How is private (hard money) lending different from a bank loan?

We are asset-based, which means we underwrite the property, its equity, and your business plan rather than your personal income and tax returns. That lets us fund in days instead of the 30 to 60+ days a bank takes, on short interest-only terms built around a flip, refinance, or sale. You pay a higher rate than a bank in exchange for speed, flexibility, and certainty on deals a bank cannot fund in time.

How fast can you close?

Fix and flip and residential bridge loans typically close in 5 to 7 days once we have your basics. Rental (DSCR) loans usually take 2 to 3 weeks because of the appraisal and rent verification, and SBA financing runs 30 to 90 days. The biggest variable is how quickly title, insurance, and your documents come together.

Do you check credit, and is there a minimum score?

We do run credit, but on our asset-based loans it carries far less weight than at a bank, and weaker credit can often be offset with a larger down payment or lower leverage. There is no personal income test on these programs. Credit matters most on long-term rental loans, where we look for a 640 minimum and it affects your rate and leverage.

Do I need to provide income documents or tax returns?

Generally no. Our bridge, fix and flip, and construction loans qualify off the property and your equity, and our DSCR rental loans qualify off the property's rent, so we do not ask for W-2s or pay stubs. We will want to see bank statements or proof of reserves. SBA and conventional investment loans are the exceptions and are fully documented.

What do you need to give me a quote?

Just the basics of the deal: the property address or type, the purchase price or current value, your rehab budget, the loan amount, and your exit plan. We can often pre-qualify you over the phone or through a short application and issue a proof-of-funds letter before you are even under contract.

What is a point, and how do your rates compare to a bank?

A point is an upfront fee equal to 1% of the loan amount, and origination on private loans typically runs 1 to 3 points. Our rates are higher than a bank, generally in the high single digits to low teens depending on the program, because the loans are short, fast, and flexible. When you compare offers, weigh the rate and the points together as your true cost of capital.

Getting Funded · 4 min read

What Documents Do You Need for a Hard Money Loan?

The short answer

Hard money is light on paperwork, but a few documents speed your close. Here's the checklist of what to have ready before you apply.

A hard money loan needs far less paperwork than a bank loan, because it is asset-based, no W-2s or tax returns. What the lender does need centers on the deal, the property, and your entity. Having it ready is the single biggest factor in a fast close.

The document checklist

Purchase contract (or current value/payoff for a refinance)
Scope of work and rehab budget for a fix and flip
Entity documents — LLC formation and operating agreement
Bank statements / proof of reserves (not income docs, just liquidity)
Insurance — a binder for the property
ID and basic borrower info, plus authorization to pull credit
Exit plan — how the loan gets paid off (sale or refinance)

What you do not need

No tax returns, no W-2s, and no pay stubs on most asset-based programs. The lender underwrites the property and your plan, not your personal income.

Why it matters

Title, insurance, and your documents are what drive the timeline, not the lender's decision. A complete file can close in days; a thin one drags.

Frequently asked

What documents do you need for a hard money loan?

The purchase contract, a scope of work and budget for a rehab, entity documents, bank statements showing reserves, an insurance binder, ID, and an exit plan. No tax returns or W-2s on most programs.

Do hard money lenders require tax returns?

Generally no. Asset-based loans qualify on the property and your plan, so they skip tax returns and pay stubs, though they verify reserves and the entity.

What slows down a hard money closing?

Usually title issues, insurance, or slow document turnaround from the borrower, not the lender. A complete file can close in days.

Rates, leverage, and timelines mentioned in this guide are typical figures, subject to underwriting and market conditions. Not a commitment to lend. Nothing here is legal, tax, or investment advice.

Related programs

Fix and Flip CRE Bridge

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Hard Money vs Private Money Hard Money vs Conventional Loan

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