Hard money loans fund on the property, not on your paycheck. That is why real estate investors use them to buy at auction, close a fix and flip in days instead of weeks, and finance a rehab budget a bank will not touch. Approval turns on the deal, the equity and the exit.
The trade is cost. Rates across the seven lenders below run from 6.00% on a 30-year rental loan to 11.25% on ground up construction, and most add origination points, underwriting charges and third-party closing costs on top. You are paying for speed and leverage, not for cheap money.
We compared seven lenders on published rates, loan limits, leverage, credit minimums, state coverage and time to close. Every figure below comes from the lender's own published materials. Where a lender does not publish a number, we say so instead of estimating one.
Rates and terms accurate as of August 2026. Updated regularly by our editorial team. All loans described here are business-purpose loans on non-owner-occupied investment property.
New Silver is a direct private lender. Fix & Flip, DSCR rental and Ground Up Construction across 40 states, all from one balance sheet.
- All three investor loan types under one lender. Fix & Flip $100,000 to $5,000,000, DSCR rental $150,000 to $3,000,000, Ground Up Construction up to $5,000,000.
- An instant automated proof of funds letter is generated during the application, so you can put in an offer the same day.
- Published average time to close of 10 days. The online application takes about 5 minutes and the credit check is a soft pull at underwriting.
- Construction financing of up to 100% of renovation costs on Fix & Flip, subject to underwriting, with a published repeat borrower rate above 50% of funded volume.
Quick comparison: 7 hard money lenders
Side-by-side look at every lender on this page. Rates shown are interest rates, not annual percentage rates.
| Lender | Best for | Max loan | Rate from | Funds first-time investors |
|---|---|---|---|---|
| New Silver | All three investor loan types from one direct lender | $5,000,000 | 8.50% fix and flip | No experience minimum published |
| Visio Lending | Growing a long-term rental portfolio | Not published | Not published | Yes |
| Groundfloor | Deferred payments during the flip | $3,500,000 | 9.00% fix and flip | Yes |
| Kiavi | Highest leverage and widest state coverage | $10,000,000 | 7.75% fix and flip | Yes |
| Lima One Capital | High-leverage fix and flip loans | $25,000,000 | 7.25% fix and flip | Rental yes. Fix and flip requires one investment property exit in the last 36 months |
| RCN Capital | Rehab-heavy flips | $3,000,000 | 9.49% fix and flip | Yes |
| CoreVest | Large rental portfolios and credit lines | $50,000,000 and up | 5.00% across products | Yes |
Maximum loan amounts are the largest figure each lender publishes across its own product line, so they are not always the same product. Visio Lending publishes neither a maximum loan amount nor an interest rate on its own site, so no figure is shown. Lima One's $25,000,000 ceiling is its multifamily bridge program. CoreVest's 5.00% floor is the bottom of a published 5.00% to 11.50% range across all products.
In-depth reviews
Seven lenders, ranked. Open the accordions on each card for the full pros, cons and verdict.
1. New Silver
Best for: Fix & Flip, DSCR rental and Ground Up Construction loans from one direct lender.
New Silver Lending LLC is a direct private lender in West Hartford, Connecticut, NMLS Company ID 2154545. It lends its own capital in 40 US states, on non-owner-occupied investment property only.
Three retail products make up the lineup. Fix & Flip runs $100,000 to $5,000,000 at 8.50% to 11.00%1. Ground Up Construction runs to $5,000,000 at 9.75% to 11.25%2 on an 18-month term. DSCR rental runs $150,000 to $3,000,000 from 6%3 on a 30-year fixed term, with a 0.75 minimum DSCR. Fix & Flip construction financing reaches 100% of renovation costs4, with loan-to-cost up to 90%.
Origination runs 1% to 1.75% on Fix & Flip, 1% to 2% on Ground Up, and 0% to 1.5% on DSCR. All three rates are interest rates, not annual percentage rates, published August 26, 2026, subject to change and not a loan offer or commitment. Minimum credit score is 650 on Fix & Flip and Ground Up, and 660 on DSCR, checked with a soft pull at underwriting. New Silver publishes an average time to close of 10 days.
