Question 1

How fast can hard money loans close in Solvang?

Accepted Answer

Most lenders fund in 7-10 business days after receiving appraisal and title work. Cash deals with clear title close faster, sometimes in 5 days.

Question 2

What down payment do I need for a Solvang investment property?

Accepted Answer

Expect 25-35% down depending on experience and property condition. First-time flippers usually need 30-35% while experienced investors get 25% options.

Question 3

Can I use hard money for commercial properties in Danish Village?

Accepted Answer

Yes, many lenders fund commercial and mixed-use properties. Rates run 1-2% higher than residential, and loan-to-value drops to 60-65%.

Question 4

What happens if my flip takes longer than 12 months?

Accepted Answer

Most lenders offer extensions for 3-6 months with additional fees. Plan your exit conservatively since permit delays happen in Santa Barbara County.

Question 5

Do hard money lenders care about my credit score?

Accepted Answer

Scores below 620 face higher rates and lower loan-to-value ratios. Strong equity position matters more than perfect credit for most lenders.

Question 6

Can I refinance hard money into a conventional loan later?

Accepted Answer

Yes, that's the standard exit strategy for rental holds. DSCR loans work well post-renovation when properties generate stable rental income.

Hard Money Loans in Solvang: Fast Funding for Investment Properties