— PRIVATE MONEY & HARD MONEY LOANS

Private Money &
Hard Money Loan Programs

Short-Term Real Estate Financing for Time-Sensitive Acquisitions, Bridge Scenarios, Renovation Projects, and Transitional Capital – With a Defined Path to Permanent Financing

Call 1-866-389-2778

— ABOUT PRIVATE MONEY LENDING

Private & Hard Money
Loan Programs

Pacific Home Loans specializes in Private Money and Hard Money financing for borrowers who need speed, flexibility, bridge financing, renovation financing, or short-term acquisition capital outside traditional lending timelines and underwriting structures.

Not every real estate opportunity fits inside conventional or Non-QM mortgage guidelines. Some transactions require accelerated closings, transitional financing, renovation capital, seasoning flexibility, or strategic bridge structures before permanent financing is available. Private Money financing is designed for those scenarios.

Call today to get started!

The most important thing to understand about Private Money: it is almost never the destination. It is a bridge to permanent financing – and a Private Money transaction should be structured around its exit strategy from the very beginning.

As a hybrid mortgage bank and broker, Pacific Home Loans structures Private Money transactions with both the short-term bridge financing and the long-term permanent financing solution in view at the same time. The exit isn’t an afterthought; it shapes how the bridge loan is structured.

Whether you are financing an investment property, a vacation rental, a resort condominium, a condotel, a luxury property, or a transitional real estate opportunity, our team structures financing solutions designed around execution speed, collateral strength, and a clear exit.

— ABOUT PRIVATE MONEY

What Is a Private
Money Loan?

A Private Money Loan – often referred to as a Hard Money Loan – is a short-term real estate loan secured primarily by the value of the property rather than traditional income documentation.

Unlike conventional financing, Private Money lending focuses primarily on:

  • Collateral strength and property valuation
  • Equity position
  • Liquidity and reserves
  • Exit strategy
  • Transaction viability

These loans are typically funded through private investors, private lending groups, or specialized capital partners rather than traditional agency or banking channels. Private Money financing is generally intended as bridge financing, acquisition financing, renovation financing, or transitional capital – not long-term permanent financing.

Private Money financing may be appropriate for:

  • Real estate investors needing fast closings
  • Vacation rental investors
  • Luxury property investors
  • Developers
  • Renovation and rehabilitation projects
  • Bridge financing scenarios (buying before selling)
  • Short-term acquisition opportunities
  • Cash-out transactions with seasoning limitations
  • Borrowers transitioning into permanent financing
  • Complex investment scenarios requiring custom structure

Many borrowers using Private Money financing prioritize execution speed, transaction flexibility, and strategic timing over traditional long-term mortgage structures – with a clear plan to refinance into permanent financing once the short-term scenario resolves.

The terms Private Money and Hard Money are often used interchangeably. Both generally refer to short-term, asset-based real estate financing focused primarily on collateral strength and exit strategy rather than conventional underwriting. Some lenders use “Hard Money” to imply faster execution at higher cost; others use the terms identically. Pacific Home Loans uses Private Money and Hard Money to refer to the same general category of short-term, collateral-focused financing.

— COMMON USES

Common Uses for
Private Money Financing

Private Money financing is commonly used for:

  • Investment-property acquisitions requiring faster closings than conventional or Non-QM timelines allow
  • Bridge financing – buying a new property before selling an existing one
  • Renovation and rehabilitation financing
  • Fix-and-flip transactions
  • Vacation rental acquisitions where conventional condo review timelines would lose the deal
  • Resort-property purchases requiring accelerated execution

  • Short-term liquidity needs ahead of a planned liquidity event

  • Transitional financing while project review or permanent financing is being arranged

These programs are especially valuable when conventional financing timelines are too slow, seasoning restrictions create limitations, renovation is required before permanent financing, or acquisition timing is critical to closing the transaction at all.

— EXIT STRATEGY

Exit Strategy: The Single Most
Important Part of a Private Money Loan

Every Private Money transaction should have a clearly defined exit strategy. Without one, a bridge loan becomes a permanent obligation at bridge-loan pricing – which is the most expensive mistake a Private Money borrower can make.

Pacific Home Loans structures Private Money financing with the long-term financing strategy in mind from the very beginning. We are not a short-term-only lender; we are a long-term lender that also offers short-term solutions when they make strategic sense. That means we structure the bridge transaction around the eventual permanent loan – and we are the same team handling both ends.

Common Exit Strategies

Depending on the borrower’s situation and the property, exits may include:

  • Refinancing into DSCR financing once rental income is established
  • Refinancing into Bank Statement financing for self-employed borrowers
  • Refinancing into Asset-Based financing for high-net-worth borrowers
  • Transitioning into Portfolio Lending for complex high-value transactions
  • Refinancing into PrimeResort™ for eligible non-warrantable resort condominiums
  • Sale of the property after renovation, repositioning, or stabilization
  • Completion of an anticipated liquidity event (sale, business transaction, asset disposition)

Pacific Home Loans evaluates each Private Money transaction with the eventual permanent loan structured before the bridge loan closes — so the path forward is clear from day one.

