Los Angeles Hard Money Lenders

North Coast Financial is a direct hard money lender (private money lender) providing private lending throughout Los Angeles and California. North Coast Financial is one of the most experienced hard money lenders in California with over 45 years of hard money lending experience and more than $1 billion in fast hard money loans funded.

We provide various types of Los Angeles hard money loans to real estate investors and property owners in need of fast and flexible funding options. Our competitive rates and fees and excellent customer service are why our clients continue to choose North Coast Financial for their private lending needs in Los Angeles. Read client reviews.

Contact North Coast Financial now for a complimentary consultation and quote for your hard money loan request.

Hard Money Loans for Los Angeles Real Estate

North Coast Financial provide various types of Los Angeles hard money loans (private money loans) including bridge loans, rehab and fix and flip loans, probate, estate and trust loans, investment property loans, distressed property loans, cash out and refinance loans, purchase loans, reverse mortgage refinance loans, hard money loans for primary residences, REO loans and other hard money loans secured by real estate.

Hard Money Loans for Residential & Commercial Property

North Coast Financial are primarily residential hard money lenders (single family residences, multi-family residences) but are also able to provide commercial hard money loans (commercial, industrial, office buildings, healthcare, hotels, retail and special purpose).

Residential Bridge Loans

North Coast Financial are experienced bridge loan lenders providing bridge loans in Los Angeles and throughout the state of California. Bridge loans allow homeowners to borrow against their current primary residence to purchase a new home. The main benefits of bridge loans are being able to purchase a new property before selling an existing property (not having to move twice), not having to qualify based on a debt to income ratio, and overall fast and flexible funding.

Short-term bridge loans are typically secured against the existing property which provides the needed funds to purchase a new property. Once the borrower purchases the new property, the previous property is sold which pays off the bridge loan. A residential bridge loan can also be secured against the new property if the borrower has a sufficient down payment. A double bridge loan (loan against current property and new property) can be used by a borrower if needed.

Bridge loans are also available for real estate investors who need to take out a loan against an existing property to purchase new real estate.

Contact North Coast Financial now to inquire about a bridge loan or visit our Bridge Loans page for additional information on our bridge loan programs.

Hard Money Rehab Loans – Fix & Flip Loans

Hard money rehab loans are utilized by real estate investors who want to acquire a property, make repairs and upgrades and then immediately sell the property for a profit. Also known as fix and flip loans, hard money rehab loans provide the real estate investor with quick and easy funding, allowing the investor to capitalize on short-term opportunities without having to tie up all their funds in a cash deal.

Please view our Hard Money Rehab / Fix and Flip Loan page or contact North Coast Financial for more information.

Trust Loans, Probate Loans & Estate Loans

Trust, Probate and Estate loans are available for heirs and beneficiaries in need of short-term financing against real estate assets within an estate or trust. These loans are also known as Prop 58 loans or Prop 19 loans and allow beneficiaries to prevent a property tax reassessment when the real estate transfers from the trust or estate to the beneficiary (parent to child transfer). The trust/estate must obtain a 3rd party loan to equalize the distribution and apply for Prop 19 with the county in order to prevent a property tax reassessment. The private lending provided by North Coast Financial is considered a 3rd party loan.

The borrowed funds are often used to pay off other heirs when dividing ownership or to settle debt obligations of the estate or trust. The trust or estate must contain real estate located in California in order for North Coast Financial to consider providing a loan. View our Probate & Estate Loans or our Trust Loans page for additional information.

Cash Out & Refinance Loans

North Coast Financial provides cash out and refinance loans in Los Angeles and throughout California. A refinance loan is typically used to secure a lower interest rate or a longer loan term. A cash out refinance loan is commonly used to borrow against equity in an existing piece of real estate to invest in another opportunity or various other short-term purposes.

To inquire about a cash out or refinance loan contact North Coast Financial now or visit our Cash Out & Refinance Loan page for additional information.

How to Obtain a Los Angeles Hard Money Loan

The hard money loan application process with North Coast Financial is fast and easy. The applicant must first complete and return a brief hard money loan application. Once the completed application is received by North Coast Financial, they will review and then notify the applicant whether or not their request has been approved. The approval process is often completed the same day the completed application is received.

Once the loan request is approved, North Coast Financial is able to fund the loan in as few as 3-5 days for investment property. Loans for owner occupied property generally take 2-2.5 weeks due to current federal regulations that even hard and private money lenders must follow.

Hard money lenders are mainly asset-based lenders. When considering loan approval, North Coast Financial is most concerned with the current value of the property used as collateral as well as the amount of equity the borrower has in the property. Issues on a borrower’s record such as poor credit scores, short sales, bankruptcies, foreclosures, and loan modifications can be overlooked in some situations. The borrower must have a considerable down payment to put towards a purchase or have sufficient equity within existing real estate to borrow against.

Once the has been approved, North Coast Financial quickly begins the loan process and works closely with the borrower until the loan has been funded. North Coast Financial prepares all the needed loan documents and disclosures and answers any and all questions from the borrower along the way.

When escrow is ready to receive funds from the lender, North Coast Financial will have the funds wired to escrow in order to close the deal.

What is a Hard Money Loan / Private Money Loan?

A hard money loan is similar to a conventional home mortgage. The borrower is provided with a loan and real estate serves as the collateral. The key difference is that hard money loans are funded by private investors instead of institutional lenders such as banks and credit unions.

Unlike institutional lenders, hard money lenders do not primarily focus on income history or credit scores. Hard money lenders are primarily concerned with the property’s value and borrower’s the equity in the property. The emphasis on value and equity allows for fast and flexible funding that banks aren’t able to compete with.

Hard money lenders typically require a down payment of at least 25-30%. This amount of down payment is higher than what banks and credit unions typically require. The trade off is that hard money lenders have fewer requirements for loan approval.

Hard money lending is for short-term use only. The borrower must have an exit strategy in mind when they are applying for the loan. Hard money loans of up to 3 years are often available to borrowers. Common exit strategies include refinancing with a conventional loan or selling the property.

Hard money lending companies have higher interest rates than conventional bank lenders. Los Angeles hard money loan interest rates typically range from 8-12% for a 1^st (senior loan). Hard money 2nd loans can range from 11-14% interest as there is a greater amount of risk assumed by the lender in 2nd position. The specific rate will vary based on many variables such as the lender, borrower, property and loan to value requested. While hard money interest rates are higher than conventional loans, the flexible lending criteria and fast funding is typically worth the higher cost to the borrower.

Real estate investors in need of quick financing to secure a limited-time opportunity are often the biggest beneficiaries of fast hard money loans. Since hard money loans for real estate are only offered for short terms, the higher interest rates often aren’t a significant cost over the course of the real estate investment.

Los Angeles, California

Also known as the “City of Angels”, the city of Los Angeles is the largest city in California and 2^nd largest in the country behind New York City. Los Angeles, California is known for its traffic, diversity, Hollywood, celebrities, film and television industries and great weather. The greater LA region is home to over 18 million people and was incorporated in 1850. The major industries of Los Angeles County include entertainment, media, fashion, technology and medicine.

Los Angeles, California