7 Best Hard Money Lenders in New Mexico


Hard money lenders in New Mexico allow real estate investors seeking private money financing solutions.

Key Terms

  • A hard money loan is a private money loan that enables investors to secure hard-to-fund investment properties, including fix and flip, rental properties, new construction and commercial real estate development.
  • New Mexico hard money lenders offer competitive, short term loans to qualified investors to help with the purchase of these properties.
  • Often, lenders will agree to the after repair value of the home rather than the current value when deciding to lend.

Noted for its natural beauty, New Mexico is a Southwestern U.S. state that’s noted for being in the southern region of the Rocky Mountains. It’s home to large cities such as Santa Fe and Albuquerque, and in total, about 2.1 million people call it home. There’s quite a bit that makes it unique, including that it is one of just a few states that is a majority-minority state due to the large number of Hispanic and Latino Americans calling it home. This diversity is evident in the state’s numerous cultural heritage locations, stunning architecture, and welcoming disposition. New Mexico is a natural wonder with a diverse ecosystem. Its economy is based on numerous elements, including oil and gas production and service industries.

While more remote in some areas, New Mexico has numerous modern cities, urban lifestyles, and affluent communities. The average purchase price of a home in New Mexico is $374,571, according to the New Mexico Realtors Association, which is more than the average home price in various areas of the country. The area has seen home values increase as demand for quality property grows. There are areas of New Mexico where home prices are significantly lower as well and where demand for quality housing is present.

A significant number of people in New Mexico rent their homes rather than own them. In fact, the U.S. Census Bureau states just 53.6 percent of people living in New Mexico own their homes, and 4.4 percent rent them. That creates a significant opportunity for investors who are looking for a way to create rental income. With a low number of vacancies, investors may wish to take a closer look at this area.

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How hard money loans work in New Mexico

New Mexico is an exceptional location to live and invest in. For those considering an investment in the real estate market here for investment purposes, hard money loans may be one tool to use. Hard money real estate loans are asset-backed financial tools used to purchase a wide range of properties, including high-risk residential properties such as fix and flip, short and long-term rental income, and bridge loans.

They can be used on various types of commercial real estate. Hard money lenders in New Mexico take on that risk by lending to qualified borrowers. As an asset backed loan, borrowers could lose the asset and be forced into foreclosure if they fail to make payments on the loan as agreed.

Most hard money loans in New Mexico are short-term loans. They typically have a term length between 1 and 5 years. During that time, lenders anticipate borrowers will fix the property, increase its value, and then sell it at a profit. Or, for rental income properties, the goal is often to improve the value of these properties for rental income and then refinance the loan into a more affordable long term. These loans are not meant to be maintained long-term, and that’s a good thing because interest rates on them tend to be higher in the range of 8 to 15 percent overall.

These loans often offer more flexibility to borrowers, with private money lenders setting their own loan rates, terms and conditions. Hard money lenders could be individual investors as well as groups of investors who pool money together to lend to borrowers. There are still qualifications here, including credit score requirements, rental experience requirements, and in some situations, access to down payments to reach a loan to value range of 80 percent. Yet, there is flexibility, and some lenders offer reduced requirements.

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7 Top New Mexico hard money lenders

Some lenders only offer hard money loans to experienced investors, while other programs can lend to those that are pursuing their first real estate investment.

1. BridgeWell Capital 

BridgeWell Capital got started in 2008 and, according to their website, has funded over $500 million in real estate investment deals. They lend throughout the midwest and eastern part of the country and offer the typical suite of private money financing.

We contacted BridgeWell Capital to learn more about their private lending business and here are some of the highlights:

  • Rental loans require 25% down
  • Residential and commercial properties ok
  • No tax returns or income verification
  • 5-year rental loan term
  • Fix and flip loans can cover 100% of rehab costs
  • Up to 75% ARV
  • No interest on undrawn rehab funds
  • No pre-payment penalty

When you’re ready to connect with a loan officer, use our form to quickly match with eligible loan programs based on your specific circumstances.

2. New Silver

New Silver started in 2019 by Kirill Bensenoff and Alex Shvayetsky. They offer a variety of private money lending products like fix and flip, rental, ground up and personal loans.

We contacted New Silver Lending to learn more about their private lending business and here are some of the highlights:

  • Origination fee from 1.875%
  • Loan to cost up to 90%
  • 100% construction financing available
  • Loan to ARV up to 80%
  • Terms are typically 24 months
  • Loan amounts are from $100,000 to $5 million
  • Minimum FICO score is 650
  • No hard credit pull required

When you’re ready to connect with a loan officer, use our form to quickly match with eligible loan programs based on your specific circumstances.

3. Easy Street Capital

East Street Capital is based in Austin, Texas but lends nationwide except in North and South Dakota. Founded by Stephen Hagerman in 2016, Easy Street Capital has over six years of experience in the real estate investing world.

