— NON-QM LOAN PROGRAMS
Private Money
Loan Programs
Short-term real estate financing structured for acquisition, bridge, and renovation scenarios in Hawaii and other markets where Pacific Home Loans is licensed.
— ABOUT NON-QM LOANS
Hawaii Private & Hard Money
Loan Programs
Pacific Home Loans structures private money and hard money financing throughout Hawaii, including Oahu, Maui, the Big Island, and Kauai. These short-term bridge loans are backed by private investors and capital partners and are designed for scenarios where conventional or Non-QM financing is not currently viable. Private money financing is typically used as a temporary solution with a defined exit strategy.
Multi-State Availability
Pacific Home Loans provides private money and bridge financing solutions in multiple states, including Hawaii, California, Nevada, and other markets where we are licensed. While this page focuses on Hawaii-specific guidance, these programs may be applied to transactions in other states based on property location, collateral, and program eligibility.
— PROGRAM DETAILS
What is a
Private Money Loan?
A private money loan is a short-term real estate loan secured primarily by the value of the property, rather than traditional income documentation. These loans are commonly used for:
- Property acquisition
- Bridge financing
- Renovation projects
- REO purchases
- Short-sale acquisitions
- Fix-and-flip transactions
- Timing-sensitive closings
Private money is not a replacement for long-term financing. It is typically used to bridge into a permanent financing solution.
→ DSCR / Investor Cash Flow Loans
→ Portfolio Loans & Flexible Financing Solutions
— PROGRAM DETAILS
What are Typical
Private Money Terms?
When Private Money May Be Appropriate:
Each transaction must demonstrate a viable exit strategy.
Program Highlights:
- Credit profiles reviewed case-by-case
- Income documentation requirements vary by scenario
- Closings may occur faster than traditional financing, subject to underwriting and appraisal
- No seasoning requirement for certain cash-out scenarios, subject to valuation and investor approval
- Bridge financing available for acquisition and repositioning
Primary residence eligibility, if applicable, is subject to lender and regulatory guidelines. All loans remain subject to underwriting review and investor approval.
Eligible Property Types:
- Single-family homes
- Condominiums
- Condotels
- Site condominiums – including Hawaii CPR properties
- Investment rental properties
- Certain legally permitted short-term rental properties
Property eligibility is determined by investor guidelines, collateral quality, and zoning compliance.
Loan Terms:
- Typical terms range from 12 to 24 months
- Extension options may be available depending on performance and lender guidelines
- Interest-only structures are common
- Rates, points, and fees are typically higher than conventional or Non-QM products due to the short-term and higher-risk nature of the program
All programs remain subject to underwriting guidelines and investor overlays.
— SPECIALIZED FINANCING
Private Money vs
Other Financing Options
Private Money vs DSCR
DSCR loans provide long-term investor financing based on property cash flow. Private money is short-term bridge financing used to position a property for permanent financing.
Private Money vs Asset-Based
Asset-based loans qualify borrowers using liquidity and balance sheet strength for longer-term structures. Private money focuses primarily on collateral value and exit strategy.
Private Money vs Portfolio Lending
Portfolio loans provide structured long-term financing for larger or complex transactions. Private money is typically used when immediate flexibility is needed before transitioning to permanent financing.
→ DSCR / Investor Cash Flow Loans
→ Asset-Based Loan Programs
→ Portfolio Loans & Flexible Financing Solutions
The Exit Strategy
Before funding a private money loan, Pacific Home Loans evaluates the intended refinance path, renovation timeline, stabilized market value, rental income potential, and liquidity and reserve strength. Private capital is most effective when paired with a clearly defined exit strategy.
— NON-QM LENDING
How Private Money Fits
Into the PHL Lending Platform
Traditional Agency Financing
↓
Alternative Documentation (Non-QM)
↓
Private Money – Bridge / Transitional Financing
↓
Portfolio Lending Solutions
This structure allows borrowers to move from short-term financing into long-term capital solutions as the transaction stabilizes.
Important Information
Private money loans are short-term, higher-cost financing solutions. These products may have significantly higher interest rates, more points, or more fees than fully documented mortgage products. Loan approval is subject to collateral review, underwriting, and investor guidelines. Information provided is for educational purposes and does not constitute investment, legal, or tax advice.