— HOW IT WORKS

How Private
Money Loans Work

Private Money financing focuses primarily on collateral value, equity position, liquidity, project viability, and exit strategy. Traditional income documentation typically plays a reduced role compared with property value, asset strength, investor experience, and overall transaction structure.

Common loan characteristics may include:

  • Short-term loan structures (typically 6 months to 24 months)
  • Interest-only payment options
  • Renovation financing including draw structures
  • Bridge structures for buying-before-selling scenarios
  • Flexible underwriting approaches depending on the scenario

Pricing reflects the short-term, higher-execution-risk nature of these transactions. Private Money pricing is typically higher than conventional or Non-QM permanent financing – which is part of why the exit strategy matters so much. The cost of being in the bridge loan for an extra six months without a clear path to permanent financing can be substantial.

— PROPERTY TYPES

Eligible
Property Types

Private Money financing may be available for:

  • Investment properties
  • Luxury homes
  • Vacation rentals
  • Resort properties
  • Non-warrantable condominiums
  • Resort condominiums
  • Condotels
  • Fix-and-flip properties
  • Renovation projects
  • Bridge financing scenarios
  • Luxury investment properties

Project review may be required depending on property classification, occupancy, zoning, HOA structure, and investor guidelines.

— RESORT & INVESTMENT FINANCING

Private Money Financing for
Resort & Investment Properties

Private Money financing is commonly used for vacation rental properties, luxury short-term rental homes, resort condominiums, non-warrantable condominiums, condotels, and luxury investment real estate – typically as a bridge to permanent financing once project review, renovation, or rental stabilization is complete.

Pacific Home Loans structures Private Money financing throughout Hawaii, California, Arizona, Nevada, Colorado, Montana, Tennessee, Texas, Oregon, and Washington – including destination markets such as Maui (Wailea, Kīhei, Kāʻanapali), Waikīkī, Scottsdale, Sedona, Lake Tahoe, Vail, Big Sky, Gatlinburg, Pigeon Forge, and Fredericksburg.

For eligible non-warrantable resort condos with lower down payments (from 20%) as a long-term permanent option:
→ PrimeResort™ Vacation Rental Condo & Resort Financing

For condotels and luxury property financing as a long-term permanent option:
→ Portfolio Loans, Condotel Financing & Strategic Luxury Property Solutions

For long-term investment property financing based on rental cash flow:
→ DSCR / Investor Cash Flow Loan Programs

— COMPARING PROGRAMS

Private Money vs.
Other Financing Options

Different financing solutions are designed for different transaction goals and timelines. Private Money is one option — best understood in contrast with the long-term programs that typically follow it:

Private Money Financing
Best for: short-term acquisition financing, bridge financing, renovation financing, and time-sensitive transactions. Intended as transitional capital, not permanent financing.

DSCR / Investor Cash Flow Loans
Best for: long-term investment-property financing based on rental income. The most common permanent refinance destination for Private Money bridge loans on rental properties.
→ DSCR / Investor Cash Flow Loan Programs

Bank Statement Loans
Best for: self-employed borrowers qualifying based on deposits and cash flow.
→ Bank Statement Loan Programs

Asset-Based Loans
Best for: high-net-worth borrowers qualifying based on assets and liquidity.
→ Asset-Based Loan Programs

Portfolio Lending
Best for: long-term strategic structuring, jumbo and super jumbo financing, luxury properties, condotels, and complex high-value transactions.
→ Portfolio Loans, Condotel Financing & Strategic Luxury Property Solutions

— WHY PACIFIC HOME LOANS

Why Pacific Home Loans
for Private Money Financing

Private Money lending requires understanding acquisition timing, collateral analysis, investor strategy, renovation timelines, vacation rental markets, and – most importantly – long-term financing transitions. Pacific Home Loans has been structuring Private Money financing since 2018 across resort markets, luxury property markets, investment-property acquisitions, and transitional financing scenarios nationwide.

This is the meaningful distinction between Pacific Home Loans and a stand-alone hard-money shop. Many Private Money lenders only do short-term loans – which means once the bridge closes, you start over with a new lender, a new application, a new appraisal, and new closing costs to get to permanent financing. That is expensive and slow, and it puts the borrower at risk if the permanent loan doesn’t materialize on time.

Pacific Home Loans funds Private Money in-house and offers the full range of permanent financing – agency, PrimeResort™, Non-QM (DSCR, Bank Statement, Asset-Based, 1099, Foreign National), and Portfolio Lending. That means we structure the Private Money loan with the specific permanent program already in mind, and our team handles both ends of the transaction. The exit isn’t a hope; it’s a planned execution.

Pacific Home Loans operates as a hybrid mortgage bank and broker. The majority of our loans are funded in-house, which means faster decisions and direct underwriting access. For Private Money specifically, our broker shelf gives us access to a diverse network of private capital partners – useful when a transaction requires specific terms (longer hold periods, larger renovation draws, particular property types) that one capital source may not accommodate.

