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Online hard money calculators can help estimate these costs accurately.
Alternatives to working with hard money lenders
If you’re not an investor, but rather a homeowner looking to tap into your current home’s equity, you may want to consider the following options:
Take out a second mortgage: Use your home’s equity by obtaining a home equity loan or a home equity line of credit (HELOC), which generally offers lower interest rates compared to hard money loans.
Cash-out refinance: This strategy allows you to refinance your current mortgage, extracting cash from the home’s equity to fund new investments, often with more favorable interest rates.
Borrow from family or friends: Personal loans from family or friends can provide flexible repayment terms and potentially lower or no interest rates, making them a cost-effective alternative.
Use a government-backed loan program: Programs from the FHA, VA, or USDA can help you purchase homes with smaller down payments and reduced interest rates, easing the financing process.
Consider peer-to-peer loans: Borrow through peer-to-peer lending platforms, where individual investors provide funds. These loans can offer unique terms that are different from traditional and hard money loans.
Explore specialized loan programs: Look into specialized financing options designed for fixer-uppers or refinancing existing investment properties, which might offer better terms than a hard money loan.
Request a seller financing option: Some sellers may offer to finance the purchase themselves, potentially lowering closing costs and easing qualification criteria.
How to buy before you sell
Imagine finding your dream home in San Antonio just as it hits the market, perhaps a Craftsman-style house in Southtown or a newly-built townhouse near the Pearl District. With HomeLight’s Buy Before You Sell (BBYS) program, you can secure that new home even before selling your current one, making the transition smoother and less stressful.
The Buy Before You Sell program allows you to use the equity in your current home to make a compelling, non-contingent offer on a new property. If your home qualifies, you can get an equity unlock amount approved within 24 hours, with no initial cost or commitment. This enables you to buy your new home first and sell your old one after, avoiding the inconvenience of moving twice.
Here’s how HomeLight Buy Before You Sell works:
While the program charges a flat fee based on your home’s selling price, you can save a lot by avoiding temporary housing, double-moving costs, and, at the same time, potentially secure a better deal on your new home. Moreover, HomeLight’s BBYS fees are generally lower than the interest rates on bridge loans, which typically range from 9.5% to 12%.
3 top hard money lenders in San Antonio
If you think a hard money loan suits your real estate investment goals, we’ve rounded up three of the top providers to help you secure fast, flexible financing for your next real estate project. Whether you’re flipping, refinancing, or tackling a fixer‑upper, these lenders stand out for competitive terms and reliable service:
