Hard Money Loans: Fast Funding When Every Day Counts

Hard money loans are short-term, property-backed loans from private investors that can fund your deals in days rather than weeks . Unlike bank mortgages, hard money is all about the real estate. Lenders (often private companies, not banks) focus on your property’s value as collateral, not your credit score . In 2025 this means paying a premium – typical hard-money rates run in the low double digits, around 10–18%  – but for fix-and-flip investors or urgent purchases, speed and flexibility often beat price.

Why use a hard-money loan? When traditional lenders stall, hard money lenders like Grand Funding say “let’s make it happen.” These lenders don’t require bank–style income docs or years of tax returns. Instead, they care about your exit plan and property’s value. If you have significant equity (usually 30–50%) and a solid plan to rehab and sell (or refinance), a hard-money lender can approve you quickly. For example, some hard-money deals close in as little as 5 business days , helping you jump on hot markets.

The tradeoffs: Hard money isn’t cheap. In return for quick cash, you’ll pay higher interest and hefty fees. Loans typically have short terms (6–18 months) and may include origination or prepayment penalties. Make sure your numbers work: budget your project tightly, because defaulting means losing the property.

Picking a lender: Not all hard-money lenders are created equal. Look for transparent terms and experience. Grand Funding – with decades in Southwest investing – prides itself on clear offers and no hidden traps. Always read the fine print: verify loan rates and fees in writing, check lender reviews, and ask about exit options. A reputable lender will explain costs upfront and keep your project on track.