- Direct private lender, not a broker or a marketplace
- Three retail products: Fix & Flip, DSCR rental, Ground Up Construction
- Construction financing up to 100% of renovation costs, subject to underwriting
- Instant automated proof of funds letter generated during the application
- DSCR rental on a 30-year fixed term, with origination as low as 0%
- Soft credit pull at underwriting, no hard credit pull
- Published average time to close of 10 days
- Non-owner-occupied investment property only. No primary residences, and no FHA, VA or conventional mortgages.
- Fix & Flip does not finance rural property. Ground Up deals must be shovel ready with plans, permits and a completed construction budget.
- Minimum 650 FICO on Fix & Flip and Ground Up, 660 on DSCR.
- 40 states, not all 50. Availability varies by product and property type, and Alabama is DSCR only.
New Silver is the pick for the investor running fix and flip, buy and hold and ground up deals at the same time. All three sit with one direct lender rather than a broker or a marketplace, and each carries a dated published rate and origination range, so you can price the deal before you apply. Visio Lending publishes no rates at all, Kiavi will not publish an origination fee, and RCN Capital publishes no point range. The 5 minute online application returns an instant automated proof of funds letter. A published repeat borrower rate above 50% of funded volume says the experience holds up past loan one.
It is not the cheapest money here. Fix & Flip starts at 8.50% against 7.25% at Lima One and 7.75% at Kiavi, and 40 states trails Kiavi at 49 plus DC and Lima One at 46. Skip it for rural Fix & Flip property, a primary residence, or a score under 650, where Groundfloor and CoreVest go down to 640.
New Silver Lending LLC. NMLS Company ID 2154545. Equal Housing Opportunity Lender. Loans are for non-owner-occupied investment property only.
All New Silver loans are business-purpose loans secured by non-owner-occupied investment property. They are not consumer mortgages and are not subject to the Truth in Lending Act. Rates shown are interest rates, not annual percentage rates, and do not include origination points, underwriting charges or third-party closing costs.
1Fix & Flip interest rate of 8.50% to 11.00% as published by New Silver on August 26, 2026. Minimum loan $100,000. Term up to 18 months. Rates and terms are subject to change and vary by borrower profile, market conditions and underwriting review. Not a loan offer or commitment.
2Ground Up Construction interest rate of 9.75% to 11.25% as published by New Silver on August 26, 2026. Term 18 months. Rates and terms are subject to change and vary by borrower profile, market conditions and underwriting review. Not a loan offer or commitment.
3DSCR rental interest rate from 6% and 30-year fixed term as published by New Silver on August 26, 2026. Minimum loan $150,000. Minimum DSCR 0.75. Rates and terms are subject to change and vary by borrower profile, market conditions and underwriting review. Not a loan offer or commitment.
4Construction financing of up to 100% of renovation costs, and loan-to-cost of up to approximately 90%, are subject to underwriting. Loan availability varies by product and property type.
2. Visio Lending
Best for: Growing a long-term rental portfolio on 30-year fixed DSCR money.
Visio Lending has written 30-year fixed DSCR loans on rental property since 2012, out of Austin, Texas. Qualification runs on the property's cash flow, not yours. Its broker program guide states DTI is not a metric it considers, and there is no personal income verification, no tax returns and no 4506 form.
Loans are originated in house by Visio Financial Services Inc. (NMLS 1935590) or Investor Mortgage Finance LLC (NMLS 2297729). Minimum loan amount is $75,000 and minimum property value is $150,000. Minimum credit score is 680, with no bankruptcy in the last four years and no foreclosure in the last three. Purchases and rate-and-term refinances reach 80% LTV. Cash-out refinances cap at 75%. Target time to close is 30 days.
Long-term and short-term rentals both qualify, including Airbnb and Vrbo, and you can borrow through an LLC or corporation. The property must be rent-ready and in C4 condition. Coverage is 41 states plus DC. Visio publishes no interest rates or origination fee schedule.
