Hard money loans, explained by the lender that funds them.
A hard money loan is a short-term, asset-based loan for real estate investors: decided on the property and the plan, not on your tax returns, and funded in days or weeks instead of months. We are a direct private lender, so the people who price your loan are the ones who fund it and its draws.
Hard money or a bank loan?
| Term | Hard moneyAsset-based | Bank or agency loanIncome-based |
|---|---|---|
| Decided onWhat the lender reads. | The property, the plan and your experience | Your income, tax returns and debts |
| SpeedApplication to closing. | Days to a few weeks | Usually a month or more |
| Condition of the propertyWhat it can finance. | As-is, with the renovation financed | Move-in ready |
| TermHow long it lasts. | Months to two years | 15 to 30 years |
| CostRate and points. | Higher rate plus origination points | Lower rate |
| Best forThe job each fits. | Buy, renovate, sell or refinance | Hold for the long term |
Holding for the long term? A DSCR loan refinances a hard money loan on the property’s rent.
What our hard money loans cost.
| Term | Fix & flip · SilverBest rate | Fix & flip · Max LeverageUp to 95% of purchase | Ground-up1–4 units |
|---|---|---|---|
| Rate fromSet by experience, credit, leverage and the property. | 8.99%* | 9.75%* | 9.85%* |
| OriginationPoints, paid at closing. | 1.25 points | 1.75 points | 1.25 points |
| PurchaseAdvanced at closing. | Up to 90% | Up to 95% | Up to 80% |
| Renovation or constructionReleased in draws. | Up to 100% | Up to 100% | Up to 100% |
| TermWith extensions available. | Up to 24 months | ||
5–30 unit buildings: from 10.99%, 1.5 points, up to $15M.
Hard money loan questions
What is a hard money loan?
A short-term loan secured by real estate and decided mainly on the property and the plan rather than your income. Investors use it to buy, renovate or build, then sell or refinance into a long-term loan.
What is a hard money lender?
A private lender, not a bank, that makes asset-based loans to real estate investors. A direct hard money lender, like us, prices, closes and funds the loan itself instead of passing it to someone else.
How much do hard money lenders charge?
A rate plus origination points. Ours start at 8.99%* with 1.25 points on fix & flip (Silver), or 9.75%* with 1.75 points for up to 95% of the purchase (Max Leverage).
Hard money or private money — what is the difference?
Mostly the name. Both are non-bank, asset-based loans to investors; "private lender" is the word more investors search for today.
How fast can a hard money loan close?
In as little as two weeks from a signed application on eligible deals; title and third parties set the pace.
Do I need experience?
No. We work with first-time investors; more completed projects unlock higher leverage and better pricing.
Can I refinance a hard money loan?
Yes. Once the work is done and the property is rented, a DSCR loan or a DSCR cash-out refinance pays it off — with us, one lender for both. How the BRRRR method works.
Are you a hard money lender or a broker?
A direct lender. We underwrite, close and fund the loan and its draws ourselves.
Have a deal? Send it to the lender, not a middleman.
The purchase price, the plan and your timeline — or price it yourself in the term sheet tool.
*For business-purpose loans on non-owner-occupied investment property only. Not available for personal, family or household purposes. All loans subject to credit approval, underwriting and property eligibility. Rates, leverage and terms are indicative, change without notice, and not all borrowers will qualify; not a commitment to lend. YS Capital Group · NMLS ID 2609746 · Equal Housing Lender.