We reached out to Easy Street Capital to learn more about their hard money loans and this is what we found:

  • Interest rates range from 6.9% – 10.9%
  • Points range from 2-3
  • There is a $1495 document fee
  • No minimum credit score required
  • Down payments of at least 10% required
  • Renovation financing ok
  • Fix and Flip loans do not typically have prepayment penalties

When you’re ready to connect with a loan officer, use our form to quickly match with eligible loan programs based on your specific circumstances.

4. HouseMax Funding

HouseMax Funding is based out of Austin, Texas but has a national footprint when it comes to real estate industry lending. Started by Jeff Fetcher and Alex Morris, HouseMax provides asset-based loan financing to investors for real estate transactions.

We reached out to HouseMax to learn more about their hard money lending program and here is what we found:

  • Minimum loan amount is $75,000
  • Lends up to 75% of the after-repair value (APV)
  • 1-3 points origination charge
  • 3 months reserves required
  • Direct lender that approves loans internally and funds using their own private capital.
  • Lends in urban and suburban communities in all 50 states.
  • Goal is to close loans in 10 days or less.
  • Specializes in fix & flip loans, construction loans and rental loans
  • Multi-family and commercial property types are ok

When you’re ready to connect with a loan officer, use our form to quickly match with eligible loan programs based on your specific circumstances.

5. Stratton Equities

Stratton Equities is a nationwide direct hard money lender for real estate investors. Founded by Michael Mikhail in 2017, Stratton Equities has over five years of experience in the private lending market.

We reached out to Stratton Equities to get more information about their hard money loan product and here are some highlights:

  • Loan amounts from $100,000 up to $5 million
  • Investment properties only
  • Residential real estate properties like Single-Family, Condos, Townhomes, Multi-Family, Commercial, Mixed-Use, Office, Retail, Industrial and Warehouse are all ok
  • Up to a 75% LTV
  • Rates start at 7.25%
  • Interest only payments
  • Loan terms are 9-24 months
  • Foreign nationals are eligible
  • No prepayment penalty option is available

When you’re ready to connect with a loan officer, use our form to quickly match with eligible loan programs based on your specific circumstances.

6. EquityMax

EquityMax is based out of Florida and most of its business in the state but is able to lend throughout the United States. Founded by Brad Emmer in 1990, EquityMax has decades of experience as a hard money lender.

We reached out to EquityMax to learn more about their hard money loans and these are the key highlights that you need to know:

  • Single Family Homes
  • 1-4 Multi-Unit Properties
  • Condos and Townhomes ok
  • Commercial property and Industrial Warehouses OK
  • Direct lender that has decision making over financing deals.
  • Can originate loans to individuals, LLCs, corporations, land trusts and self-directed IRAs.
  • No prepayment penalties
  • No minimum credit score required

When you’re ready to connect with a loan officer, use our form to quickly match with eligible loan programs based on your specific circumstances.

7. Fund That Flip

Fund That Flip is a hard money lender based in New York that focuses on short term bridge loans for real estate investors looking to flip properties. Founded by Matt Rodak in 2014, Fund That Flip lends in most states.

We contacted Fund That Flip to learn more about their bridge loan program and here is what we found:

  • Up to 80% LTC and 70% ARV ratios for your project
  • Rates start at 9.99%
  • Direct lender with discretionary capital
  • Ground up construction projects ok
  • 10% down payment required

When you’re ready to connect with a loan officer, use our form to quickly match with eligible loan programs based on your specific circumstances.

Pros/Cons of New Mexico hard money loans

Hard money loans provide an opportunity to purchase real estate through a loan that other mortgage lenders may not typically offer. These are higher risk properties at a risk of default, which is why they tend to be impossible to obtain from traditional big banks and credit unions. The key benefit of these loans is their availability.

There are other benefits as well. Many New Mexico hard money loans are based on the after repair value of the home. That means the lenders will use the expected value of the home once upgrades and modernizations are completed on the property instead of using the current value of the home to determine if a loan can be offered. That’s a solid benefit to borrowers who are looking for support for fix and flip types of real estate.

Also important is that the down payment and credit score requirements can be more lenient than those required by many federally backed loans and big bank loans. That means that as long as investors see the loan as a viable opportunity for profit, they may be more willing to lend to those with fair or bad credit. Keep in mind that down payments are still required, and many lenders will not work with borrowers with a credit score that’s below 650.

The biggest con of using New Mexico hard money lenders is that they are much more expensive. That is due to the higher risk that these loans present to lenders. That leads to increased interest rates and fees throughout the process. This could be cost prohibitive in some situations. Yet, it’s important to remember that these are meant to be short term loans, which means keeping them in place for the shortest amount of time possible may help to reduce the overall cost paid to borrow these funds to purchase high risk real estate in New Mexico.

If you’re looking to explore hard money in other states, check out our national overview of hard money lenders as a starting point in your search.

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Joshua Holt

Joshua Holt is a licensed mortgage loan originator (NMLS #2306824) and founder of Biglaw Investor. His mortgage expertise lies in the areas of professional mortgage loans, particularly for lawyers, doctors and other high-income professionals. Prior to Biglaw Investor, Josh practiced private equity mergers & acquisition law for one of the largest law firms in the country.

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