How Does A Hard Money Loan Work?

A hard money loan works as an asset-based loan, meaning that while hard money lenders take into consideration the investor’s credit score, this is not a crucial factor in determining his or her eligibility. Instead, lenders require that you use real estate property as collateral.

We Provide Competitive Non-bank Lending Options

They use the price of the property to calculate the risk of the loan and the Loan To Value (LTV). On the other hand, real estate developers, investors, and flippers use hard money to get the required funds to close time-sensitive deals where they can get a property at a low price, flip (fix) it, raise the value of the property and then sell or rent at a profit.

The main reason real estate investors choose to apply for a hard money loan is that private lenders can fund the deal within a week–or less if the borrower meets all the qualifications.

HML’s work great on short-term flips and rehabs, or for first-time purchases, yet on longer-term investments, HML’s are not the best idea.

Hard money loans also work similarly to bridge loans. They both have similar criteria for lending. Bridge loans are solely for buying real estate properties or investment properties that don’t qualify for traditional lending programs. A bridge loan can also be used as a down payment for a new home when the buyer hasn’t sold their current house yet.

Bridge loans can be issued by traditional and private lenders, and HMLs are only issued by private lenders, like Titan Group Consulting..

Hard money loans also works similarly to bridge loans

Eligible Properties

  • Single Family: 1-4 unit non-owner occupied
  • Multi Family: 5+ Units
  • Mixed Use: Retail plus apartments
  • Retail and Restaurants
  • Office: Apartment Buildings
  • Warehouses and Industrial Properties
  • Churches and other Special Use Properties
  • No primary residences Vacant land, or rural properties.

Titan Group Consulting has been rated among the top Private Hard Money Lenders in the country. Specializing in helping seasoned and beginner real estate investors by providing short-term mortgage solutions to acquire fix and flips, rental properties, rehab, or refinance commercial properties all across the United States.

Our Loan Programs are Tailored to Your Needs

What Do I Need To Qualify For a Hard Money Loan?

The first thing you’d need to get approved for a Hard Money loan is to have at least 25% to 40% down payment in the case of a purchase, or substantial equity in the property if you’re looking for a cash-out refinance.

The higher the down payment or property equity you have, the more likely you will be approved. We will also look at your credit score and cash reserves. We look at this to assess if you can make payments on time and pay for other costs like taxes, insurance, etc. Last but not least, we will look at the borrower’s experience in real estate.

If this is the first time that the borrower is going to finance investment real estate, he or she might face more scrutiny than a borrower with years of experience in these types of deals.

Working with Fix and Flip lenders like Titan Group Consulting is a straightforward process tailored for investors.

Just contact us with the answers to these questions and we will give you a quick estimate:

  1. Property Address?
  2. Property type?
  3. If purchase, what is the purchase price and down payment available?
  4. If refinance, what is the estimated value? And what is the amount owed?
  5. Closing under entity (LLC or Inc) or personal name
  6. Amount of liquid assets available?
  7. How many investment properties have been owned by the borrower in the last 36 months?
  8. What is the estimated credit score?
  9. Is the property generating income?
  10. Rate and term expectations?

We provide competitive non-bank lending options for commercial real estate and residential rental properties.

  • Loan Amount: $100,000 – $50,000,000
  • Terms: 12 months to 30 years
  • LTV: up to 75%
  • Amortization:  Up to 30 years
  • Interest Rate: Starting at 7%
  • Foreign nationals qualify
  • Low Credit and tax issues: are not a problem
  • Payments: Interest-only monthly payments, or fully amortized periods
  • Closing time: 2 to 4 Weeks
  • Rehab Costs: Up 100%
  • Lien position: First only
  • States Available: All 50 U.S. States


Get approved online within minutes

transaction type
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  • Purchase
  • Refinance
property type
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  • Residential
  • Commercial
  • Land
  • Mixed


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