We understand that timing, flexibility, and execution certainty are often the most important components of a successful transaction – and that the best Private Money loan is the one with the clearest path back out.

— PHL CAPITAL PLATFORM

How Private Money Financing
Fits Into the PHL Lending Platform

Pacific Home Loans structures financing using a tiered capital platform based on borrower profile, property classification, liquidity, exit strategy, and transaction complexity. Private Money sits within the Non-QM tier of the platform as a short-term, transitional capital option – designed to bridge to one of the permanent financing programs below.

Agency Financing
Conventional, FHA, VA, and traditional jumbo programs for borrowers and properties meeting standard guidelines
↓
PrimeResort™
Non-warrantable condo and vacation rental condo financing for resort-style condominium projects
↓
Non-QM Financing
Flexible qualification using DSCR, bank statements, asset-based qualification, 1099 income, foreign national documentation, and short-term private money / bridge financing
↓
Portfolio Lending
Condotels, luxury property financing, jumbo and super jumbo lending, and advanced strategic structuring

Related Financing Solutions

Call 1-866-389-2778

— COMMON QUESTIONS

Private Money & Hard
Money Loan FAQ

Have a question not answered here? Our team is available to walk through your specific scenario.

Related Financing Solutions:

→ Non-QM Loan Options
→ DSCR / Investor Cash Flow Loan Programs
→ Portfolio Loans, Condotel Financing & Strategic Luxury Property
→ PrimeResort™ Vacation Rental Condo & Resort Financing
→ Bank Statement Loan Programs
→ Asset-Based Loan Programs

A Private Money Loan is a short-term real estate loan secured primarily by the value of the property rather than traditional income documentation. It is typically structured as transitional capital with a defined exit into permanent financing.

The terms are often used interchangeably. Both generally refer to short-term, asset-based real estate financing focused primarily on collateral strength and exit strategy rather than conventional underwriting. Pacific Home Loans uses the terms identically.

Closing timelines vary depending on property type, valuation, title work, and transaction complexity. Private Money financing is often used specifically for transactions requiring faster execution than traditional conventional or Non-QM financing timelines allow – sometimes closing in a fraction of the time of an agency loan when the file is well prepared.

Private Money pricing is typically higher than conventional or Non-QM permanent financing – appropriate for a short-term scenario but expensive if held longer than planned. A clearly defined exit (refinance into DSCR, Bank Statement, Asset-Based, Portfolio, or PrimeResort™, or sale of the property) is what makes the bridge loan a strategic tool rather than a costly trap. Pacific Home Loans structures the permanent financing strategy before the bridge loan closes.

Yes. Private Money financing is commonly used for renovation projects, rehabilitation financing, fix-and-flip transactions, property repositioning, and transitional investment scenarios. Draw structures and renovation budgets can be built into the loan.

Yes. Private Money financing is commonly used for vacation rental properties, resort condominiums, luxury short-term rental homes, non-warrantable condominiums, condotels, and investment properties – typically as a bridge to permanent DSCR, PrimeResort™, or Portfolio financing once the property stabilizes or project review completes.

Yes. Private Money financing may be available for condotels, condo hotels, non-warrantable condominiums, and resort investment properties depending on transaction structure and collateral strength. For permanent financing on these property types, PrimeResort™ (for non-warrantable resort condos) or Portfolio Lending (for true condotels) are the typical exit destinations.

Yes – and this is the most common use. Many borrowers use Private Money as transitional financing before moving into DSCR financing, Bank Statement financing, Portfolio Lending, PrimeResort™, or other long-term solutions. This is especially common for renovation projects, seasoning scenarios, bridge financing, and vacation rental acquisitions where the permanent loan requires rental history or project review the borrower doesn’t yet have at the time of acquisition.

Private Money financing focuses primarily on collateral value, equity position, liquidity, and exit strategy. Traditional income documentation typically plays a smaller role than in conventional mortgage underwriting, though credit and reserves still matter.

An exit strategy is the borrower’s plan for repaying or refinancing the Private Money loan. Common exit strategies include refinancing into DSCR financing once rental income is established, refinancing into Bank Statement or Asset-Based financing for borrower-side qualification, transitioning into Portfolio Lending or PrimeResort™ for the right property type, sale of the property after renovation or repositioning, or stabilization of rental income to support permanent financing.

Eligible property types may include investment properties, vacation rentals, luxury homes, resort properties, non-warrantable condominiums, condotels, renovation projects, and transitional investment properties.

Need to Move Fast on an Acquisition or Renovation?

Private money works when timing is the deciding factor. Our team has been structuring bridge and hard money financing since 2018 – we know how to evaluate collateral, move quickly, and build a realistic path to permanent financing. If you have a deal that needs to close, let’s talk about whether private money is the right tool.

Call 1-866-389-2778