Things You Need to Know About Private and Hard Money Lending

Are you planning to apply for a private or hard money loan at DeNovus Capital, but unsure whether it’s the right financing option to meet your needs? Read on to learn more about these two types of loan programs and how you can use them to your benefit.

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Why Should I Turn to a Private Money Lender in Massachusetts?

We started in your shoes. As a real estate investor, you are always in search of potential real estate acquisitions, and know that one could appear at any given moment. When an opportunity presents itself, you need a private money lender who is able to recognize a good deal. You and your team need to be ready to close fast and reliably to secure a winning bid at an auction, finalize your contract to purchase deadline, or meet your purchase and sale agreement performance dates. We understand how crucial it is to not be in breach of your obligations. For these reasons, time to close is of incredible importance.

When you turn to a local private money lender in Massachusetts such as DeNovus, you are receiving fair private money loan terms. You are also working with a flexible private lender who understands what your investment objectives are for the project. Additionally, we strive to understand your obligations before, during, and after your closing.

What Interest Rate and Points Will I Pay on My Private Money?

We simply break down the private money commitment terms to three easy tiers based on the loan-to-value of your transaction. Our team also considers the type of private money loan your project requires, such as acquisitions, renovation, new construction, or refinance/ cash out.

Private money borrowers with an appealing LTV usually have a good underlying real estate collateral value and strong construction management skills to execute their real estate project. The quality of the transaction will dictate the terms and structure of the private money loan.

LTV 55% and Under 8% to 11% 0 to 2 Points
LTV 55% to 65% 9% to 12% 1 to 3 Points
LTV 65% to 75% 10% to 13.5% 2 to 4 Points

Unlike traditional sources of financing, we’re able to craft flexible terms customized to your opportunity. Every real estate flip, deal, transaction, acquisition, renovation, new construction, and refinance opportunity is different. We quickly customize every loan program to the specifics of your project and to the way you work.

Simply fill out our application form and input the acquisition price and scope of work for the project. We can determine in a ten-minute conversation if your opportunity meets our private money lending criteria. Our company provides first mortgages for business entities who are non-owner occupants. We are actively in search of qualified opportunities for private lending projects in Massachusetts, Cape Cod, Nantucket, Martha’s Vineyard, New England, and Florida.

How Is Private Lending Different From My Local Banker?


Banks and mortgage companies can be slow to react and may not understand the business of real estate investing as well as private lenders. By contrast, as private lenders, we can provide private capital based on the value and potential of your project, not on your financial past or credit score.

You can count on us for a streamlined and efficient process, with reliable funding for meeting acquisitions, draw schedules, over budget requests, and exit strategy. Our background as real estate investors and a local private lender culminates with a unique experience with asset-based lending from first, second, third, and fourth mortgages, equity co-investments, renovations, wholesaling, and new construction. We have a network of experienced real estate professionals ready to assist.

How quickly can
I receive funds?

Communication and site control are vital to confidentiality and quickly closing your loan. As soon as a clean title is obtained, we have the ability to close your private money loan as quickly as five to ten business days. In comparison, the industry average is typically fourteen business days for a simple transaction.

Hard Money Lending for Massachusetts Real Estate Investors

Perhaps you are a real estate investor with an exciting opportunity before you, but without the funds to see it through. You may be a developer who needs to move fast on an acquisition in order to maximize profitability through a bargain price. Maybe you’re a real estate agent or broker who works with investors and needs a reliable lending partner to help them get their projects funded faster to give you the edge when negotiating the purchase price. Hard money lending can get your deal moving faster and keep it moving forward.

Unlike traditional sources of financing, we can create flexible terms for your real estate loan, customized to your project and to the way you work. We provide money for every stage of your project, from initial acquisition to renovation, and refinancing to debt restructuring. Our company offers first and second mortgages and a variety of lending options for projects in Massachusetts, Cape Cod, Nantucket, Martha’s Vineyard, New England, and Florida.

How Are You Different From Other Hard Money Lenders?

