Hard money loans for California real estate investors
This calculator is set to California. Pick a project type (fix and flip, bridge, ground-up construction or a 30-year rental loan), enter the property ZIP code and your numbers, and it prices the loan with current investor lending rules: loan amount, rate and points options, monthly payment and cash to close. It covers single-family homes, homes with an ADU, 2–4 unit buildings, condos, townhomes and PUDs held as investments.
What's different about investing in California
Loan sizes are bigger. High prices mean many California deals run into the program limits: up to $2 million for single-family and similar properties and $3 million for 2–4 units, with larger loans priced case by case. The 100% financing tier for experienced investors also has higher limits here. A 10+ project investor with a 740 score buying at $850,000 with a $100,000 rehab and a $1.33 million after-repair value gets the full $950,000 financed in California. The same deal outside California prices at $907,500, because the purchase is funded at 95% instead of 100%.
Property taxes reset when you buy. Proposition 13 reassesses the property at your purchase price. Budget around 1.1–1.3% of the price per year, and watch for the supplemental tax bill that arrives after closing. On a flip it is a holding cost. On a rental it goes straight into the DSCR math.
Transfer taxes depend on the city. Counties charge $1.10 per $1,000 of the price, but several cities add their own tax. In Oakland and Berkeley it starts around 1.5%, and in San Francisco and Los Angeles (on higher-priced sales) it can top 5%. Check the city rate before you set a resale price on a flip.
Insurance takes time to place. Several large insurers have cut back on new policies in California, especially in wildfire areas, and some investors end up on the California FAIR Plan with a separate policy for liability. Get a quote before you make an offer so the premium is in your holding costs and your DSCR.
Foreclosure auctions work differently now. California forecloses most loans through a trustee sale, which is fast, but since 2021 tenants, owner-occupants and nonprofits get a window after the sale to outbid investors on 1–4 unit homes. Leave room in your timeline if you buy at auction.
Which California loan fits your project
- Fix and flip: purchase plus rehab paid in draws, sized against the after-repair value. ADU additions and duplex conversions are priced as heavy rehab.
- Bridge: a short-term purchase or refinance with no rehab, useful for a fast close or to carry a property while you lease it up. See the bridge loan calculator.
- Ground-up construction: land plus build budget for new homes on infill lots and rebuilds. See the construction loan calculator.
- DSCR rental loan: a 30-year loan qualified on rent instead of personal income, often the exit after a flip or a bridge loan. See the DSCR loan calculator.
What drives your rate in California
The same factors as anywhere: experience, credit score, loan amount, property type and, for flips, the size of the rehab compared with the price. Leverage drops when a home is worth more than twice the typical value in its ZIP code and no comparable sales support it, which happens more often in California than elsewhere. Enter the real ZIP code for an accurate quote. If you plan to rent the property out, size the exit first with the DSCR loan calculator so you know the refinance covers the short-term loan.
Related calculators
- Hard money loan calculator: fix and flip, bridge and construction quotes
- Bridge loan calculator: short-term loans with no rehab
- DSCR rental loan calculator: 30-year loans for rental properties
- Construction loan calculator: ground-up builds
- Texas hard money loan calculator: investor loans in Texas
- Florida hard money loan calculator: investor loans in Florida
- Payment calculator: monthly payments on a loan you were quoted
Frequently asked questions
Can I get a hard money loan in California?
Yes. Fix and flip, bridge, ground-up construction and DSCR rental loans are available for 1–4 unit investment properties throughout California, from Los Angeles and San Diego to the Bay Area, Sacramento and the Central Valley. Choose your project type and enter the property ZIP code to see pricing.
Is 100% financing available for California flips?
For experienced investors, yes. With 10 or more completed projects in the last three years, a credit score of 720 or higher and US citizenship or permanent residency, the purchase and rehab can be financed in full, still capped at 75% of the after-repair value. California deals qualify up to a total cost of $1,000,000 and an after-repair value of about $1.33 million, higher limits than in other states.
How do California property taxes work after I buy?
Under Proposition 13 the property is reassessed at your purchase price, so the seller's tax bill tells you little. The base rate is 1% of assessed value, and local bonds and assessments usually push the total to roughly 1.1–1.3%. Expect a supplemental tax bill a few months after closing that covers the gap between the old and new assessed values.
Can I finance an ADU or a duplex conversion in California?
Yes. California law allows accessory dwelling units on most single-family lots, and many investors add one during a flip or before refinancing into a rental loan. If the work adds 750 square feet or more, or changes the property type (for example from one unit to two), it is priced as a heavy rehab. Check that box in the calculator so the quote reflects it.
Does rent control affect a California DSCR loan?
It can. The statewide Tenant Protection Act caps yearly rent increases on many rentals older than 15 years, and cities such as Los Angeles, San Francisco and Oakland have stricter local rules. A DSCR loan is sized on the property's rent, so if you buy with below-market tenants in place, plan on the current lease rather than the rent you hope to reach.
Ready to lock in terms? Request a free quote.
Estimates are for planning only and are not a commitment to lend.