- Direct lender. Loans are originated in-house, not brokered out
- Full 30-year fixed term with no balloon payment
- Qualifies on property cash flow. No income verification, no DTI, no tax returns, no 4506 form
- Minimum loan amount of $75,000, low for a DSCR lender
- Up to 80% LTV on purchases and rate-and-term refinances
- Short-term and vacation rentals qualify, including Airbnb and Vrbo properties
- First-time rental investors accepted. No published minimum deal count
- Rental property only. No fix and flip, no ground-up construction, no owner-occupied property
- 680 minimum credit score, higher than several fix-and-flip lenders on this page
- Property must be rent-ready and in C4 condition, so a gut rehab does not qualify
- Cash-out refinances cap at 75% LTV, below the 80% purchase cap
- No rates and no origination fee schedule published online, so you cannot compare pricing before applying
- Not available in Alaska, Vermont, Minnesota, Nebraska, North Dakota, South Dakota, Utah, Nevada or Oregon
Visio is the exit, not the entry. It will not fund a rehab, so the pattern is to buy and renovate with New Silver, Kiavi or RCN Capital and refinance into Visio's 30-year fixed once the property is rent-ready. The single focus is the point. Visio reports $4.8 billion originated across more than 21,000 closed loans and writes DSCR as its whole business, not as an add-on to a flip desk. Its $75,000 minimum is half of New Silver's $150,000 DSCR floor, so cheap rentals still clear it. Short-term rental owners get the clearest yes here.
Skip it if your credit is under 680. That ties Kiavi's broker minimum for the highest published bar here, and CoreVest and Groundfloor start at 640. Skip it if the property needs work, because C4 rent-ready condition is a hard gate and buy-and-hold is the only use. Expect to apply blind on price. New Silver and Groundfloor publish fee schedules. Visio publishes nothing, and its 30-day close is no faster than Kiavi's 25 to 35 days.
3. Groundfloor
Best for: Deferred payments during the flip, with no principal or interest until the loan repays.
Groundfloor lends on 1 to 4 unit residential property, $75,000 to $3.5 million. Terms run 6 to 18 months, with a 30 year fixed option on DSCR rentals. The lineup covers fix and flip, bridge, ground up construction, and DSCR.
Fix and flip rates start around 9%. Bridge starts at 9.99%. DSCR goes as low as 5.875%. Groundfloor funds up to 100% of renovation costs and up to 70% of after repair value, with down payments as low as 0% in qualifying situations. Minimum credit score is 640, or 660 on DSCR. Closing takes as few as 7 business days across 35 plus states.
Principal and interest are deferred until the loan repays. Origination points and fees can be financed into the principal. Fees include $495 to apply, $1,250 in closing costs, and 1% to 3.75% of principal for underwriting. Prepayment is free after three months. Groundfloor publishes $2 billion plus funded across more than 10,000 projects and a 90% repeat borrower rate.
- True deferred payments. No principal and no interest due until the loan repays, which keeps cash in the renovation
- Origination points and fees can be financed into the loan principal instead of paid at closing
- Up to 100% of renovation costs and up to 70% LTARV, with down payments as low as 0% in qualifying situations
- Funds first time flippers. The published FAQ says a strong project plan and a clear ARV matter more than prior flips
- No hard credit pull, and no tax returns or bank statements required for asset based fix and flip loans
- Closes in as few as 7 business days, with most loans closing in 7 to 14 business days
- Four products under one lender: fix and flip, bridge, ground up construction, and 30 year fixed DSCR
- A $495 application fee is due when you apply, before you see final terms
- $1,250 in closing costs plus an underwriting fee of 1% to 3.75% of principal, on top of interest
- Three month minimum interest applies if you repay inside the first three months
- DSCR is the strictest product: 660 credit score, 20% down, and a 1.1 minimum coverage ratio
- Fix and flip and bridge reach 35 states. Only new construction and DSCR are offered in all 50
- Groundfloor's own pages disagree on headline numbers. The FAQ says loans to $3.5 million, the homepage says $2.5 million plus
- Residential only, capped at 1 to 4 units, with a minimum property value of $50,000
Groundfloor is for the flipper whose constraint is monthly cash, not headline rate. Deferring all principal and interest until payoff is rare on this page. RCN Capital and Lima One both charge interest only on drawn funds, but neither defers the payment itself. That flexibility is priced. The $495 application fee lands before you see final terms, then $1,250 in closing costs and 1% to 3.75% underwriting. Kiavi starts at 7.75% and Lima One at 7.25%, so a 9% start plus those fees can cost more in total dollars on a fast flip. Run the dollar cost, not the rate.
