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Hard Money Loans in Rancho Palos Verdes
Rancho Palos Verdes attracts serious investors chasing ocean-view properties and estate-sized lots. Hard money bridges the gap when conventional lenders won't move fast enough on these opportunities.
The cliff-side geography and premium positioning mean many deals here involve unique properties or renovation projects. Asset-based lending cuts through appraisal delays and underwrites on the property's potential, not your tax returns.
Lenders underwrite the property, not you. They want 30-40% equity and a clear exit strategy—typically refinance or resale within 12-24 months.
Credit matters less than deal structure. I've closed loans for borrowers with 580 scores when the property math works and they're putting enough skin in the game.
You'll need proof of experience or a solid plan. First-time flippers face tougher terms unless they're partnering with someone who's done this before.
Our network includes private lenders who specialize in coastal Los Angeles properties. They understand Palos Verdes pricing and don't blink at $2-5M deal sizes.
Rates run 9-14% depending on loan-to-value and project complexity. Points range from 2-4% upfront. Some lenders go to 75% LTV for experienced investors with strong reserves.
Term length matters. Six-month money costs more than 12-month. Most investors here use 12-18 month terms to complete renovations and secure permanent financing.
The mistake I see: investors underestimating renovation timelines on hillside properties. Permits take longer here, and contractors charge premium rates for difficult access.
Build 20% buffer into your budget and timeline. The lender doesn't care why you're late—they'll extend at penalty rates or force a sale if you can't refinance out.
Most successful deals involve properties needing cosmetic updates, not structural overhauls. Foundation work on sloped lots eats budgets fast in this city.
Bridge loans offer similar speed but lower rates for stabilized properties. If you're buying occupied rentals, check bridge first—you'll save 2-3% on the rate.
DSCR loans make sense once renovation finishes and you want to hold long-term. I often structure hard money as acquisition funding with a DSCR takeout planned at month 12.
Construction loans work for ground-up projects but require detailed plans and licensed contractors. Hard money gives more flexibility for value-add plays that don't fit construction boxes.
Properties here appraise based on view quality and lot position. Corner lots with unobstructed ocean views command 40-60% premiums over comparable inland properties.
HOA restrictions affect renovation scope in many neighborhoods. Lenders want confirmation you can execute your plan before they fund—I verify HOA rules during application.
The city's Portuguese Bend landslide zone creates lending complications. Hard money lenders assess geological reports closely and may reduce LTV or decline entirely in active slide areas.
Most deals close in 7-14 days once the property appraises. We can fund faster if you accept lower LTV and waive some contingencies.
Our lenders go to $5M on single properties with experienced borrowers. Larger portfolios can access $10M+ through specialized private lenders.
Yes, but expect reduced LTV around 50-60%. Lenders price in the risk that foundation repairs exceed estimates or reveal additional problems.
Absolutely. Portuguese Bend and active slide areas face either declined applications or 50% LTV caps with geological sign-off required.
Most lenders offer 6-12 month extensions at 2-4% additional points. If you default, they foreclose—these loans are short-term tools, not long-term holds.
Possible but expensive. Expect 12-14% rates, 4 points, and 60% max LTV. Partner with an experienced investor to get better terms.
Mortgage financing for independent contractors and freelancers who earn 1099 income instead of traditional W-2 wages.
Mortgage programs that allow borrowers to qualify based on liquid assets rather than traditional employment income.
Non-QM loans that use 12 to 24 months of bank statements to verify income for self-employed borrowers.
Short-term financing that bridges the gap between buying a new property and selling an existing one.
Debt Service Coverage Ratio loans that qualify investors based on a rental property's income rather than personal income.
Mortgage programs designed for non-US citizens and non-permanent residents who want to purchase property in the United States.
Mortgages that allow borrowers to pay only the interest for an initial period, resulting in lower monthly payments upfront.
Financing solutions tailored for real estate investors purchasing rental properties, fix-and-flip projects, or investment portfolios.
Home loans for borrowers who have an Individual Taxpayer Identification Number instead of a Social Security number.
Adjustable rate mortgages held in a lender's portfolio rather than sold on the secondary market, offering more flexible terms.
Non-QM mortgages that use a CPA-prepared profit and loss statement to verify income for self-employed borrowers.
Home loans with interest rates that adjust periodically based on market conditions after an initial fixed-rate period.
Specialized mortgage programs designed to support homeownership in underserved communities with flexible qualification criteria.
Mortgages that meet the guidelines and loan limits set by Fannie Mae and Freddie Mac for secondary market purchase.
Financing for building a new home or making major renovations, typically converting to a permanent mortgage upon completion.
Traditional mortgage financing not backed by a government agency, offering flexible terms and competitive rates for qualified borrowers.
Innovative loan products that leverage projected home equity growth to provide favorable financing terms.
Government-insured mortgages from the Federal Housing Administration with low down payments and flexible credit requirements.
A revolving line of credit secured by your home equity that allows you to borrow funds as needed during a draw period.
A fixed-rate second mortgage that provides a lump sum of cash by borrowing against the equity built in your home.
Mortgages that exceed the conforming loan limits set by the FHFA, designed for financing high-value luxury properties.
Loans for homeowners aged 62 and older that convert home equity into cash without requiring monthly mortgage payments.
Government-backed zero down payment mortgages for eligible rural and suburban homebuyers who meet income limits.
Government-guaranteed mortgages for eligible veterans, active-duty service members, and surviving spouses with zero down payment.