Private Lending for Hard Money Loan Programs in Arizona

When you need cash quickly, trying to get a traditional loan from a bank may take too long and will not guarantee funding. If you are looking for a better way to receive expeditious funding for an important project in Phoenix, a hard money loan from Capital Funding 1 may be a good option for you. As a short term loan option, hard money loans have a few significant benefits.

How Does a Hard Money Loan Differ from a Traditional Loan?

When you apply for a traditional loan, most banks and lenders scrutinize your debt-to-income ratio, credit score, and employment stability to ensure your ability to pay back their loan in full. Hard money is more often based on the value of the collateral you use to secure the loan. Therefore, your cash flow is less important because the collateral can be sold to recuperate the losses of the lender. Hard money loans tend to be short term loans, in part due to higher interest rates than traditional loans. However, this should not be a surprise when you search for higher risk loans that require less paperwork and have more flexible terms.

How Do Hard Money Loans Work?

The underwriting process differs from lender to lender. Most hard money lenders look at applications individually and offer funds on a case by case basis. The amount an applicant receives is based on a loan-to-value ratio set by the lender. For an LTV of 50%, the loan amount will be half of the value of whatever assets are used for collateral. Capital Funding 1 made the process even easier with a three-step process for securing a loan.

  • Submit a signed purchase contract
  • Underwrite loan
  • Loan funded

Capital Funding 1 makes it fast and simple for you to secure a hard money loan for construction, commercial projects, land and lot transactions, and fix and flip projects. Some loans may be approved and funded in as little as 24 hours with no credit check or tax information required.

Apply for Phoenix Hard Money Loans from Capital Funding 1

For fast funding on your next project, Capital Funding 1 wants to work with you. With impressive client satisfaction, more than a century of combined experience, and a commitment to long term business relationships, we want to help you and your business grow. If you are a real estate investor, Capital Funding 1 is an excellent choice for you. Contact us today to find out more from a private money loan expert and apply for a hard money loan.

When To Use It

There are a number of scenarios wherein private money loans can be incredibly useful. Investment properties, of the “fix and flip” or “buy and hold” varieties, are two good examples: 

   Fix and Flip Scenarios

  • Leverage your deal
  • Acquisition of a trustee or wholesale property
  • Use financing towards renovations

   Buy and Hold Scenarios

  • Acquisition of a new residential income property
  • Pull cash out to purchase another income property or to update your current one

A bridge loan is another example, where a person is able to get a bank loan after a private money loan, and then use that to pay off the private loan. There are other examples, of course, and we’re happy to discuss them and how best to make use of them.

Capital Fund 1

Serving the Phoenix, Flagstaff, Tucson, Prescott and other areas of Arizona, Capital Fund 1 wants to help those who need funding for real estate projects with courtesy and professionalism.  

Learn more about our Private Money Loan Programs

Rates Fee LTC* LTV* Term Prepayment Penalty?
Fix and Flip (Acquisition Only) 10.9%-15.9% $900** 90% 75% 6-12 Month NO LEARN MORE...
Buy and Hold 10.9%-14.9% 1-2 points 85% 70% 12-24 Months NO LEARN MORE...
Fix and Flip (Major Remodel) 10.9%-14.9% 1-3 point 85% 70% 12-24 Months NO LEARN MORE...
Commercial 9.9%-13.9% 2-3 points 80% 70% 12-24 Months Deal by Deal LEARN MORE...
Construction /Development 9.9%-13.9% 2-3 points 70% 70% 12-24 Months Deal by Deal LEARN MORE...
Land/Lots 10.9%-14.9% 2-3 points 70% 65% 12-24 Months Deal by Deal LEARN MORE...

* Maximum
** Additional Fees May Apply

For more information on our hard money loan programs, please fill out the form on the right, or contact us today at 480-889-6100.