Approval is among the easiest here for a first project. Kiavi and Lima One both want 660. Groundfloor takes 640 with no hard credit pull and no tax returns, and only CoreVest matches that floor.
One note on the lender. Groundfloor built its name on retail crowdfunding, and its own about page now says loans are funded primarily by institutional bond and private credit capital, with crowdfunding a supplement. Skip it if you are buying rentals at scale. CoreVest and Visio are built for that.
4. Kiavi (Formerly LendingHome)
Best for: The highest published leverage and the widest state coverage on this page.
Kiavi Funding, Inc. has originated more than $30 billion across over 100,000 residential investment projects since 2013, when it launched as LendingHome. It is a direct balance sheet lender funded through its own securitization program. It qualifies on the property, so no W-2s and no tax returns.
Fix and flip and bridge loans run $100,000 to $5,000,000 from 7.75%, up to 100% of loan-to-cost and 80% of after-repair value, with 100% of rehab funded through digital draws and 12, 18, or 24 month terms. Ground up construction runs $150,000 to $10,000,000 from 9.00%, up to 85% of total cost and 70% of ARV, with 3 or 6 month extensions and no permits required before closing.
DSCR rental runs $100,000 to $2,000,000 from 6.00% on 30-year fixed, 5/1 ARM, or 7/1 ARM, up to 80% LTV, with a DSCR floor as low as 0.8x. A jumbo program covers $3,000,000 to $10,000,000 from 8.25%. Fix and flip can close in as few as 7 business days.
- Up to 100% loan-to-cost and 100% of rehab cost on fix and flip, among the highest published leverage in hard money
- No income verification and no hard credit pull to get a rate quote
- No prior real estate investing experience required, unusual for a lender at this scale
- Lends in 49 states plus Washington DC, the widest footprint on this page
- No third party appraisal on fix and flip, bridge, or new construction loans
- Jumbo program funds single deals from $3,000,000 to $10,000,000
- Full product ladder for BRRRR, so you can move from rehab financing to a 30-year rental loan without changing lenders
- Minimum FICO of 660 direct and 680 through a broker, higher than several competitors on this page
- Origination fee is not published anywhere on the site, it is quoted per deal at closing
- Business entity required in all states, so no loans to individuals
- Does not lend in Utah
- Will not finance mixed use, commercial, mobile homes, or rural property zoned agricultural at four acres or more
- DSCR rental closings take 25 to 35 days, far slower than the 7-day fix and flip timeline
Kiavi wins on leverage and coverage. Up to 100% loan-to-cost with 100% of rehab funded beats Lima One Capital at 95% and CoreVest at 93.5%, and 49 states plus DC is a wider map than Lima One and CoreVest at 46 each or New Silver at 40. It lends off its own balance sheet rather than as a broker or a marketplace, and in-house valuation on fix and flip, bridge and new construction replaces the third party appraisal that stalls most timelines. Unlike Lima One, it does not require a prior exit, so a first flip qualifies.
Skip it if your credit is thin. The 660 direct and 680 broker minimum sits above Groundfloor and CoreVest at 640 and RCN Capital at 650. You need a business entity in every state, Utah is off the map, and mixed use, commercial, mobile homes and rural agricultural parcels of four acres or more are out. Kiavi will not publish an origination fee, so get the number in writing before you commit. Budget 25 to 35 days if the deal is DSCR rental rather than a 7 business day flip.
5. Lima One Capital
Best for: High-leverage fix and flip loans backed by a publicly traded REIT.
Lima One Capital is a direct lender, not a broker or a marketplace. It has funded over $10 billion across more than 30,000 loans in 46 states since 2010, and its parent company is MFA Financial, a publicly traded REIT. Underwriting, appraisal, construction draws and servicing all happen in house.
