ServicesHard Money Loans
Hard Money Loans in Round Rock
A hard money loan is short-term financing built on the property, not your tax returns. It suits investors buying a fixer, closing fast or carrying a project until it sells. We help you line it up before the deal shows up, so you can move when it does.
What a hard money loan is for
This is a tool for real estate investors. The loan is based mostly on the value of the property and your plan for it. Credit and income still matter, but less than on a conventional loan. Terms are short, often around a year, and the rate is higher than a regular home loan.
It is the right call when speed or the condition of the property rules out a bank. A house that needs a new roof and kitchen may not pass a conventional appraisal. A seller who wants to close in a couple of weeks will not wait on a full underwriting file.
It is the wrong call for a place you plan to live in long term. If that is you, look at our Conventional Loans or FHA Loans pages instead. We will tell you plainly if a hard money loan is not the best fit.
What we handle on a hard money loan
- Purchase funding
- We finance part of the purchase price based on what the property is worth today. How much depends on the deal and your down payment.
- Rehab draws
- Renovation money can be built into the loan and paid out in stages as the work gets done. Each draw is checked against your budget and scope before funds go out.
- Finished-value review
- We look at what the property should be worth after the renovation. That number shapes how much we can lend and whether the deal holds up.
- Exit planning
- Every hard money loan needs a way out. We talk through selling, or moving into a longer-term loan once the work is done, before you sign anything.
- Clear term sheet
- You get the rate, points, fees and payoff terms in writing. No line item should surprise you at closing.
Signs a hard money loan fits your deal
The property needs real work
Missing systems, a gutted kitchen or foundation trouble can sink a bank appraisal. Hard money lenders expect that and lend on the plan.
The seller wants a fast closing
Auctions, estate sales and distressed sellers often need to close quickly. A bank timeline can cost you the deal.
You flip or rehab for a living
If you buy, renovate and sell on a cycle, short-term money matches how you work.
Your income is hard to document
Write-offs and irregular deposits can make a full-doc loan tough. If you still want a long-term loan, our Bank Statement Loans page may help too.
You need to buy before you sell
Sometimes the next property comes up before the last one closes. Short-term financing can carry the gap. Our Bridge Loans page covers the owner-occupied side of that.
What moves the cost of a hard money loan
Hard money costs more than a regular home loan. You pay for speed and flexibility. The rate, the points and the fees all depend on how risky the deal looks, so we walk through each one by phone when we give you rate quotes.
Loan-to-value
The more of the price you put down, the better the terms usually get. A thin down payment means more risk and a higher cost.
Your track record
A borrower with several finished flips often gets better terms than someone on their first project. First deals can still work with more cash in.
Property condition and scope
A cosmetic refresh is lower risk than a full gut job. Bigger scopes mean more draws and more checks along the way.
Loan term and extensions
Shorter terms keep interest down. Running past the term can bring extension fees, which is why a realistic schedule matters up front.
Your exit
A clear path to sale or a refinance into a long-term loan lowers risk. A vague exit raises it.
How it works, start to finish
- 1
A phone call about the deal
Tell us the address, price, your rehab budget and how you plan to exit. We will say early if the numbers look thin.
- 2
Pre-qualification before you bid
We review your experience, cash on hand and credit, then set a range you can work with. Do this before you need it. Investors who wait until the contract is signed lose days they do not have.
- 3
Valuation and scope check
We look at the property as it stands and its value once finished. Your contractor bid and timeline get reviewed so the draw schedule makes sense.
- 4
Closing and draws
Once terms are set, we close with the title company and fund the purchase. Rehab money is released in stages as work is completed and checked.
Hard money loan questions
How fast can a hard money loan close?
Much faster than a conventional loan in most cases, because the review centers on the property. The real timeline depends on the appraisal, title work and how quickly you get us documents. Getting pre-qualified before you find the deal saves the most time.
Do I need good credit?
Credit still counts, but it is not the main factor. The property, your down payment and your plan carry more weight. We will look at your full picture on the first call and tell you where you stand.
Can I use a hard money loan to buy a place to live in?
Generally no. These loans are built for investment property. If you plan to live there, a conventional, FHA, VA or USDA loan will cost you far less over time.
How much cash do I need to bring?
Plan for a down payment, closing costs and a cushion for overruns on the rehab. The exact amount depends on the purchase price, the scope and your experience. We go over it line by line so nothing catches you at closing.
Do you work on deals outside Round Rock?
Yes. We work with investors buying in Georgetown, Pflugerville, Hutto, Leander and the surrounding area. Meetings happen at our office, or by phone and video.
What happens if my rehab runs long?
Tell us early. Extensions are often possible but usually cost extra. That is why we build the timeline with some slack before you close.
Line up your funding before the next deal
The best time to set up a hard money loan is before you are under contract. One call gets us talking about your numbers and your plan.