Hard Money Lenders in Oklahoma City: A Guide for Real Estate Investors
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Joseph Gordon EditorJoseph Gordon is an Editor with HomeLight. He has several years of experience reporting on the commercial real estate and insurance industries.
Real estate investors in Oklahoma City know that time is money, especially in a growing market like OKC. If you’re looking to invest in a fixer-upper in Midtown or flip homes in the Village, a hard money loan could help you close deals fast. Unlike traditional bank loans, hard money loans focus on the property’s potential value, not your credit score, allowing you to take advantage of local opportunities more quickly.
For investors needing speed and flexibility, hard money lenders offer short-term solutions that might not be available through banks. Whether you’re navigating a competitive flip or need quick funding for an investment property, knowing how these loans work can help you decide if they’re right for your next Oklahoma City project.
Start Making Offers Without Waiting to Sell Your Home
Through our Buy Before You Sell program, HomeLight can help you unlock a portion of your equity upfront to put toward your next home. You can then make a strong offer on your next home with no home sale contingency.
Editor’s note: This post is for educational purposes and is not intended to be construed as financial advice. HomeLight always encourages you to consult your own advisor.
What is a hard money lender?
A hard money lender provides short-term loans, primarily to real estate investors like house flippers and those purchasing rental properties. Unlike traditional lenders, they focus less on creditworthiness and more on the property’s value, particularly its after-repair value (ARV). ARV represents the property’s estimated value after all planned renovations are complete, which helps determine the loan amount.
Interest rates for hard money loans are typically higher than traditional mortgages, often ranging from 8% to 15%, along with additional fees like origination charges. If a borrower fails to repay the loan, the lender can foreclose on the property since the real estate secures the loan. This makes it essential for borrowers to plan carefully when taking out a hard money loan.
How does a hard money loan work?
Hard money loans in Oklahoma City are designed for real estate investors who need quick access to funding. These loans work differently than traditional bank loans, with specific terms and structures suited for short-term investment projects.
- Short-term loan
Hard money loans typically last for a much shorter term than a 30-year mortgage, usually lasting 6 to 18 months. - Faster funding option
Traditional loans can take 30 to 50 days to close, but hard money loans are funded much quicker, sometimes in a matter of days. - Less focus on creditworthiness
Hard money lenders don’t rely as heavily on a borrower’s credit score, making these loans accessible to those with less-than-perfect credit. - More focus on property value
Lenders primarily consider the property’s current and future value, as well as its loan-to-value ratio, rather than the borrower’s personal finances. - Not traditional lenders
Unlike banks, hard money lenders are private companies or individuals focused on short-term real estate deals. - Loan denial option
If the property’s potential value or home equity doesn’t meet expectations, a hard money lender may deny the loan. - Higher interest rates
Expect interest rates higher than traditional mortgages, often in the range of 8% to 15%, reflecting the higher risk involved. - Might require larger down payments
Hard money loans may require a down payment of 20%–30% or more, depending on the lender. - More flexibility
Hard money lenders offer more flexibility with loan terms than traditional banks, accommodating unique borrower needs. - Potential for interest-only payments
Some hard money loans allow borrowers to make interest-only payments during the loan term, postponing principal repayment until the end.
What are hard money loans used for?
Hard money loans can be a helpful tool in a variety of real estate situations, especially when quick funding or flexibility is needed. Here are some common scenarios where investors or homeowners might benefit from using a hard money loan.
- Flipping a house
When flipping homes, investors need fast access to capital to purchase and renovate properties. A hard money loan can provide the necessary funds to acquire the property and cover renovations, allowing the investor to sell for a profit after repairs. - Buying an investment rental property
Investors purchasing rental properties may use hard money loans to secure funding quickly. This can be particularly useful in competitive markets where speed is crucial for securing the right property for long-term rental income. - Purchasing commercial real estate
Hard money loans offer a quick solution for buying commercial real estate, where traditional loans might take too long to process. Investors can secure properties and begin development without waiting for extensive underwriting processes. - Borrowers who can’t qualify for traditional loans
Individuals who don’t meet traditional lenders’ requirements due to credit issues or high debt-to-income ratios can turn to hard money loans. These loans are more focused on the property’s value than the borrower’s financial situation. - Homeowners facing foreclosure
Homeowners at risk of foreclosure may use a hard money loan to quickly access cash. By tapping into their home equity, they can avoid losing their home and find a solution before the foreclosure process is complete.
How much do hard money loans cost?
Hard money loans generally cost more than traditional loans due to the higher risk for lenders and the convenience of quick, flexible funding. Typical costs include:
- Interest rates: 8% to 15% or higher, based on risk assessment.
- Origination fees: 1% to 5% of the loan amount.
- Closing costs: Legal, appraisal, and administrative fees.
- Points: A percentage of the loan amount charged upfront.
Online calculators can help estimate these costs.
