Hard money · Business purpose
Hard money loans for California investors.
Rates starting at 10.99%.
The 6/6/12 program: twelve months interest-only, six months of interest prepaid so there is nothing to carry while you work, and up to 70% loan-to-value in first or second position. Built for flips, fast closes and pulling equity out of a rental.
Loan officer with an investor client? Broker the deal to us and keep the client
The program
6
/
6
/
12
6 months
prepayment penalty
6 months
of interest paid upfront
12 months
interest-only term
Rates from 10.99%. Investment property only — never owner-occupied.
01
02
03
04
Step one
What is the money for?
Fix and flip
Buy an investment property fast
Pull cash out of a rental I own
Bridge until I refinance or sell
The term sheet
Everything that matters, on one page.
Hard money lives or dies on its terms. These are the ones that define 6/6/12 — no fine print hiding further down.
Rate
Starting at 10.99%
Interest-only. Credit, lien position and leverage set the final number.
Term
12 months
Interest-only, with the balance due at the end of the term.
Prepaid interest
6 months upfront
Collected at closing, so there is no monthly payment to carry during the first six months.
Prepayment penalty
6 months
Plan your exit around it. Aaron walks through exactly how it applies before you sign.
Leverage
Up to 70% LTV
Available in first or second lien position.
Property
1–4 units & condos
Non-owner-occupied investment property only.
When it fits
Short money for a deal with a plan.
Fix and flip
Buy the house the bank will not lend on yet, do the work, sell it. The twelve-month term is built around that timeline.
Close fast on a deal
An off-market seller or a competitive listing that rewards a quick, clean close. Hard money is built around the property and the deal, which is what lets it move faster than a bank.
Pull equity out of a rental
A free-and-clear or low-balance investment property funds the next acquisition. A second-lien option leaves an existing first mortgage in place.
Bridge to permanent financing
Buy and stabilize now, then refinance into a long-term rental loan once the property qualifies on its own rent.
Planning to hold the property long term? Once it is stabilized, a DSCR loan qualifies on the rent instead of your tax returns — the usual way out of a hard money loan into a 30-year rate.
Quick math
What does 10.99% interest-only look like?
$
Monthly interest at the starting rate
$2,748
6 months prepaid at closing
$16,485
Value needed at 70% LTV
$428,571
Balance due at month 12
$300,000
Illustration only, at the 10.99% starting rate. Your rate may be higher, and points, fees and other closing costs are not included. On a second lien, your existing mortgage counts toward the 70%.
01
02
03
04
Step one
What is the money for?
Fix and flip
Buy an investment property fast
Pull cash out of a rental I own
Bridge until I refinance or sell
Plainly
Who this loan is not for.
Anyone buying a home to live in. This is a business-purpose loan on investment property only — no primary residences, no second homes, nothing a family member will occupy. If that is you, the cheaper doors are conventional, FHA, VA or a specialty program.
A deal without an exit. The whole balance comes due at month twelve. If there is no realistic sale or refinance by then, short money gets expensive fast — and Aaron would rather tell you that on the first call than at month eleven.
Someone shopping on rate alone. Hard money costs more than a 30-year mortgage because it is faster, shorter and more flexible. When a conventional or DSCR loan will close in time, that is usually the better choice, and you will hear so.
Questions
What investors ask first.
It is shorthand for the three terms that define the program: a 6-month prepayment penalty, 6 months of interest paid upfront at closing, and a 12-month interest-only term. Rates start at 10.99%. Aaron will walk through how each one applies to your specific deal before anything is signed.
No. This is a business-purpose loan for non-owner-occupied investment property only. It is not available for a primary residence, a second home, or any property you or a family member will occupy, and it cannot be used for personal or household purposes. If you are buying a home to live in, a conventional, FHA, VA, or specialty program is the right conversation instead.
Hard money is priced for speed, flexibility and short duration. The lender is underwriting the property and the equity more than your personal income documentation, and the loan is meant to be repaid within a year. That flexibility costs more than a 30-year owner-occupied mortgage, and it should only be used where the deal justifies it.
The 10.99% figure is the starting rate for the strongest files. Credit score, whether the loan is in first or second lien position, the loan-to-value, the property type and location can all move the rate up. You will get a specific number once Aaron has the basics of the deal.
Every hard money loan needs one, because the full balance is due at the end of twelve months. The most common exits are selling the property after a renovation or refinancing into long-term rental financing once the property is stabilized. Aaron will ask about the exit on the first call, because it matters more than almost anything else.
Yes. The program is available as a first or a second lien. A second lets you leave an existing first mortgage untouched while pulling equity to fund another project. Second-lien pricing generally sits above first-lien pricing.
Cali Mortgage works across California, and most of the process runs remotely. Property eligibility depends on the specific location and property, so share the address early.
Cali Mortgage · Roseville, California
Got a deal on the table? Get a real number today.
Send the address, the price and what you plan to do with it. Aaron will tell you the rate, the cash you need at closing, and whether the numbers work.
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