Hard Money Loan Rates Today
AAPL Member · Direct Lender Since 2016 · NMLS #1979189
Everyone wants a single number, and any lender who posts one is either out of date or hiding the points. Hard money rates move with the broader rate environment and, more importantly, with the specifics of your deal — so the honest answer to “what’s the rate today?” is “it depends, and here’s exactly what it depends on.” Hard money loan rates are priced on the deal: the property, your leverage, your experience, and your exit. This page explains the components that make up your real cost of capital and what pushes your number up or down, so you can walk into a quote knowing what you’re looking at. We’ve priced these loans as a direct lender since 2016.
Rate Is Only Half the Cost — Know the Two Numbers
The cost of a hard money loan has two main parts, and comparing lenders on one alone is how investors get surprised. The first is the interest rate, charged on the balance, almost always interest-only on a short-term hard money loan so your monthly carry stays low. The second is points (origination), a one-time fee charged as a percentage of the loan at closing. A loan with a slightly lower rate but higher points can cost more than one with the reverse, especially on a short hold. When you compare offers, compare rate and points together, against the length of time you’ll actually hold the loan.
What Drives Your Rate Up or Down
Several factors set where your deal prices within the market range. Leverage (LTV/LTC) is the biggest: the more of the deal we fund, the more risk we carry, so higher leverage prices higher, and a bigger down payment earns a lower rate. The deal’s margin matters too — a property with wide spread between your all-in cost and its value (or ARV) is lower-risk and prices better than a thin deal. Experience helps: a proven track record of completed projects earns better pricing, while first-time borrowers price a bit higher to offset execution risk. Credit plays a part — we have no minimum score, but stronger credit improves your rate, and a weaker score is offset with a higher rate, lower leverage, or more reserves. The exit and term factor in, since a clean, fast exit on a short term is lower-risk than a long, uncertain one. And finally the market: like all lending, hard money pricing moves with the broader interest-rate environment.
Term, Structure, and Prepayment
Most hard money loans run 3 to 24 months, interest-only, sized to your project. Because the whole point is a short hold, you want to confirm the prepayment terms — whether there’s a minimum interest period or a penalty for paying off early — since a flip that sells fast shouldn’t be punished for it. Ask about any minimum-interest guarantee up front so your real cost matches your timeline. Size a deal yourself first on our hard money loan estimator, then get a live quote for the actual number.
Why We Quote Live Instead of Posting a Rate
A posted “today’s rate” is marketing, not a commitment — your actual rate isn’t knowable until we see the property, the leverage, and your file. Quoting live means the number you get is the number that applies to your deal, not a teaser that changes at application. It also means we can structure the rate against your priorities: lower points if you’re holding longer, lower rate if you’re minimizing monthly carry. The requirements page shows what we look at to produce that quote, and you can compare the rental side on our DSCR loan rates today page.
What Affects Your Hard Money Rate
What Affects Your Hard Money Rate
Frequently Asked Questions
They vary by deal and move with the broader rate environment, so there’s no single honest number to post. Your rate depends on your leverage, the deal’s margin, your experience and credit, and your exit. The fastest way to a real number is a live quote on your specific property.
Because the loan is faster, more flexible, and underwritten on the property rather than your income — and it’s short-term. You’re paying for speed and certainty of close, and since you typically hold the loan only a few months, the total interest cost is small relative to the deal it lets you capture.
Points are a one-time origination fee charged as a percentage of the loan at closing, separate from the interest rate. When comparing lenders, always look at rate and points together against how long you’ll hold the loan, because a low rate with high points can cost more overall.
Yes — bring more down payment to reduce leverage, bring a wider-margin deal, strengthen your credit, or lean on your track record. Each of these lowers our risk and your pricing. We can also shift cost between rate and points to fit your hold period.
Almost always, yes. Short-term hard money loans are typically interest-only, which keeps your monthly carrying cost low while you execute the project and exit through a sale or refinance.
Want a real number on your deal?
Tell us the property, the leverage, and your exit. We price our own loans, so the quote you get is real — not a broker’s markup.