FixNFlip is the headline product. Loans run $100,000 to $5,000,000 on 1 to 4 unit residential properties, with up to 95% loan to cost, 75% LTV, and 100% of the rehab budget funded through draws. Rates start at 7.25%. Terms are 13, 19, or 24 months, interest only, and you pay interest only on funds actually drawn. Underwriting looks at credit, liquidity and experience rather than tax returns.
Single Family Rental DSCR loans run $85,000 to $2,500,000 at up to 80% LTV on purchase and rate/term refinance, 75% on cash out, from 6.00%. New construction reaches 90% LTC and $5,000,000 from 8.95%. Multifamily bridge runs $10,000,000 to $25,000,000.
- Up to 95% LTC plus 100% of the rehab budget on FixNFlip, among the highest published leverage of any lender on this list
- Backed by MFA Financial, a publicly traded REIT, with over $10 billion funded and 30,000-plus closed loans since 2010
- Fully in house: underwriting, appraisal, construction draws in as little as 24 hours, and servicing with an assigned analyst
- Rental DSCR loans carry no personal income requirement and no investment experience minimum
- Origination fee can be deferred to exit on FixNFlip, and internal refinances get a discounted origination fee with seasoning waived
- Borrowing capacity set at up to 10x liquid assets, so approved investors can run several deals at once
- Foreign nationals are eligible across fix and flip, rental, and ground up construction
- Fix and flip requires one investment property exit in the last 36 months, so genuine first-time flippers do not qualify for the flagship product
- Minimum 660 FICO on fix and flip and rental, and 700 on BridgePlus, higher than several competitors
- No origination fee or points percentage is published anywhere on limaone.com, so pricing is quote-only
- Does not lend in Alaska, North Dakota, South Dakota, or Vermont, and does not lend in Puerto Rico
- Fix and flip property must have a minimum as-is value or purchase price of $100,000
- About three weeks to fund a fix and flip even for repeat borrowers, slower than lenders publishing 10-day closings
Lima One is built for the investor already in motion. Up to 95% LTC plus 100% of the rehab budget is among the highest published leverage on this page, and draws that land in 24 hours keep a rehab moving. Behind the money sits MFA Financial, a publicly traded REIT, so the balance sheet is unlikely to go quiet mid-project the way a small private lender can. Underwriting on credit, liquidity and experience rather than tax returns suits self-employed investors, and exposure of up to 10x liquid assets lets an approved borrower run several deals at once.
The gate is experience. FixNFlip requires one investment property exit in the last 36 months and a 660 FICO, so a true first-timer belongs at RCN Capital, which publishes a dedicated first-time flipper tier, or on Lima One's own rental side. Speed is the other gap. Roughly three weeks to fund a flip even for repeat borrowers trails Kiavi at 7 business days and New Silver at 10, and only BridgePlus closes in as few as seven days. Skip it if you are bidding at auction.
6. RCN Capital
Best for: Rehab-heavy flips where interest accrues only on what you have drawn.
RCN Capital is a private direct lender that has been writing investor loans since 2010. It is headquartered at 75 Gerber Rd East in South Windsor, Connecticut, NMLS #1045656. It lends in every state except Alaska, Nevada, Utah, North Dakota, South Dakota and Vermont.
Fix and flip and bridge rates start at 9.49%. The ARV program funds up to 100% of the purchase price plus 100% of renovation costs, capped at 75% of the after-repair value. Interest accrues only on the balance you have actually drawn, not on the full rehab holdback. There is no application fee and no prepayment penalty, though third-party costs like the appraisal still apply.
Minimum FICO is 650 on bridge, ARV and ground-up construction, and 660 on the 30-year rental loan. Leverage is tiered by completed track record. RCN advertises closings in as few as 10 business days with in-house approvals. All loans are business purpose only, secured by non-owner-occupied property and issued to a business entity.