Alternatives to working with hard money lenders
If a hard money loan doesn’t seem like the right fit, here are a few alternatives that might suit your needs better:
- Take out a second mortgage
A home equity loan or HELOC allows you to borrow against your home’s equity at a potentially lower interest rate than hard money loans. - Cash-out refinance
With a refinance, you can tap into your home’s equity by refinancing the property and pulling out cash for your next investment. - Borrow from family or friends
Personal loans from people you trust can offer flexible repayment terms and often come with no or lower interest, making them more affordable. - Use a government-backed loan program
Programs like FHA, VA, or USDA loans can provide low-interest, low-down-payment options for homebuyers. - Peer-to-peer loan
Loans through peer-to-peer lending platforms allow you to borrow from individual investors, which can offer flexibility similar to hard money loans. - Specialized loan programs
Certain loan programs target investors needing funds for fixer-uppers or refinancing after completing renovations. - Request a seller financing option
In some cases, sellers may be open to financing the purchase directly, which can reduce closing costs and make the purchase process simpler.
How to buy before you sell
If you’re a Oklahoma City homeowner wanting to buy a new home before selling your current one, HomeLight offers an innovative solution that speeds up the process.
The Buy Before You Sell (BBYS) program allows you to leverage the equity in your existing home to make a stronger, non-contingent offer on a new property. If your home qualifies, you can get your equity unlock amount approved in 24 hours or less, with no cost or commitment required. Once approved, you can confidently purchase your next home and then sell your current one vacant, avoiding the hassle of moving twice.
Here’s how HomeLight Buy Before You Sell works:
Although there’s a flat fee of 2.4% of your current home’s sold price, the potential savings in other areas might outweigh the cost. For example, you might save on moving expenses, temporary housing, and even the final purchase price of your new home.
Additionally, HomeLight’s BBYS fees are typically much lower than the interest rates on bridge loans, which currently range from 9.5% to 12%.
3 top hard money lenders in Oklahoma City
Traditional lenders might not be the solution for every real estate investment. If you’re looking to move quickly and capitalize on an opportunity, explore the hard money lending options available in Oklahoma City.
Wildcat Lending
Wildcat Lending specializes in providing hard money loans for real estate investors. Located in Plano, Texas, they extend their services to multiple states, including Oklahoma. Their loan options include fix-and-flip loans, rental property loans, and Wildcat Zero loans, which feature no origination fees and require 16% interest-only payments. Wildcat Lending can close loans in under a week and sometimes within hours.
Lending clientele: Residential real estate investors (properties with 1-4 units)
Loan criteria: Up to 80% LTV purchase or 75% LTV cash-out refinance
Wildcat Lending has been operating for nine years and holds a 4.8-star rating on Google based on over 150 reviews. Customers often praise their exceptional customer service, quick closings, and frequent communication.
405-972-8143
Easy Street Capital
Easy Street Capital, a private real estate lender based in Texas, operates in 47 states, including Oklahoma. They provide three distinct hard money loan programs: EasyFix for flippers, EasyRent for landlords, and EasyBuild for builders. Serving real estate investors of all experience levels and specialties, Easy Street Capital can close loans in under 48 hours.
Lending clientele: Residential real estate investors
Loan criteria: Depends on the in-house valuation of the property; in most cases, the max LTV is 70% for EasyFix loans
Easy Street Capital boasts a 4.6-star rating on Google from nearly 200 reviews. Clients value their competitive rates, smooth and efficient process, and willingness to answer questions.
866-828-0062
Hard Money Partner
Based in Oklahoma City, Hard Money Partner is a a full-service hard money lender serving Oklahoma City, Tulsa, and, the Dallas/Fort Worth area. The company helps local real estate investors fix and flip properties, cash out on investment properties, or buy commercial buildings. Borrowers can get approved in as little as 24 to 48 hours, and loans can often be funded in less than a week. Hard Money Partner only lends on commercial or investment properties, not primary residences. Eligible properties include those with 1-4 units, smaller apartment buildings, small retail shops or office buildings, small bars or restaurants where there is real estate, single-family homes, and strip shopping centers.
Lending clientele: Residential and commercial real estate investors
Loan criteria: Max LTV 70% of the ARV
Hard Money Partner has earned a 4.9-star rating on Google. Customers appreciate the company’s responsiveness, fast funding, and helpful advice.
405-913-6664
Investing in real estate?
Hire an investor-friendly real estate agent who can help you get access to off-market properties at a discount and assess potential rental income based on market trends. HomeLight can connect you with investment property specialists at no cost.
Should I partner with a hard money lender in Oklahoma City?
Hard money loans are best suited for real estate investors in Oklahoma City who need quick access to funding.
Whether you’re flipping homes in neighborhoods like Capitol Hill or investing in rental properties in Quail Creek, a hard money loan can provide fast, flexible financing. These loans are ideal for projects where the property’s potential value, not the borrower’s financial profile, is the main focus.
However, if you’re a homeowner looking to leverage your equity for a new purchase, consider HomeLight’s Buy Before You Sell program. This program allows you to buy your next home before selling your current one, helping you make a smooth transition without the rush of securing funding quickly. With HomeLight, you can avoid the higher costs and risks of a hard money loan while still accessing your home’s equity when needed.
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