Google 5-Star Rated Direct Hard Money Lender
We offer first and second trust deeds with no prepayment penalties, no appraisal fees, and can fund in a matter of days.
As a direct hard money lender, Source Capital has a proven track record of funding private money loans quickly and efficiently. Backed by accredited investors, we provide fast, flexible financing solutions that traditional lenders—such as banks and credit unions—simply can’t match. Our asset-based lending approach focuses on the value of the real estate used as collateral rather than the borrower’s credit history or income.
Source Capital can approve and fund a hard money loan for investment property in as little as 7–10 days, compared to the 30–45 days or more required by conventional lenders. Our in-house underwriting team (licensed and regulated by the NMLS) ensures you get funded in days, not weeks. For owner-occupied hard money loans, we comply with all federal regulations, ensuring a smooth and transparent lending process while still maintaining efficiency.
We provide private, short-term direct hard money loans in California for real estate investors across a variety of transactions, including fix-and-flip rehab loans, distressed property financing (REO loans, short sale loans, foreclosure loans), trustee sale refinances, bridge loans, cash-out refinances, construction loans, hard money business loans, probate and trust loans, private party transactions, and more. Whether you need financing for a residential, multi-family, or commercial property, we have the capital and expertise to help.
While Source Capital primarily focuses on residential hard money lending, we also fund commercial and mixed-use properties. Loan amounts range from $100,000 to $5,000,000, with no appraisal fees and no prepayment penalties. We also offer second-position trust deeds for borrowers with substantial equity in their properties.
Why Choose Source Capital as Your California Hard Money Lender?
California’s real estate market moves fast—and so do we. Here’s why savvy borrowers and real estate investors choose Source Capital for their business purpose financing:
Fast Decisions
As a direct lender, our approval process is built for speed as we underwrite and make all decisions in-house. From the time we are initially contacted to the time the loan is funded, our streamlined process allows us to fund loans in a matter of days.
Proven Track Record
Since 2007 we have successfully funded over $550M in loans secured by real estate. We have earned our reputation as a lender known for speed, reliability, and fairness.
Our team has the experience and ability to provide quick, direct answers to help expedite our client’s requests.
Well Capitalized
We’re a direct lender with immediate access to capital to lend. Because our company is backed by well established, accredited investors, there is always capital available to fund our loans. We are able to close quickly and with full transparency.
Client Testimonials
California Hard Money Loan Terms
Our California hard money loans cater to real estate investors, flippers, and business-purpose borrowers seeking fast, short-term financing. As a direct hard money lender, here’s what you can expect from our loan programs:
| INTEREST RATES | 8.99% – 11.99% – First Position 11.99% -13.99% – Second Position | LOCATION | Arizona, California, Colorado, Minnesota and Texas only |
| LOAN AMOUNTS | $100,000 – $5,000,000 | TYPES OF LOANS | Acquisition, Refinance and Cash-Out |
| LOAN DURATION | 12-24 months | LIEN POSITION | First and Second Trust Deeds Only |
| ORIGINATION FEE | Starting at 2.0% of loan amount, depending on loan size and length of term | PROPERTY TYPES | Owner and Non-Owner Occupied Residential. Multifamily, Commercial, Industrial, Office, Retail, Mixed Use |
| LOAN TO VALUE | Up to 65% LTV in first position Up to 50% CLTV in second position | APPRAISAL FEE | None |
| CLOSING TIMEFRAME | 10 business days or less | PREPAYMENT PENALTY | None |
There are no minimum credit scores, employment requirements or financial minimums to qualify for a loan.
*All loans are secured by real estate for business purposes only
If you’re looking for quick loan approval on flip loans, rehab loans, or rental property financing, Source Capital is here to help. Our hard money loans can also serve as construction loans for light to moderate renovation projects, making us a one-stop shop for California real estate investment.
Why California Hard Money?
Traditional financing isn’t always the best option—especially in competitive real estate markets where speed and flexibility are key. Hard money loans provide an alternative for investors, developers, and business-purpose borrowers who need fast access to capital without the stringent requirements of banks and conventional lenders.
At Source Capital, our hard money loans are asset-based, meaning approval is primarily determined by the value of the real estate rather than credit history, income, or lengthy financial documentation. This makes them an ideal solution for:
- Fix-and-Flip Investors – Secure short-term funding to purchase, renovate, and sell properties quickly.
- Bridge Financing – Get the capital needed to transition between property sales or refinances.
- Distressed Property Purchases – Acquire foreclosures, REOs, and auction properties that traditional lenders may not finance.
- Cash-Out Refinancing – Unlock the equity in your existing real estate for new investment opportunities.
- Business Purpose Loans – Fund real estate-backed business ventures without delays.
Unlike traditional mortgage loans that can take weeks or months to close, Source Capital can approve and fund hard money loans in as little as 7–10 days—helping borrowers act quickly and confidently in California’s fast-moving real estate market.
Recently Funded Deals in California
We’re proud of our fast funding and transparent approval process for California borrowers. Here are a few recently funded hard money loans in California:
These success stories highlight our commitment to short closing times, flexible loan terms, and a streamlined loan process—wherever you are in Southern California or the Bay Area.
California Hard Money Lender
At Source Capital, all of our loans are secured by residential, commercial, or industrial properties. We do not provide unsecured loans or financing for primary residence purchases.
Whether you’re acquiring an investment property or leveraging the equity in real estate you already own, we offer tailored lending solutions designed to meet your needs. Our expertise, speed, and flexible underwriting make us the trusted choice for real estate investors and business-purpose borrowers.
Hard Money Loan Programs
- Refinance Loans – Unlock the equity in your residential or commercial property quickly and efficiently. Whether you need to consolidate debt, access working capital, or reinvest in new opportunities, our streamlined refinancing process ensures fast approvals and competitive terms.
