectural plans for the property and detailed budgets for construction and/or renovation.
  • Know the value of the area where your property is based.
  • Having experience as a real-estate developer will count in your favor.

Learn more about hard money loans.

How much do you have to put down on a hard money loan?

This depends on your chosen investor, but you will typically have to fund 20-40% of the purchase price, depending on whether it's a residential or commercial property. However, some hard money lenders do lend 100% of the purchase price.

See our list of the top 15 Hard Money Lenders.

Can I get a hard money loan with bad credit?

Yes. The benefit of securing funds through hard money lenders is that they lend based mostly on your collateral and not your credit score.

Read more about hard money lending.

How can I get a hard money loan for a flip?

  • Write a business plan for the property you plan on purchasing.
  • Put together an estimate of the renovation costs.
  • Ask family and friends for a loan, or take out a small business loan.
  • If you're unable to secure a business line of credit, opt for a hard money loan.
  • Build your personal network to aid with future house flips.

See our list of the top 15 Hard Money Lenders.

Is hard money lending safe?

Hard money lending is considered a risky undertaking due to higher interest rates and shorter terms compared to traditional loans. However, hard money lending can be safe if done the right way. If you need a short-term loan and are unable to approach traditional mortgage lenders, then a hard money loan may be the best option for you, as long as you're able to repay the loan within the term period.

Can you refinance a hard money loan?

Yes, there are several ways to refinance a hard money loan:

  • If your credit rating has improved, get a fixed mortgage.
  • Get a subprime mortgage loan.
  • If you have built up equity in your home/property, and have a good credit score, apply for a home-equity loan.
  • If your hard money loan was small to begin with, consider getting a cash advance to pay off the balance.

What is a hard money loan in real estate?

In real estate, fix-and-flip investors take out hard money loans to finance a property, renovate it, and sell it at a profit, allowing them to pay off the loan within a few months or a year.

Is a hard money loan considered cash?

No. Hard money loans are still considered loans, as they are subject to approval, property appraisal, and other factors.

Who are the best hard money lenders in Houston?

See our complete list of the best hard money lenders for 2019.

How can I find hard money lenders near me?

See our list of the top 15 Hard Money Lenders nationwide.

Who are the best hard money lenders in Florida?

See our complete list of the best hard money lenders for 2019.

Who are the best hard money lenders in California?

See our complete list of the best hard money lenders for 2019.

Who are the best owner occupied hard money lenders nationwide?

Check out LendingHome and Noble Mortgage & Investments.