Last Updated on December 20, 2021

The Six Best Hard Money Lenders in Florida


Hard money loans are a powerful tool, allowing you to get started on a house renovation (or purchase another property!) sooner rather than later. However, there’s an element of risk when it comes to taking out any loan, and hard money loans are no exception. In Florida, real estate investing is one of the very best ways to build wealth, with a fast-growing population propelling serious potential gains on the market. In order to help you make your lending choice, we’ll be looking at the six best hard money lenders in Florida.

Six Best Hard Money Lenders in Florida

Before diving in, what exactly is a hard money loan, anyway?

We’re glad you asked!

A hard money loan is simply a loan from a private lender. Lenders are exempt from some of the regulations imposed on banks, which means that private lenders can be much more flexible. A typical case where a hard money loan appeals could be one where time is of the essence, the borrower is looking to rebuild credit, or for any other reason would be at a disadvantage when dealing with big banks.

Why should I take out a hard money loan?

  • As noted above, hard money loans are very flexible, meaning you have negotiation options you may not otherwise have. You could potentially renegotiate items such as fees, interest rates, or repayment periods, something which banks are generally very unwilling to do. 
  • Hard money loans can be taken out very quickly, allowing you to strike while the iron is hot. In a growing real estate market, this could make all the difference for an investor. 
  • Hard money loans are often easier to obtain than bank loans. Banks tend to be very focused on the borrower’s credit, but hard money lenders are generally more interested in the property itself

Alright, what are the downsides?

  • Hard money loans tend to come with a short repayment period. These loans are designed with specific investments in mind, and ideally it shouldn’t take long to see returns on your investment
  • Your mileage may vary with interest rates and fees. Hard money loans are highly negotiable in comparison to bank loans, but many lenders will ask for above-market rates and fees in exchange for their service. 

What should I think about before taking out a hard money loan?

Obviously, you want to make sure you’ll be able to repay the loan, so you should keep a close eye on the property you’re investing in, and the market as a whole. If you’re looking into flipping a house, we recommend performing a house flipping market analysis.

You should never take out a loan you can’t afford, of course. Any borrowing should be predicated on a reasonable degree of certainty that the investment made will turn out to be a profitable one. Some investments may be riskier than others. For instance, a novice investor may not want to roll the dice on properties in need of serious repair work.

If you’re ready to make an investment, then read on. We’ll be looking at six of the best hard money lenders in Florida, and hopefully, helping you make your next move on the market.

A few common investing scenarios for hard money borrowers

Many borrowers are interested in hard money loans for fix and flip properties, which tend to move very quickly in a growing market. In these cases, hard money loans can be a very powerful tool because the process moves quickly compared to traditional bank loans.

Investors looking to invest in rental properties are another major market for hard money loans. These investors are usually interested in refinancing the property, then paying off the hard money loan in 12 to 36 months. As in fix and flip properties, rentals can be very time sensitive, so the quick pacing can really pay off for a wise investor.

Another common situation is an investor in commercial real estate, who could have a tenant to lease space to, but no space available yet. These investors often have a vacant property in mind, but need to purchase the property and renovate it for their tenant as soon as possible. In these cases, the fast lending process can be a serious advantage. Further, banks may be skeptical of borrowers who do not yet have assets to secure the loan. Once the tenant is in place, banks may be more cooperative, but a hard money loan can be a very useful place to begin.

What’s all this about a faster process, anyway?

One of the greatest strengths of hard money lenders is their ability to move faster than traditional banks, which tend to be caught up in regulatory red tape. However, what exactly does the funding timeline for a hard money loan look like?

It depends on the lender, of course, but it typically takes around seven to ten days. Hard money lenders can’t borrow from the Federal Reserve, and don’t have customer deposits at their disposal, which means they ideally keep money in reserve.

The main holdup is that smaller lenders often have a limited pool of investors, and the lender may need to consult with those investors before a loan can be made. The other main reason for delays is appraisal, which has more to do with the appraiser than the lender. Once the appraisal is finished, the loan is likely only a few days away. If all goes well, the process can be completed extremely quickly compared to a traditional bank loan.

So: the six best hard money lenders in Florida. Let’s begin!

RBI Mortgages

RBI Mortgages, a Hallandale Beach-based private lender, lends to borrowers investing in residential properties, land, and certain types of commercial real estate. They close fast, and they are open to working with foreign nationals, as are many hard money lenders.

They provide loans of up to $10,000,000, but interest rates come relatively steep at about 8.5% to 10.75% in a typical case. Repayment periods range from six to thirty six months, and origination fees clock in at anywhere from one to three percent.

Monroe Funding Corporation

The Monroe Funding corporation, based out of Fort Lauderdale, is best known for offering loans to investors interested in relatively small residential income properties of one to four units.

They offer loans of up to $1,000,000, but interest rates are generally a little higher than average, typically falling between twelve and fifteen percent. Origination fees, however, are slightly lower at around one or two percent.

EquityMax Financial

EquityMax has been in business longer than most, with a record of twenty eight years. The company can close within a few days, and is relaxed when it comes to required documentation: lenders need not provide tax returns, bank statements, or FICO scores.

Their loan offerings max out at $1,000,000, with relatively high interest rates of ten to fifteen percent. Origination fees may be anywhere from one to three percent, and repayment periods can be as short as one month or as long as 204 months. (That’s seventeen years!)

American Heritage Lending

Founded in 2004, this company has its origins in California, although it offers loans in Florida. $6 billion in hedge fund money backs American Heritage up, and they offer loans of up to an impressive $5,000,000 in order to purchase, flip, or build residential properties.

Interest rates are fairly standard, at between eight and twelve percent. Loan terms are a minimum of one year, or as many as thirty years— on the further end of that scale, this is more like a traditional bank loan than the usual hard money loan.

WLW Capital LLC

Based out of Tampa, this company was founded in 2015 and offers closing in as little as ten days. Imagine how long a conventional bank loan takes, in comparison.

They offer loans up to $2,500,000, at interest rates between ten and twelve percent, like the above. Origination fees skew higher than average, from around two to six percent. The loan terms come out to between twelve and twenty four months, a relatively narrow range.

Hard Money Lenders IO

Headquartered in North Miami Beach, Hard Money Lenders IO offers loans to real estate investors and entrepreneurs of all stripes. We pride ourselves on flexibility and good timing, offering closing within 7 days. We tailor our loans to your needs, working to suit your specific investment.

We lend up to $5,000,000 and our interest rates typically fall between 6 and 12 percent. Our origination fees are generally around 1 to 2 percent. We are proud to offer our services to investors looking to rebuild their credit, as well as foreign nationals who big banks may turn down.

If you’re interested in a hard money loan, we offer quite a few different options, as well as resources to help you determine which is right for you. Feel free to contact us with any questions or concerns, and we’ll get back to you in no time. We wish you the best of luck with your investments!

In conclusion..

In Florida, you have a lot of options for hard money loans: although these options may be intimidating at first, there are pros and cons to every lender. If you have any questions left over, don’t be afraid to look up contact forms and spend a few minutes on the phone! It could make all the difference when it comes time to borrow.

With the six best hard money lenders in mind, you can narrow your search down until you find the loan that works for you.

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