- Investment Property Loans – Speed is crucial in today’s competitive real estate market. As a direct lender, we provide immediate access to capital, allowing investors to purchase rental properties and investment homes without delays—ensuring they can secure deals before the competition.
- Commercial Hard Money Loans – We provide creative financing solutions for commercial, industrial, mixed-use, and multi-family properties. These loans can be complex, but with our industry experience, we know how to structure deals efficiently—whether for retail storefronts, industrial condominiums, or office space.
- Probate & Estate Loans – We specialize in probate and estate loans for trusts, heirs, and beneficiaries who need quick access to liquidity. Whether settling estate obligations or facilitating beneficiary buyouts, our expertise in estate financing ensures a smooth and efficient funding process.
- Bridge Loans – For short-term financing needs, our bridge loans provide quick capital to cover the gap between transactions—perfect for real estate investors awaiting permanent financing or those purchasing properties that require fast closing.
- Cash-Out Refinance Loans – Leverage the value of your existing real estate to free up capital for new investments, renovations, or business needs. Our cash-out refinance loans offer flexible terms and rapid funding, making it easy to access the funds you need when you need them.
How to Get Approved for a California Hard Money Loan
1. Apply Online
It takes minutes to complete our simple, online application to get prequalified for a loan.
2. Get Approval
After underwriting your loan, we will provide you a written Loan Commitment providing loan terms for approval.
3. Loan Funded
In a matter of days, not weeks like most lenders, the loan is funded through escrow and funds wired to you directly.
4. Pay Monthly
You make monthly payments via mail, phone or direct deposit. It’s that easy.
Cities We Serve in California
From Los Angeles to San Francisco, we fund real estate loans across the state:
- Los Angeles – High-demand neighborhoods and commercial hubs. Part of Southern California.
- San Diego – Beachside properties, fix-and-flip opportunities, and emerging suburbs.
- San Francisco – Competitive, tech-driven market with prime commercial real estate.
- Sacramento & Central Valley – Affordable entry points for real estate investment.
- Orange County & Inland Empire – Growing residential and commercial properties markets with strong investment opportunities.
- And Many More – Including Anaheim, Bakersfield, Palm Springs, Long Beach, Richmond, Modesto, Oakland, Santa Ana, Riverside, Redding, Santa Barbara, San Jose, Fresno, Stockton, Santa Rosa, and the rest of California.
California Hard Money Lender FAQs
How fast can I get funded in California?
We typically fund within 7–10 days, thanks to our in-house underwriting. For time-sensitive deals, we can expedite the process.
What type of loans do you offer?
At Source Capital, all of our California hard money loans are secured by residential, commercial, or industrial properties. We do not provide unsecured loans or financing for the purchase of a primary residence.
Whether you’re acquiring an investment property or leveraging the equity in real estate you already own, we offer flexible lending solutions tailored to your needs. Our direct lending approach ensures fast approvals, competitive terms, and a streamlined process to help you capitalize on opportunities in California’s dynamic real estate market.
Are hard money loans legal in California?
Yes. Hard money lending is regulated by the California Department of Real Estate and the California Department of Financial Protection and Innovation. We adhere to all regulations for a smooth, compliant process.
How do hard money loans work in California?
Hard money loans in California are asset-based loans typically used for short-term financing. They are secured by real estate property and are often used for property investments, renovations, or bridging the gap between financial transactions.
At Source Capital, our main focus is on the real estate for loan approval, not your credit or financial history. With a proven track record of over $550M funded since 2007, we’re here to help. Whether you have poor credit, a history of bankruptcy or foreclosure, are a foreign national, or are self-employed we have creative solutions for financing.
What are the typical terms of a hard money loan in California?
Hard money loans in California can vary greatly with interest rates between 9% and 15%, depending on the scenario.
Source Capital offers some of the most favorable terms in the industry, with interest rates starting at just 8.99%. All our loans are amortized over 30 years and due in 1 or 2 years. We have no prepayment penalties so the loan can be repaid at any time with no additional interest payments owed.
What credit score do I need?
None. Our loans are equity-based, focusing on property value rather than credit score.
What happens if I default on a hard money loan?
Defaulting could lead to foreclosure. It’s essential to have a solid exit strategy in place, whether that’s a refinance, sale of the property, or other repayment plan.
Do you offer owner-occupied loans?
Yes, but only for business purpose, subject to additional regulations.
Do you do primary residence purchases?
We do not provide financing for primary residence purchases as we fund loans for business purposes only. Business purpose loans are defined as loans to: purchase, repair or improve real property for use in the Borrower’s business; acquire, improve or maintain certain non-owner occupied rental property; purchase, improve or repair tools, equipment, machinery, fixtures or furnishings used in Borrower’s business; fund operating capital (e.g., employee salaries) or purchase or pay for business inventory, supplies, rent, taxes, insurance or other related expenses; or to pay off, refinance or consolidate business debts.
What happens if you default on a hard money loan in CA?
California hard money loan contracts usually include a default interest rate clause, meaning that if you default, the interest rate can significantly increase. This gives borrowers a short period to balance the loan. If the loan remains in default, lenders are authorized to foreclose on the property used as collateral, and any paid portion of the loan becomes forfeited.
In California, state laws require that all foreclosure processes be handled outside of the court system in a non-judicial foreclosure.
Get Funded Fast – Apply Today!
Provide us some brief information about your hard money needs and a decision maker will get back to you as soon as possible to discuss.
515 South Flower Street, 18th Floor
Los Angeles, CA 90071
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Denver, CO 80202
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MB#0938454 | CA BRE# 01796521 | NMLS# 237332
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