100% Hard Money Financing
- No Money Down Loans are Possible!
- The Step-by-Step Approach to Flipping for Killer Profits
- Advanced Finding Strategies for Finding Deeply Discounted Properties
- How to Accurately Value Properties so You Rarely Lose Money
- The Private Money Lender with the 100% Financing You Need
What is 100% Hard Money Financing?
Hard money financing is a short-term loan secured by real estate rather than the borrower’s creditworthiness or their ability to make monthly payments over a long period of time. Hard money loans are offered by hard money lenders or a private lender.
The most common use of hard money financing is for fix and flip investors. A real estate investor brings a deal with profit potential (meaning a property that can be fixed up and resold for a profit) to a lender. Rather than looking at the borrower’s debt-to-income ratio, they’ll investigate whether there’s enough profit potential in this deal to pay off the loan after the 5-12 month loan term is up.
Many hard money lenders look at credit score, but it plays a less important role than in a conventional mortgage. Many lenders also require prior successful flips as well as larger down payments than with a conventional mortgage.
In order to justify the risk of a short-term loan, hard money lenders also charge higher interest rates than traditional banks—often 10% or higher. However, the interest costs aren’t exorbitant because loan terms are so short.
Why Use Do Hard Money for Your 100% Hard Money Financing
With most hard money lenders, you’ll be required to bring 20% or more of total project costs to the closing table, often totalling $30k – $50k—even with lenders that advertise 100% financing.
We’re the only hard money lender that offers true 100% financing. In other words, for great deals, we don’t require our borrowers to bring any cash-to-close. While other lenders won’t take on that much risk, our proven system, risk evaluation, and resources have allowed our borrowers to thrive even without putting any money down.
How Do You Qualify for 100% Hard Money Financing?
The main number that you need to keep in mind is 75%.
We are willing to lend up to 75% of a property’s after repair value (ARV)—so if you can fit all your costs under that 75% number, then you’ve got a great shot at 100% financing.
Here’s how that looks:
Let’s say that you find a property that you believe will sell for $300k once you’ve fixed it up and sold it.
$300,000 x 75% = $225,000
Now, you believe it’s going to cost you $50k to fix it up, and another $20k in closing and loan costs.
That means your target purchase price for that property is $155,000. If you can secure that price, you’ll likely qualify!
(If you’re wondering how it’s possible to get a property for so much cheaper than its ARV, you’ll want to read our Find Sellers page.)
Here’s a real-life example of a deal that one of our members found. These numbers were calculated using our proprietary Advanced Deal Analyzer software:
Here’s a real-life example of a deal that one of our members found.
These numbers were calculated using our proprietary Advanced Deal Analyzer software:
We don’t require:
- Previous experience
- Credit Score
- Minimum Down Payment
No matter who you are, no matter your past (with very few exceptions), and no matter how much money you have or make, you can go out and find a great deal that we’ll finance 100% of the cost.
What if Your Loan Doesn’t Qualify for 100% Financing?
Only the best deals qualify for 100% financing—37% of our borrowers qualify for 100% financing loans—but that doesn’t mean it’s not a good deal.
In fact, our median cash-to-close number is $2,183—much lower than what borrowers pay with every other hard money lender out there.
Here’s a real example of a deal with some cash-to-close:
If that doesn’t work, teaching you how to find other sources of money is a major part of our system. We’ll teach you strategies such as
- Home equity line of credit
- Retirement accounts
- 0% interest credit card advances
- “Love” money
Our Investor’s Edge software maintains a database of 160 million properties that you can sort any way you like.
With a few clicks, you can pull a list of vacant properties with over $50k in equity—in your zip code. With a few more clicks, you can pull the owners’ info and send them postcards.
It’s all now available in our brand-new app.
The better you are at finding and closing, the more properties you bring us. It’s a classic win/win.
That’s why our system includes:
- Postcard templates
- Phone scripts
- Contract templates
- Motivated seller checklists
- Rehab checklists and estimates
And much more. We put everything we could think of in there.
Loan Rates and Details
- No minimum credit score
- No experience required
- Up to 100% financing
- Interest rates beginning at 12%
- Origination as low as 3.5%
- Lend up to 75% ARV
- Loans up to $350k
- No prepayment penalties
- No payments for 5 months
Paul is a real estate agent wanting to free up some of his time for family and other interests.
Net Profit: $60,000
Shane is a veteran running multiple businesses. He started in real estate to help increase capital to further his entrepreneurial goals.
Net Profit: $60,000
Choose Do Hard Money
While we do fund deals for experienced investors, our main goal is to help new investors get started. That’s why we created a sustainable way to find deals, and then put together loan programs that make sense for everyone.
We’re willing to take on more risk because we have the experience and systems in place to give you the best chance of success. Plus, it just makes us happier to give people a shot at financial freedom, as long as they’re willing to work hard.
Let’s work together to flip your first (or next) deal.