Traditional bank loans can support a growing business, but they’re not always the right fit—especially when you need funding fast or have unique financial circumstances. At Mortgage Capital, we understand the challenges businesses face when seeking traditional financing. That’s why we offer commercial hard money loans—a fast, flexible alternative designed to help businesses like yours achieve their goals.

What Are Commercial Hard Money Loans?

Commercial hard money loans are private money loans secured by real property. Unlike conventional loans, these loans rely on property as collateral, not your credit score or financial history. This makes them ideal for businesses needing quick access to capital or those unable to qualify for traditional loans.

Key Applications for Hard Money Loans:

  • Securing new properties in competitive markets.
  • Funding business expansions, like new locations or product lines.
  • Making property improvements to increase value or prepare for refinancing.
  • Bridging financial gaps during growth phases.
  • Covering immediate needs like payroll or partner buyouts.

Advantages of Hard Money Loans Over Traditional Loans

  1. Speed: Get approval and funding in days—not weeks or months.
  2. Flexibility: Tailored terms and repayment structures to suit your needs.
  3. Simplified Approval: Approval focuses on property equity, not credit history.
  4. Versatility: Use loans for a variety of business or property-related expenses.

Types of Properties Eligible for Financing

  • Industrial facilities (factories, warehouses).
  • Multi-family units (apartments, condos, duplexes).
  • Office and retail spaces.
  • Mixed-use properties.

How Hard Money Loans Work

Instead of relying on credit scores, hard money lenders base loan amounts on the loan-to-value (LTV) ratio of your property. This means you can secure funding with the equity in your real estate holdings or even the property you’re looking to purchase.

With higher flexibility, commercial hard money loans may have shorter repayment terms and higher interest rates than traditional loans. However, they offer an invaluable lifeline for businesses needing immediate capital.

When to Consider a Hard Money Loan

Hard money loans are especially useful when:

  • You need to act quickly to secure a property or investment.
  • A traditional loan is delayed or unavailable.
  • You require short-term funding to bridge financial gaps during growth or construction projects.
  • You want to improve a property for resale or refinancing.

Pros and Cons of Hard Money Loans

Benefits:

  • Rapid approval process.
  • No stringent credit requirements.
  • Flexible loan terms.
  • Accessible funding for unique or high-risk projects.

Drawbacks:

  • Higher interest rates.
  • Shorter repayment periods (often under one year).
  • Larger down payments, typically up to 30% of the loan amount.

Hard Money Lending Programs Tailored to Your Needs

At Mortgage Capital, we offer a variety of loan programs to fit your specific needs:

  • Bridge Loans: Ideal for property improvement or short-term financing.
  • Fix-and-Flip Loans: Tailored for real estate investors renovating properties for resale.
  • General Commercial Loans: Flexible loans for purchasing or refinancing commercial spaces.

Why Choose Mortgage Capital?

We’re here to provide fast, reliable funding to support your business goals. Whether you’re purchasing a property, growing your operations, or navigating a challenging financial situation, our expert team will guide you every step of the way.

Ready to learn more? Contact Mortgage Capital today for personalized advice, or explore our expert tips for real estate investing.