We are interested in a long-term, ongoing relationship with our borrowers. Unlike other hard money providers, we are not arbitrage lenders who enter into an agreement, then sell the loan to a hedge fund or financial institution. That can lead to a decline in the quality of the underwriting standards as well as the loss of the relationship between the investor and lender. We’re not looking for profitability through the sale of the loan. We understand that the real profit potential lies in the repositioning or improvement of the property.

At DeNovus Capital, we think of all of our borrowers as repeat clients. Our team knows that if we treat you right the first time, there will be future opportunities to work together towards profitable deals. Because our decades of experience are rooted in the industry of residential and commercial real estate and development, we speak your language when it comes to initial acquisition, draw schedules, and exit strategies. We know that the profit is in the purchase, so we provide a fast and streamlined process to help you get your deals done faster and put you in a stronger negotiating position.

What Kinds of Projects Do You Fund?

We provide hard money to fund a variety of project types, including:

Single-Family

Two-Family

Three-Family

Four-Family

Multifamily Apartment Buildings

Condominium Buildings

Mixed-Use Buildings

Parking Lots

Self-Storage Facilities

Hotels

Industrial Properties

Commercial Strip Centers

Raw Land

Seasonal Cottages.

Small Subdivisions and Developments

Whether you need funds for a one-off transaction or portfolio acquisition, a construction loan for renovations or repairs, or to refinance or recapitalize your current project, every day you have to wait for results in increased carrying costs and lost profitability. When approval and disbursement move as fast as you do, you’re able to get more done–and make more money in the process.

How Do I Get Started?

When you pre-qualify with us, you’re ready to get up and running quickly when a great residential or commercial real estate opportunity presents itself. You can negotiate with confidence, knowing that your private hard money lender funding is secured and ready for your closing.

Pre-qualify now, and let us help you make your Massachusetts REI goals a reality. Contact us to discuss all of the ways that we can help you reach a higher level of success in real estate investing.

As private lenders, we prioritize locating quality transactions on a consistent and ongoing basis. That’s why we take care to analyze and understand your deals so that we can bring value to you throughout the process. We extend and execute confidentiality agreements to ensure that your transaction is handled with the utmost discretion. The goal is to build an ongoing partnership with you. You provide the deals, we provide the funding. We have a zero-default rate to date due to our hands-on management and lending criteria.

  • Private Money/Hard Money

    We are your local, experienced, and direct private money lender.

  • Close Fast

  • Professional Real Estate Network

    Real estate brokers, agents, facilitators, real estate attorneys, contractors, and developers

  • Deal Analyzer/LTV Calculator

    Use our simple deal analyzer calculator to obtain your projected profit by inputting purchase price, renovation cost, holding cost, soft cost, and estimated selling price.

  • Free Consultation

    Our team enjoys hard money lending and talking about real estate. We are happy to discuss productive solutions to your real estate opportunities!

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What Types of Loans Do You Offer?

We offer a variety of loan products, structured for the way you do business. These include:

DIP Loans and Workouts

Mortgages and Loan Servicing for Buy and Hold Investors

Rehab and Renovation Loans for Fix and Flip Investors

New Construction for Developers and Contractors

Real Estate Planning and Risk Management Options

Acquisition and Purchase

First Mortgages

Debt and Note

Short-Term Loans

Cash Out Refinance

Mezzanine and Bridge Financing

As private lenders, we prioritize locating quality transactions on a consistent and ongoing basis. That’s why we take care to analyze and understand your deals so that we can bring value to you throughout the process. We extend and execute confidentiality agreements to ensure that your transaction is handled with the utmost discretion. The goal is to build an ongoing partnership with you. You provide the deals, we provide the funding. We have a zero-default rate to date due to our hands-on management and lending criteria.

When You’re Ready to Begin?

Find out what it means to work with a lender who understands what it is you’re doing and how your business works. Let us help you make your Massachusetts REI goals a reality. Pre-qualify in as little as 12 hours! It’s a fast and easy process that gives us an opportunity to discuss your project and look for ways to meet your financial needs, with flexible underwriting and strong interest rates and terms. Contact us today.

Get the Funding You Need for Your Real Estate Project

All communication is kept confidential and a non disclosure agreement will be executed.