- Interest accrues only on the outstanding balance, not on the undrawn rehab holdback
- Funds up to 100% of renovation costs, and up to 100% of purchase price at the top experience tier
- No experience minimum, and first-time flippers get their own published leverage tier
- No application fee or upfront lender fee, and no prepayment penalty on fix and flip
- Four programs under one roof: bridge, ARV fix and flip, 30-year DSCR rental, and ground-up construction
- Does not lend in Alaska, Nevada, Utah, North Dakota, South Dakota or Vermont
- Publishes no origination point range, so total cost is not comparable until you get a quote
- First-time flippers cap at 85% of purchase price and 70% of ARV, and heavy rehab is not permitted
- Core loan amounts stop at $3,000,000, larger deals route to a separate Structured Finance desk
- 1% termination fee after month 9 on the ARV program
- Business purpose only, no owner-occupied property, and the loan must be issued to an entity
Take RCN when the rehab budget is the biggest number in the deal. Interest accrues on the drawn balance only, so a six-figure renovation released in draws costs you less carry every month than a lender billing on the full holdback. Only Lima One matches that on this page, and Lima One will not take a first-time flipper on its flagship flip product.
Experience does not gate approval here, it prices it. Zero flips in the last three years caps you at 85% of purchase price and 70% of ARV, and heavy rehab is not permitted at that tier. The 100% of purchase price tier is narrow. It wants 10 completed flips, 5 of them in the same state, a 720 FICO and a loan of $800,000 or less.
Skip it if your deal clears $3,000,000, which routes to a separate Structured Finance desk and probably belongs with CoreVest. Skip it in the six excluded states. RCN publishes no origination point range, so get the quote before you model returns.
7. CoreVest
CoreVest is a portfolio lender in Irvine, California, operating as CoreVest American Finance Lender LLC under NMLS #1627183. It is a Redwood Trust subsidiary and publishes $26 billion in loans closed across 182,000 projects.
Rental portfolio loans run $500,000 to $50 million and up, bundling five or more properties under one note on 3, 5, 7 or 10 year terms. A revolving credit line runs $1 million to $50 million at up to 90% of cost. Fix and flip runs $75,000 to $3 million and up on 6 to 24 month terms at up to 93.5% LTC. Ground-up construction runs $250,000 to $7.5 million at up to 90% of total project cost, interest only. The single-asset 30-year DSCR loan reaches 80% of value at a minimum 0.80x DSCR.
Rates run 5% to 11.5% and are priced off credit, experience and product, with origination and closing fees of 1% to 2.5%. CoreVest lends in 46 states, business purpose and non-owner-occupied only.
- Portfolio loans from $500,000 to $50 million and up, bundling 5 or more rental properties into one note
- Up to 93.5% LTC on 1 to 4 unit fix and flip deals, higher leverage than most competitors publish
- No prior investing experience required, confirmed on CoreVest's own FAQ page
- Direct lender with in-house credit, underwriting and capital markets teams, backed by Redwood Trust
- Zero origination fee option on the single-asset 30-year DSCR loan
- Ground-up construction finances the interest reserve for the life of the loan with no prepayment penalty
- Revolving line of credit from $1M to $50M+ at up to 90% of cost for investors running multiple deals at once
- Does not lend in Nevada, Idaho, North Dakota or South Dakota. Vermont loans must exceed $1 million
- Rental loans typically take 4 to 6 weeks to close, far slower than the 10 to 14 business days on fix and flip
- Long-term fixed-rate rental loans carry yield maintenance prepayment penalties
- Some programs require the property to be held in a Special Purpose Entity, usually an LLC
- Minimum credit score climbs to 680 or 720 on multi-property portfolios
- Will not finance owner-occupied homes, mobile or manufactured housing, co-ops, mixed-use or commercial property
CoreVest is where the deal outgrows the rest of this page. Most hard money shops stop around $3 million on a single deal. CoreVest bundles five or more rentals into one note and runs a credit line to $50 million, so an investor running several properties stops underwriting them one at a time. Kiavi and RCN Capital are faster on a single flip. Groundfloor and New Silver are built for the one-deal borrower. Visio Lending competes on the single-asset DSCR loan, not on portfolios.
