Hard money loans do not have one posted rate. Pricing is based on the property, loan structure, borrower experience and exit strategy. Here is the interest-rate range borrowers may encounter in 2026—and what determines where a transaction is priced.
Whether you are financing a Fix & Flip project, commercial property purchase or bridge transaction, one of the first questions is usually: What is the interest rate? Unlike a conventional 30-year mortgage, a hard money loan is priced around the individual transaction. Two borrowers purchasing similar properties may receive different terms based on leverage, property condition, experience, liquidity and the strength of their exit strategies.
HardMoney Company is a family-owned direct private lender serving the Washington, D.C. metropolitan area and Southeast Florida, with lending experience in Maryland, Virginia, Kentucky, Ohio, Indiana and markets nationwide. We fund and service our own loans, giving borrowers direct access to the company making the lending decision. With more than $1 billion funded, our approach to pricing reflects decades of experience evaluating real estate investment transactions.
| HARDMONEY COMPANY LOANS AT A GLANCE | |
| Loan amounts | $150,000 – $5,000,000 |
| Average interest rate | 8% – 15% |
| Loan term length | 6 – 18 months |
| Loan-to-value (LTV) | Up to 80% |
| Points (origination) | 1 point = 1% of the loan |
| Funding time | As fast as 7 days |
Ranges reflect HardMoney Company’s loan programs and are not a rate quote or an offer of credit. Your exact rate, term, points, and down payment depend on the deal and are confirmed only after review.
Where hard money rates start in 2026
Across our loan programs, hard money interest rates in 2026 range from 8% to 15%, depending on the deal. Where a particular loan lands inside that range comes down to the property, the loan amount, your experience, and the strength of your exit strategy. Rather than a one-size-fits-all rate, expect a number built specifically around the project in front of us.
On top of the rate, hard money loans carry “points.” Each point equals 1% of the loan amount — so two points on a $150,000 loan is $3,000. Points are part of your total cost of capital and are worth weighing alongside the interest rate itself.
The key idea: there is no universal hard money rate. Treat the 8–15% range as a starting point, then expect it to move up or down based on the factors below.
Why hard money costs more than a bank loan
It’s fair to ask why an asset-based loan carries a higher rate than a conventional mortgage. A hard money loan is priced for what it delivers:
- Speed. We can close in as little as 7 days — often 5 to 10 — versus the weeks a bank takes. That speed is frequently the difference between winning and losing a deal.
- Flexible, asset-based underwriting. Approval is driven mainly by the value of the property, not strict credit criteria. We rarely deny a loan on credit alone, and we work with borrowers who have past bankruptcies, liens, or foreclosures when the deal makes sense.
- Short, project-length terms. Loans run 6 to 18 months, sized to a flip or a bridge. A higher annual rate can still be a small dollar cost on a short hold.
- No upfront fees, no middleman. We’re a direct lender — not a broker or “matrix” lender — and we close without upfront fees, which keeps the overall cost transparent.
For an investor who buys below value, renovates, and sells at a profit, paying for speed and certainty of funding is usually a rational trade. The real question is never the rate in isolation — it’s whether the project’s return justifies the cost of the capital.
The factors that move your rate
This is the part most rate articles skip. Here are the levers that determine where in the 8–15% range a specific deal lands.
1. The property itself
Because our loans are asset-based, the property is the foundation of the decision. A clean, marketable property in a strong area reads very differently from an unusual property type or a heavy rehab in a thin market. The easier the collateral is to value and resell, the more comfortable the pricing.
2. Loan-to-value (LTV) ratio
LTV compares the loan amount to the property’s value. We lend up to 80% LTV, and more borrower equity (a lower LTV) means more cushion for the lender — which supports a better rate. For flips, many investors use the 70% rule as a rule of thumb: the maximum loan is roughly 70% of the property’s value, so a $100,000 value points to about a $70,000 loan.
3. Borrower experience and track record
A documented history of completed projects is one of the strongest things you can bring to the table. We fund both seasoned investors and first-timers, but experience and a proven exit reduce risk — and lower risk supports better pricing.
