My company is a private money and commercial mortgage brokerage that arranges financing for residential and commercial real estate deals. From time to time, I post discussions on various loan products available to borrowers.

Hard money is not meant to be cheap nor used long-term. That being said, it is useful if the numbers work for the investor. Here's a hard money product that I've closed with a few borrowers on. It is only for purchase and refinance deals. There's also a no credit, no income component, which is the most expensive. If any investors are interested, feel free to contact me.

You have a couple of options with this particular lender. It would look like this...

6 mo. I/O

  • Loan Purpose: Flip Only
  • Term: 6 months
  • Amortization: Interest Only
  • Tier 1 Rate, Points*: 11%, 4.5 points
  • Tier 2 Rate, Points: 11%, 6.5 points
  • Tier 3 Rate, Points: 15%, 7.5 points
  • Closing Fee: $995 - $1995*
  • LTV: Purchase - 65%, Refi - 50%
  • Min. Property Value: Purchase - $35.4K, Refi - $46K
  • Property Condition: C1-C5
  • Prepayment Penalty: No

5 Yr. Full Am.

  • Loan Purpose: Flip or Rent
  • Term: 60 months
  • Amortization: 5 yrs.
  • Tier 1 Rate, Points*: 18%, 4.5 points
  • Tier 2 Rate, Points: 18%, 4.5 points
  • Tier 3 Rate, Points: 18%, 4.5 points
  • Closing Fee: $1000
  • LTV: Purchase - 65%, Refi - 50%
  • Min. Property Value: Purchase - $35.4K, Refi - $46K
  • Property Condition: C1-C4
  • Prepayment Penalty: No

10 Due-in-3

  • Loan Purpose: Flip or Rent
  • Term: 36 months
  • Amortization: 10 yrs.
  • Tier 1 Rate, Points*: 14%, 5.5 points
  • Tier 2 Rate, Points: 15%, 6.5 points
  • Tier 3 Rate, Points: 18%, 7.5 points
  • Closing Fee: $1000
  • LTV: Purchase - 65%, Refi - 50%
  • Min. Property Value: Purchase - $35.4K, Refi - $46K
  • Property Condition: C1-C4
  • Prepayment Penalty: No

30 Due-in-3

  • Loan Purpose: Rent
  • Term: 36 months
  • Amortization: 30 yrs.
  • Tier 1 Rate, Points*: 14%, 5.5 points
  • Tier 2 Rate, Points: 15%, 6.5 points
  • Tier 3 Rate, Points: 18%, 7.5 points
  • Closing Fee: $1250
  • LTV: Purchase - 65%, Refi - 50%
  • Min. Property Value: $80K
  • Property Condition: C1-C4
  • Prepayment Penalty: Yes

*Interest rates and points based on credit score: Tier 1 - 700 or higher, Tier 2 - 600-699, Tier 3 - 619 or lower. Closing fee on 6-month loan dependent upon loan amount.