Entry is easier than the loan sizes suggest. The 640 minimum on standard rental and single-asset loans ties Groundfloor for the lowest floor here, and no prior flips are required, where Lima One asks for a completed exit and RCN prices experience into leverage. Draws are third-party inspected and wired in 2 to 5 business days.
Skip CoreVest if you need one quick flip. Rental closings run 4 to 6 weeks and long-term fixed loans carry yield maintenance. Skip it too if the property is a co-op, mixed-use, assisted living, manufactured housing or owner-occupied.
What is a Hard Money Loan?
A hard money loan is a short-term loan secured by real estate and underwritten mainly on the value of the property. Real estate investors use them because auctions and distressed deals demand cash and a fast close. A conventional mortgage cannot move at that speed. It takes weeks.
The paperwork gap is the reason. A conventional mortgage requires employment history, proof of income, credit history, debt-to-income ratios, appraisals, title insurance and settlement statements, and most of it has to be verified before anyone will commit. A hard money application for an investment property can come back with an answer in an hour.
A conventional lender approves or denies on all of that documentation. A hard money lender approves on the asset, the equity and the exit. That is the whole difference, and it is why the rates are higher.
Hard money loans are generally used by the following:
- Buy-and-hold investors who purchase a home in need of repairs, fix it up and rent it out to others.
- Fix-and-flip investors who purchase property in need of repairs, renovate it and sell it within a year.
- Portfolio investors who are building the size of their rental property portfolio by owning several properties at once.
If you are still assembling your toolkit, our roundup of the best real estate apps for investors covers the software side of the same job.
Why are Hard Money Loans Gaining Popularity?
Here are a few of the many reasons why hard money loans keep gaining ground with investors.
Loans are approved and funded much quicker
The application is short. Several lenders on this page publish closings in as few as 7 to 10 business days, and New Silver publishes an average time to close of 10 days. A conventional purchase mortgage rarely clears in under 30.
Hard money offers carry more weight with sellers
Tell a seller you are financing with hard money and the offer reads closer to cash, because the timeline is short and the approval does not hinge on your pay stubs. Tell them you are applying for a conventional mortgage and they price in the risk of a 45-day escrow falling apart.
Hard money loans offer room for negotiation
A motivated seller will negotiate on price when the transaction involves a fast, certain close. Speed is leverage.
Credit and income history matter less
Conventional mortgages weight credit scores, employment and income heavily. Hard money weights the property value, the after-repair value and the down payment. Credit still sets a floor, and on this page that floor runs from 640 at CoreVest and Groundfloor to 680 at Visio Lending, but one blemish on a report is far less likely to end the conversation.
More deals become available
Investors get better pricing when the seller knows the close is certain, and they can chase deals that a conventional lender would not touch. A house that fails an appraisal for habitability is a normal hard money deal.
A borrower can carry multiple loans
Banks cap total exposure on debt-to-income. Hard money lenders size exposure on equity and liquidity. Lima One Capital, for example, publishes a maximum exposure of up to 10x your liquid assets, which is how an investor runs four projects at the same time.
Hard money loans offer more flexibility
These are business-purpose loans on non-owner-occupied property, so they sit outside the consumer mortgage rulebook. They are not subject to the Truth in Lending Act. That gives the lender room to restructure a draw schedule or extend a term when a project runs long, and it also means you carry more of the risk yourself.
Frequently asked questions
What borrowers ask before they apply for a hard money loan.
All figures on this page are taken from each lender's own published materials as of August 2026 and are subject to change. Nothing here is a loan offer, a commitment to lend, or financial advice.
Our pick for most investors
One direct lender covering fix and flip, rental and ground up construction, with a 5-minute application and a soft credit pull.
- You want fix and flip, DSCR rental and ground up construction from one direct lender instead of three
- You need a proof of funds letter today. The application generates one automatically in about 5 minutes
- You are shopping and do not want a hard credit pull. The check is a soft pull at underwriting
- Your credit score is 650 or higher, the property is non-owner-occupied, and it sits in one of the 40 states New Silver serves
Our #1 pick: New Silver. Get approved online in about 5 minutes. No hard credit pull.
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