What is a hard money loan?

A hard money loan is a type of financing option offered by private lenders to help individual investors or businesses purchase property. These loans are typically used for non-owner occupied business purposes only in order to finance projects lasting anywhere from a few months to a few years. 

Hard money loans are commonly used to purchase real estate such as:

• Single-family residences for rental property use
• Apartment complexes
• Office buildings
• Industrial complexes
• Fix and flip ventures
• Other properties that can be turned for profit

Source Capital private money lenders fund business ventures like yours to turn your investment into a success. We back up as much as 65% of the value of your property and give you 24 months to fulfill your loan obligation – that’s two years to complete your project and fulfill your loan obligation.

Hard money loan requirements in San Jose, CA

Qualifying for a San Jose hard money loan is easy when you work with us, just follow these five steps:

• Complete our San Jose hard money loan application
• Provide details about the property you want to invest in
• Submit your application—within 24 hours, we will get back to you with a written offer
• Upon acceptance, you will receive financing between 7 and 10 days
• Make your monthly repayments via mail, phone, or direct deposit after your loan is issued and the agreement is signed

Looking to cast your real estate investment net further than San Jose, across the Bay Area, and beyond? Source Capital’s Oakland, Santa Rosa, and San Francisco hard money lenders are ready to help you find hard money loans in Northern California, Arizona, and Minnesota.

What are the hard money loan interest rates in San Jose, CA?

The average interest rate for San Jose hard money loans is 10.5%. Competition can be cutthroat in the Capital of Silicon Valley, but that doesn’t mean our San Jose hard money lenders will let you walk away with an unfavorable interest rate.

At Source Capital, we offer hard money interest rates starting at just 8.99%. Our private lenders are here to help you make the most of your investment, which means finding financing that works for your lifestyle, budget, and investment goals.

Do hard money loans in San Jose show up on credit?

Unlike traditional lenders, Source Capital hard money lenders in San Jose, CA do not rely on your credit score as part of the loan approval process. This makes it a great financing option for investors who need access to funding quickly.

While it’s unlikely that a San Jose hard money loan will show up on your credit report, it may appear on more detailed background checks.

Why you should consider a hard money loan in San Jose, CA

Finding the perfect property to invest in is much easier said than done, so there’s really no time to waste, especially when you’re shopping in a competitive market like San Jose. Hard money loans are a popular financing choice because they get approved faster than other loans. 

Other lenders can take several months to approve and distribute a loan, but hard money loans from Source Capital get approved within 24 hours and are dispensed within seven days. Bank lenders have strict standards, and they’ll pour over your application for months to determine your eligibility. If you have any financial blemishes, you’re more likely to get rejected by a conventional lender.

Unlike other lenders, we don’t care about your credit score or past financial mistakes. We are an asset-based lender, so we care less about your financial history and more about the value and potential of the property you’re buying.

Why hard money loans are appealing to sellers?

Immediate funding comes with many benefits. With a hard money loan at your disposal, your offer might be more appealing to sellers who want cash quickly. Conventional lenders can be unreliable; they can pull funding at the last minute, endangering or ending the escrow. 

Hard money lenders in San Jose are less likely to take back their loans, so they’re seen as a more reliable source of funds. If sellers are in a hurry to get their property off their hands, they’re more likely to negotiate, meaning you can use your hard money loan to negotiate a lower price.

Properties we fund

The real estate market in the Bay can be tough, but our San Jose hard money loans make it easy to snatch up your prized property before anyone else. We finance projects for businesses and individuals alike who intend to make a profit off their purchase. 

Source Capital provides funds for a variety of properties, including:

Residential Properties

If you’re looking to buy a single-family unit, condo, apartment complex, triplex, or quadruplex, we’ll tailor a hard money loan to help you get your property fast. Diversify your investments by acquiring a residential property with a loan from Source Capital.

Commercial Properties

Our clients have used our hard money loans to finance a variety of commercial properties, like hospitality buildings, office space, multi-family units, retail spaces, warehouses, industrial complexes, and more.

Fix and Flip Properties

Hard money loans in San Jose are ideal for fix and flip businesses. When you receive a hard money loan from Source Capital, you can purchase a diamond in the rough property and renovate it quickly to make a profit.

Popular San Jose Areas

Are you looking to invest in residential or commercial real estate in San Jose? Take a look at some of these popular neighborhoods and areas to start your search.

North San Jose

North San Jose puts you right in the middle of some of the best amenities San Jose has to offer, from professional sports teams and casinos to the headquarters of some of the largest tech companies in the city. There are also several retail storefronts in the area for commercial investors.

Silver Creek

People who enjoy a quieter lifestyle prefer areas like Silver Creek. This neighborhood offers easy access to the Silver Creek Valley Country Club, where residents can enjoy golf, tennis, pickleball, and a variety of dining options. Silver Creek is an ideal spot if you’re investing in rental homes for older renters.

Downtown San Jose

Whether you’re investing in commercial or residential real estate, Downtown San Jose has something for you. There’s a mixture of shops, restaurants, office spaces, and residential homes in the area, as well as a handful of apartments.

Willow Glen

Willow Glen wasn’t always a part of San Jose, but it’s been one of the most sought after neighborhoods in the area for decades now. Not only is Willow Glen home to some of the most beautiful architecture, but it also has a wide selection of shops and restaurants for residents to enjoy.

Choose Source Capital for hard money loans

Source Capital is a top hard money lender to individuals and businesses who want immediate funding in San Jose. Whether you want to fund a fix and flip project, invest in a duplex, a condo, a hospitality front, or a retail shop, we will create a customized loan to suit your goals. Our private lenders will finance up to 65% of the value of the property that you can use for 24 months, allowing you plenty of time to complete your financial endeavor.

Our private investors are experts in real estate. If you choose Source Capital, you’ll get expert counsel from qualified investors with knowledge of the housing market. We want you to fulfill your dreams of owning a property, so one of our seasoned real estate specialists will give you guidance at every turn. To learn more, call one of our San Jose hard money lenders today at 323.352.9292.