Hard money commercial loans are the fastest, most flexible financing tool available to Texas real estate investors. Unlike bank loans that require tax returns, income verification, and 30 to 45 days to close, hard money loans are underwritten primarily on the value and income potential of the property being financed. Commercial Loans of Texas has been making hard money and bridge loans on Texas commercial real estate since 1998 — 28 years of direct lending experience across thousands of transactions. We have financed fix-and-flip projects on single-family investment properties, bridge loans on partially vacant apartment buildings, land loans on raw development parcels, and cash-out refinances on fully occupied retail centers. We lend our own capital and make our own underwriting decisions — no committee, no layered approval process, no out-of-state reviewers who have never seen the Texas market. If the property has value and you have a clear plan, we can fund your deal. Hard money loans from Commercial Loans of Texas close in 7 to 10 business days. Call 877-895-3634 or apply online to discuss your scenario today.
What Is a Hard Money Commercial Loan?
A hard money loan is an asset-based loan where the primary underwriting criteria is the value of the real property securing the loan — not the borrower’s income, employment history, or tax returns. Hard money lenders like Commercial Loans of Texas evaluate the property’s current value, its income potential, the borrower’s equity position, and the viability of the borrower’s exit strategy. Because the underwriting is simplified and decision-making is in-house, hard money loans close dramatically faster than conventional bank financing. They are typically used for time-sensitive acquisitions, value-add repositioning projects, bridge financing between purchase and long-term financing, and situations where a borrower does not qualify for conventional programs due to income documentation challenges or credit issues.
Hard Money Loan Programs and Terms
- Bridge Loans: Short-term financing to acquire a property while you arrange permanent financing or execute a value-add business plan. 10 to 14% rate, 12 to 24 month terms, 65 to 75% LTV. Close in 7 to 10 days.
- Fix-and-Flip Loans: Acquisition plus renovation financing for investment properties. We lend up to 65 to 70% of the after-repair value (ARV) on qualified fix-and-flip projects throughout Texas.
- Cash-Out Hard Money Refi: Pull equity from existing commercial properties with no seasoning required. 65 to 70% LTV max. No income verification — property value and equity position drive the underwriting.
- Land Loans: 10 to 14%, 50 to 65% LTV, 12 to 36 months. Raw land, commercial lots, development parcels. Most conventional lenders avoid land; we finance it statewide.
- No-Doc / Stated Income: 9 to 13%, 65% LTV. For borrowers with strong property equity but insufficient documentation for DSCR programs.
2026 Texas Hard Money Loan Rate Table
| Loan Type | Rate | LTV | Term | Points |
|---|---|---|---|---|
| Hard Money Bridge | 10-14% | 65-75% | 12-24 months | 1-3 |
| Fix-and-Flip | 10-13% | 65-70% ARV | 12-18 months | 2-3 |
| Cash-Out Refi (Hard Money) | 11-14% | 65-70% | 12-24 months | 1-2 |
| Land Loan | 10-14% | 50-65% | 12-36 months | 2-3 |
| No-Doc / Stated Income | 9-13% | 65% | 12-36 months | 1-3 |
| Construction Bridge | 10-13% | 65-70% LTC | 12-24 months | 2-3 |
Property Types Eligible for Texas Hard Money Loans
We make hard money loans on virtually all commercial and investment property types throughout Texas: single-family investment properties and fix-and-flip projects, small multifamily (2 to 4 units), apartment buildings (5+ units) including partially vacant value-add assets, retail strip centers with lease-up or renovation plans, office buildings in repositioning, industrial and warehouse properties, mixed-use buildings, hotels and motels, self-storage facilities, raw land and commercial development lots, and gas stations, car washes, and other specialty properties requiring a lender with flexible underwriting. We do not finance owner-occupied primary residences — all loans are for investment or commercial purposes only.
Who Qualifies for a Texas Hard Money Loan?
Hard money qualification is asset-based. The most important factors are the property’s value, the borrower’s equity in the deal, and the viability of the exit strategy. Specifically: the property must be located in Texas, the borrower must have at least 25 to 35% equity (or down payment) in the deal, and there must be a clear exit — either a sale or a refinance into permanent financing. Credit score has no minimum requirement. Prior bankruptcy or foreclosure does not automatically disqualify a borrower if the property and equity position are strong. Tax returns are not required. Bank statements may be reviewed to confirm liquidity but are not the primary underwriting driver. Borrower experience is preferred but first-time investors are considered on a case-by-case basis.
The Hard Money Loan Process — 4 Steps
- Submit your scenario: Call 877-895-3634 or apply online with property address, purchase price, loan amount needed, and your exit strategy. We respond same business day.
- Term sheet: Within 24 to 48 hours we issue a term sheet outlining rate, points, LTV, and term. No cost and no obligation to proceed.
- Appraisal and title: We order an appraisal and open title. Most Texas commercial appraisals are completed within 5 to 7 business days. Title search runs concurrently.
- Close: Once appraisal and title are clear, we schedule closing with a Texas title company. Most hard money loans close in 7 to 10 business days from the date we receive a complete file.
Frequently Asked Questions — Texas Hard Money Loans
Can I get a hard money loan with bad credit?
Yes. Hard money loans are asset-based, meaning your credit score is not the primary underwriting factor. We have funded hard money loans for borrowers with credit scores below 550, prior bankruptcies, and even recent foreclosures — when the property had strong equity and the borrower had a clear, realistic exit plan. The asset protects the lender; the equity protects the borrower. Credit is reviewed but it is rarely a deal-killer on its own.
What is the difference between a hard money loan and a bridge loan?
The terms are often used interchangeably in the commercial real estate lending world. Technically, a bridge loan refers to any short-term loan that bridges the gap between acquisition and permanent financing — and hard money is the most common type of bridge loan for borrowers who cannot or choose not to use conventional bank financing. All hard money loans are bridge loans in function; not all bridge loans are technically hard money (some banks offer short-term bridge products for well-qualified borrowers).
How much equity do I need to get a Texas hard money loan?
We lend up to 65 to 75% of the property’s current value, meaning you need at least 25 to 35% equity in the deal. For acquisitions, this means a down payment of 25 to 35% of the purchase price. For refinances, you need at least 25 to 35% equity remaining in the property after the loan is funded. On fix-and-flip loans, we lend up to 65 to 70% of the after-repair value, which can sometimes mean lower upfront cash needed if the purchase price is below market value.
Are hard money loan interest payments tax deductible?
For investment and commercial properties, yes — hard money loan interest is generally deductible as a business expense. We strongly recommend consulting a CPA familiar with real estate investment taxation, as the deductibility of points and other loan costs may depend on how the loan is structured and how quickly the property is sold or refinanced.
Can I use a hard money loan to buy land in Texas?
Yes. Land loans are one of the hardest loan types to place with conventional lenders, but we finance raw land, commercial lots, and development parcels throughout Texas at 10 to 14% interest, 50 to 65% LTV, with 12 to 36 month terms. We require a clear development or exit plan for the land. Land with entitlements, utilities, or existing site work qualifies for better LTV than raw unimproved land.
Need a fast commercial hard money loan in Texas? Call 877-895-3634 or apply online at Commercial Loans of Texas. We have been making hard money loans on Texas commercial real estate since 1998. No tax returns, no committees, close in 7 to 10 days.