Conventional real estate financing has been significantly reduced on the commercial lending front due to the implosion of the mortgage industry in 2008 and the tightening of the banks’ underwriting guidelines.  As a result, hard money and bridge loans are more important today than ever before  These types of loans can be used for REO acquisitions, short sales, rehab financing, foreclosure bail-outs and lending on commercial and residential properties.

A hard money loan is a specific type of asset-based loan financing in which a borrower receives funds secured by the value of a parcel of real estate.  Hard money loans are typically issued at higher interest rates than conventional commercial or residential property loans and are almost never issued by a commercial bank or other depository institution  Hard money loan is similar to a bridge loan, which typically has similar criteria for lending as well as costs to the borrowers.  The primary difference is that a bridge loan often refers to a commercial property or investment property that may be in transition and does not yet qualify for traditional financing, whereas a hard money loan refers to not only an asset-based loan with a higher interest rate, but possibly a distressed financial situation, such as payment arrears on the existing mortgage, or where bankruptcy and foreclosure proceedings are taking place.

Hard Money Loans Criteria and Rates:

  • Lending Area: National and International
  • Collateral: We lend mainly to commercial real-estate, including raw land and development projects
  • Interest Rate: Variable from 9% to 14% depending on collateral
  • Amortization: Interest Only
  • Use of proceeds: For Business purposes only
  • LTV: Up to 80%
  • Prepayment: No prepayment penalties
  • Term: Flexible loan term from 1 to 3 years
  • Origination Fee: 1 to 4%
  • Closing time: 5 Days to 1 Month


Global Funding Sources is highly experienced in providing our clients with commercial Bridge loans and hard money loans in a short amount of time. With our numerous partnerships with institutional private investment firms we can provide the capital you need, in the time you need it in.  For more information on our Bridge and Hard Money financing options, please call us at (888) 893-4339 today!