Los Angeles Hard Money Lenders
If you’re navigating San Jose’s housing market, you know how crucial it is to secure financing quickly. Traditional loans can be a headache with strict credit checks and lengthy approval times. That’s where hard money loans come in—they focus on the property’s value, not your credit score, making them a lifesaver for investors and buyers who need fast solutions. Let’s explore how these loans work in San Jose and how they can help you achieve your real estate goals.
San Jose’s real estate market often requires quick and adaptable financing solutions. Hard money loans cater to these needs, offering rapid approvals and fewer restrictions compared to traditional loans. Instead of lengthy credit checks and underwriting processes, these loans prioritize the property’s value as the primary factor.
Hard money loans in San Jose are particularly useful for:
When conventional financing options are too slow or rigid, hard money loans provide the agility needed to act decisively in San Jose’s market.
Commercial Lending Specifications
| Loan Term | 1-2 Years |
| Loan Amount | $250,000 to 20,0000,000 |
| Lending Area | California | Nevada | Colorado |
| Trust Deeds | 1st & 2nd TD's |
| Loan-to-Value | Up to 75% |
| Interest Rate | Starting at 8.75% |
| Origination Fee | 1 to 3 Points |
| Prepayment Penalty | Not Required |
| Closing Time | 7 to 15 Days |
| Interest Reserve | No Payments for 6 Months |
The San Jose housing market is known for its competitiveness and high property values. On average, homes in San Jose receive four offers and sell within 20 days. The median sale price of a home in San Jose reached $1.5 million, reflecting a 14.3% increase over the past year. Meanwhile, the median sale price per square foot rose to $856, a 3.4% annual increase.
In November 2024, San Jose experienced significant growth, with 495 homes sold—an increase from 401 sales in the same month the previous year. Despite the rapid pace of sales, the city’s cost of living is 79% above the national average, and its median home prices are more than double the national average.
San Jose’s diverse property market makes it an excellent match for hard money financing. These loans are versatile and can accommodate various property types, including:
Residential Properties: Single-family homes, duplexes, and multi-family units.
Commercial Properties: Office buildings, retail spaces, and warehouses.
Vacant Land: Properties earmarked for future development.
Mixed-Use Properties: Buildings combining residential and commercial purposes.
By focusing on property value, hard money lenders can finance opportunities that traditional banks might not consider.
Hard money loans are designed to provide short-term funding, with typical terms ranging from 1 to 3 years. They close quickly, often within days, enabling investors to capitalize on time-sensitive opportunities. Here are the typical features of a hard money loan through RTI Bridge Loans:
These terms provide flexibility for investors looking to maximize returns while minimizing delays.
Hard money loans offer several advantages to real estate investors in San Jose:
These benefits make hard money loans an essential tool for anyone looking to succeed in San Jose’s challenging market.
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While hard money loans provide speed and convenience, it’s crucial to understand the associated costs. In San Jose, the average hard money loan amount is approximately $400,000, although this can vary based on the specifics of each deal.
These costs are balanced by the loan’s flexibility and the potential for higher returns on investment opportunities.
Qualifying for a hard money loan is straightforward, with the main focus on the property’s value and your exit strategy. Key factors include:
This accessibility makes hard money loans a viable option for a wide range of investors and buyers.
At RTI Bridge Loans, we specialize in providing tailored hard money loan solutions to meet the unique needs of San Jose investors. Our commitment to transparency, competitive rates, and personalized service ensures that you can achieve your real estate goals with confidence. Call us today at (562) 857-2285 to learn more about how we can support your investments.
Fees can include origination fees (usually 1-3% of the loan amount), appraisal fees, and closing costs. Always review the terms with your lender to ensure transparency.
Most hard money lenders in San Jose offer an LTV ratio of up to 70%, meaning you can borrow up to 70% of the property’s appraised value.
No, the focus is on the property value and your exit strategy, not your credit score.
Typical fees include origination fees (1-3%), appraisal costs, and closing costs. Always check for transparency.
RTI Bridge Loans, Inc. is primarily a Direct Portfolio Lender in Los Angeles County. We have 40 years of experience investing in all aspects of real estate: From residential development, private money lending, hard money and fix and flip loans.
