A hard money loan is a short-term real estate loan based primarily on the value of the property being purchased—not your credit score. It’s fast, flexible, and commonly used by real estate investors needing quick access to capital.
Now, let’s break that down in plain English.
Imagine you’re a real estate investor in Dallas and a great off-market deal pops up—a property you could fix and flip for a solid profit. But you don’t have time to wait for a traditional bank loan. That’s where a hard money loan comes in.
Hard money loans are asset-based loans, meaning the value of the property (and sometimes the project’s after-repair value) is what matters most. Unlike traditional lenders who spend weeks combing through tax returns, pay stubs, and credit history, hard money lenders focus on:
It’s private capital, and it moves fast—often funding in just a few days.
There’s a reason hard money lending is especially popular in hot markets like Dallas, Tarrant, and Collin counties—speed is everything.
Here’s why investors lean on hard money:
Hard money lenders can close in days, not weeks. That means you can jump on competitive deals without losing to all-cash buyers.
Bad credit? Self-employed? New to investing? Traditional banks may say no—but hard money lenders take a broader view.
Need a short-term loan while you renovate and resell a property? Hard money loans are designed for that.
Skip the underwriting maze. With private lenders, the process is streamlined and human.
Here’s a simple breakdown of the process:
Hard money loans tend to have higher interest rates than traditional loans, but the tradeoff is speed and flexibility. For many investors, that’s worth it.
Let’s say you find a $250,000 home in Fort Worth that needs $50,000 in repairs. After renovations, it could sell for $400,000.
You apply with a hard money lender, and based on the property’s after-repair value (ARV), they offer you 70% of ARV—$280,000. That’s enough to buy the house and cover most of the renovation.
In this scenario, you didn’t need perfect credit—you just needed a solid plan and a valuable property.
It could be—if:
It might not be ideal if you’re buying your first home to live in, or if you need a long-term mortgage solution.
Based in Texas, Silverton Capital provides fast, reliable hard money loans in Dallas, Tarrant, and Collin counties. Whether you’re flipping your first house or expanding a growing portfolio, Silverton offers:
Want to move fast on your next deal? Apply now to see what you qualify for.
Hard money loans aren’t mysterious or shady—they’re just a different kind of financing built for real-world investors. If you’ve been trying to scale your real estate business but keep running into red tape, this might be the tool that helps you break through.
Apply now with a trusted hard money lender serving Dallas, Tarrant, and Collin counties at Silverton Capital.
This article is for informational purposes only and is not intended to serve as legal, financial, or investment advice. Please consult with a licensed professional before making financial decisions.