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Hard money loan calculator.
What you need at the table, and what the money costs in interest across the hold. Purchase, rehab, advance rate, the ceiling on finished value and the closing costs, all of it yours to change.
Your deal, in focus
See how the numbers move.
Adjust the assumptions to explore your deal. Your estimate updates as you go.
Set purchase financing, rehab financing, and the maximum loan to ARV. Actual LTC uses purchase plus rehab only; points, closing costs, and interest are paid separately. Closing cash is not total liquidity needed. Allow for reserves, prepaid items, deposit credits, and cash to pay contractors before draw reimbursement.
Use nonnegative figures. Financing shares and rental expense allowances cannot exceed 100%. Loan limits depend on the value or cost basis shown beside each field.
Assumptions behind this estimate
Purchase and rehab are financed together, with rehab released in draws against completed work, so interest here is charged on the drawn balance rather than the whole facility. The loan is the lower of purchase financing plus rehab financing and the ceiling against after repair value. Selected rehab funds are reserved first; an ARV cap reduces purchase financing before rehab. The rate below is an assumption you can change, not a quote: pricing is set by credit, experience and the deal. The advance and ceiling are typical rather than a quote, and the closing-cost field is your own estimate. Interest is the only cost of holding this tool charges: monthly taxes, insurance and utilities are not modelled here, and the flip tool is where you enter those. Whatever is offered in writing on your actual file governs over anything on this page.
Interest assumes purchase or land funds at closing and an average of 50% of the financed work drawn during the entire hold. Earlier completion or a delay after the final draw increases interest. Draw fees, inspections, extensions, and reserves need to be included in your own cost estimates.
Cash to close
Your numbers at a glance
Each bar compares an amount. Bars are not portions of a total.
Estimate only, based on the figures you entered. Not a quote, an approval, an appraisal or a commitment to lend, and subject to underwriting.
You need $31,955 at the table, and about $40,343 in the deal across 5 months including interest and any rehab paid from your cash. Monthly carry for taxes, insurance and utilities sits on top of that; the flip tool charges it.
The modeled loan is limited by 85% purchase + 100% rehab. A higher requested advance cannot override the selected value or cost ceiling. This is a planning limit, not a lending decision.
Check my cash budget
Save these numbers, then adjust your inputs above.
Get terms on this deal
Estimate only, based on the figures you entered. Not a quote, an approval, an appraisal or a commitment to lend, and subject to underwriting.
This sends the numbers above straight to me for a person to underwrite. You get an initial written response in 24 to 48 hours, and a straight answer either way. Terms, if offered, are subject to underwriting and approval.
How to read it
What the number means.
The calculator adds your selected purchase financing to your selected rehab financing, then caps the total at your maximum loan to ARV. It reserves the selected rehab funding first and applies the balance to the purchase. The unfunded purchase amount is your down payment; unfunded rehab is additional cash you need during the project. Actual LTC is the resulting loan divided by purchase plus rehab, excluding points, closing costs, and interest. Those expenses are included separately in your cash requirements.
The second thing this works out is the interest. It is charged on the drawn balance rather than on the full facility, because rehab is released in draws against completed work rather than handed over at closing. That makes the real cost of the money sensitive to how long you hold, which is the line most first deals underestimate.
Interest is the only holding cost this tool charges. Property taxes, insurance and utilities run for every month you own the property and are not modelled here, because this tool does not ask for them; they sit on top of every figure it reports, and the fix and flip calculator is where you enter them. Everything below is an assumption you can change rather than a quote, including the closing cost percentage. Pricing is set by credit, experience and the deal, and no calculator can price a property it has not seen.
Questions
Understanding your results.
What is cash to close?
Everything you have to bring on the day: the part of the purchase the loan does not advance, the points, and the buy-side closing costs you enter. It is not the same as the down payment, and treating it as though it is the single most common reason a first deal runs short at the table. Interest and any construction the loan will not fund come later rather than at the table, so this tool reports them as separate lines.
Why does the loan get sized on finished value?
Because that is what secures it. A lender is lending against what the property will be worth when the work is done, so the whole facility has to sit comfortably under a percentage of that number. If your finished value is optimistic, the loan shrinks.
Is the rate in this calculator your rate?
No. It is a figure you set so the arithmetic has something to work with. Pricing is set per borrower and per deal, so no page can state yours. If terms are offered on your file they arrive in writing, subject to underwriting and approval, rather than being quoted here.
Does this include the cost of selling?
No, this one stops at the interest on the loan. It does not charge taxes, insurance or utilities across the hold, and it does not charge the cost of selling. Use the fix and flip calculator for the full round trip including monthly holding costs, sale costs and profit.
Method
Where these numbers come from.
What a hard money loan actually costs, in full
Rate is the number everyone asks about and rarely the largest cost. Here is the whole bill on a real deal, priced line by line.
Hard money loan requirements: what a lender actually checks
Hard money is underwritten on the property and the exit, not your tax returns. Here is the full list of what gets checked, and what does not.
Holding costs: the line item that quietly eats the profit
Holding costs are small every month and decisive over a project. They are also the number investors most reliably leave out of the model.
Other tools
The rest of them.
Maximum offer calculator, Rental cash-flow calculator, Cash-out refinance calculator, Fix and flip calculator, ARV calculator, BRRRR calculator, DSCR calculator, Rehab cost calculator, Construction loan calculator, Rental portfolio calculator, Transactional funding calculator.
This is an estimating tool. It runs arithmetic on the figures you enter using the assumptions stated above, and changing an assumption changes the answer. The result is not a quote, an approval, an appraisal, a valuation, or a prediction of what a property will sell for, and it does not commit anyone to lend. Costs, taxes and market conditions vary by location and change over time. Check the numbers that matter against your own contractor, agent and professional advisers before you commit to a deal.
When the numbers work
Get it underwritten.
A calculator cannot see your property. Estimate only, based on the figures you entered. Not a quote, an approval, an appraisal or a commitment to lend, and subject to underwriting. Send the deal and a person reads it: you get an initial written response in 24 to 48 hours, and a straight answer either way. Terms, if offered, are subject to underwriting and approval. No credit pull to get an answer.