Fund Your Rehab Dream With Hard Money Magic

Financial Considerations and Costs

While hard money loans offer speed and flexibility, they typically come with higher interest rates and shorter loan terms compared to conventional loans. Interest rates can range from 8% to 15%, and loan terms usually span from six months to a few years. This means that while the upfront costs may be higher, the potential return on investment from a successfully rehabbed property can outweigh these expenses. It's crucial to factor these costs into your overall budget and ensure that your rehab project can generate sufficient returns to cover the loan and yield a profit.