4. Credit profile
Credit matters far less here than at a bank because the loan is secured by the property, and we rarely decline on credit alone. That said, stronger past performance can reduce the cash required and support a better rate, while weaker credit may raise the down payment or the rate.
5. Down payment and cash in the deal
Borrower contribution may range from 1% to 20%, depending on the property, loan structure and overall strength of the transaction. Our Fix & Flip Loans require a 10% to 20% contribution. Refinance and cash-out transactions may not require additional cash at closing when sufficient equity exists in the property. Greater borrower equity can support more favorable terms. Financing up to 100% may be available for select transactions that meet additional collateral and underwriting requirements.
6. Loan type and term
Commercial, rehab, fix-and-flip, bridge, multi-family, and rental programs each carry their own risk profile. Shorter, well-defined terms with a clear exit are easier to underwrite than open-ended plans — and easier underwriting tends to mean better pricing.
7. Exit strategy
Whether you plan to sell or refinance into long-term financing, a credible, well-timed exit is central to the deal. A vague or aggressive exit introduces uncertainty, and uncertainty gets priced into the rate.
8. Market conditions
Rates don’t exist in a vacuum. Broader economic conditions and the cost and availability of private capital move pricing over time. We adjust to the market while keeping terms competitive and transparent.
Practical move: before you apply, line up the property details, your equity (LTV), and a clear exit plan. Those three things move the rate more reliably than anything else you control.
Rate isn’t the whole cost
Experienced borrowers calculate total cost of capital, not just the headline rate. Points charged at closing, your down payment, and the loan term all factor in. On a short hold, a point or two up front can matter as much as the interest rate. Because we close with no upfront fees and service our own loans, you’ll get a clear picture of the full cost before you commit — and you can run your own estimates with our hard money loan calculator.
Frequently asked questions
What are hard money loan interest rates in 2026?
At HardMoney Company, rates range from 8% to 15%, depending on the property, loan amount, your experience, and your exit strategy. Rates are built around the deal rather than posted as a single number.
Why are hard money rates higher than bank mortgage rates?
The rate reflects speed (closings in as little as 7 days), flexible asset-based underwriting, short project-length terms, and the added risk of lending against the property rather than a credit profile. It’s the trade-off for fast, flexible capital banks won’t provide.
Does my credit score affect the rate?
Less than it would at a bank. We rarely deny a loan on credit alone and base the decision mostly on the property. Stronger credit can lower the cash required and support a better rate, but past bankruptcies, liens, or foreclosures don’t automatically disqualify you.
How much do I need to put down?
The required borrower contribution may range from 1% to 20%. Most Fix & Flip Loans require 10% to 20% down, while refinance and cash-out transactions may require no additional cash when sufficient property equity exists. The exact amount depends on the property value, purchase price, renovation budget, loan structure and overall strength of the transaction.
What are points?
Points are an origination fee, where one point equals 1% of the loan amount. For example, two points on a $150,000 loan equals $3,000. Points are part of your total borrowing cost alongside the interest rate.
How fast can you close?
Most deals close within 5 to 10 business days, and we’ve closed in as little as 24 hours.
Get a rate built around your deal
Because pricing is set per project, the most useful next step is a quick conversation about your actual deal rather than chasing a single advertised rate. HardMoney Company is a direct, family-owned lender — you work with the owners, with no middleman and no upfront fees. Apply now
About HardMoney Company. A family-owned direct private lender with offices in McLean, Virginia and Aventura, Florida, founded on personalized service and direct access to the owners. Over $1 billion lent to date across the DC metro, Southeast Florida, and beyond.
Important disclosure. This article is for general informational purposes only and is not financial, investment, or legal advice. The rate and term ranges shown reflect HardMoney Company programs and are not a rate quote or an offer of credit; all terms are determined after review of the specific transaction and may change with market conditions. HardMoney Company provides business-purpose loans on all property types except primary residences. Goldsmith Equity Group, LLC, NMLS #1475189; Tiffany Goldsmith NMLS #1390213.
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