How to Vet Your Hard Money Lender


How to Vet Your Hard Money Lender

June 5th, 2024

Clear communication is essential for a successful real estate investment. Managing timelines, expectations, financing, and more requires clarity and precision to ensure a streamlined and profitable project. When working with a hard money lender, the first step is thorough communication to ensure both parties understand each other’s goals.

With over 15 years of experience in real estate lending and investing, we have reviewed thousands of applications and worked with every type of real estate investor. No question surprises us, but we appreciate when investors do their homework and understand the process before reaching out. These are the questions we’ve heard most often along with the answers we’ve provided. When you’re ready to submit your loan application and get started, we’ll cover these topics in our first conversation. In the meantime, take a few minutes to review them here.

Here are the questions you should ask your financing partner before getting too far into the process, and how The Hard Money Co. would respond. These questions will save you time and money, giving you the best chance to get your deal to the finish line. 


Question: How much experience do you have in hard money lending?

The Hard Money Co. has been offering investment funds to real estate entrepreneurs for more than 15 years. In that time, we’ve successfully closed thousands of deals and disbursed hundreds of millions of dollars to our clients. Few deals present challenges we haven’t faced before. Regardless of how unique your investment may be, our team has likely dealt with similar situations and achieved successful outcomes.

Our team comprises real estate professionals with extensive experience in various aspects of the industry, including investment, brokerage, agency, conventional financing, construction, and appraisal. With over 20 in-house employees, we can provide the expertise and insight needed at any step of your investment process.

The Hard Money Co. 

Using hard money loans allows real estate investors to maximize leverage when purchasing a property and close within just a few days, all while freeing up their own cash for other uses.

Question: What are your loan terms?

Our loan terms are clearly outlined on our website and are consistent for all our borrowers. These terms weren’t chosen randomly; they are the result of our extensive experience in the industry. They ensure that risk is properly allocated in the investment, allowing you to maximize your profits while maintaining a vested interest in the project.

Here are our terms at a glance:

  • Loans up to 65% of After Repair Value (ARV)
  • Minimum of 10% down payment on the purchase price
    • or the collateralization of a free and clear asset
  • 6-Month Term with no prepayment penalty
  • 15% Annual Interest Rate

If a hard money lender isn’t clear about their terms, it should be a red flag for investors. Our goal is complete transparency, ensuring you have a full understanding of your investment’s finances as early as possible. Check out our Hard Money Loan Calculator to see how these terms apply to your potential investment.

Question: How long will it take to get my funds?

We can close your deal in as little as 7-10 days, though typically we close within 2-3 weeks. This timeline accounts for the various parties involved in a real estate transaction, including lawyers, title companies, brokers, agents, buyers, and sellers. Any delays from these parties can impact the overall process.

To ensure a swift closing, it’s crucial to have all necessary documentation ready. When we request information or documents from you, promptly providing what we need will help avoid any hold-ups. We are committed to matching your urgency and ensuring a smooth and timely closing process.


Question: What type of properties do you lend on?

The Hard Money Co. finances a variety of real estate asset types, primarily focusing on single and small multi-family properties. Our typical loan term doesn’t accommodate projects with longer timelines, such as new construction or large commercial endeavors, which often don’t align well with our program.

We specialize in residential fix and flips, the BRRRR method, and renovation investments. Our expertise and financing, combined with your dedication and strategy, are a formula for successful projects. If you have a deal that fits this mold, fill out an application today to start your investment journey. If your real estate investment opportunity is unique, let us know! We’ll do everything we can to help you succeed or direct you to someone who can.

Question: Do you have referrals or references from previous borrowers?

Referrals, references, and repeat clients are the foundation of our business. Most of our monthly loans are from investors who have successfully borrowed from us before and returned to grow their businesses further. Our success is tied to our borrowers’ successful renovations, and our growth over the past 15 years is a testament to the investors who continue to rely on us.

And we can back it up.

We have numerous borrower testimonials and Google reviews highlighting our ability to provide fast, effective financing for real estate investing. We currently hold a 4.95 rating on Google reviews and regularly receive feedback from satisfied borrowers. We encourage you to read their experiences, and if you need further assurance, we can connect you with existing borrowers who can confirm everything we’ve stated.


Choosing the right hard money lender can determine the success of your real estate investment. By asking the right questions about their experience, referrals, loan terms, funding timelines, and the types of properties they finance, you can ensure you’re partnering with a lender that aligns with your needs and goals. The Hard Money Co. has over 15 years of experience, a track record of satisfied clients, transparent loan terms, and a commitment to quick and efficient funding. We are here to support your investment journey with the expertise and resources you need to succeed. If you’re ready to take the next step, fill out an application and let’s get started on your path to profitable real estate investments.

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