INSTITUTIONAL LENDING. FAST EXECUTION.

HARD MONEY LOANS IN HOUSTON

Fast, Flexible Funding for Real Estate Investors

12x12REI provides hard money loans for Houston and Texas investors who need to move quickly on off-market and fix-and-flip opportunities.

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Asset-Based Lending · No W-2s Required · Close in 7-10 Days

(A PLAIN-ENGLISH EXPLANATION)

What Is a Hard Money Loan?

A hard money loan is a short-term real estate loan where the property itself, not the borrower's income or credit score, is the primary basis for approval. The term 'hard money' refers to the hard asset (the property) that secures the loan.

Hard money lenders in Texas evaluate three things above all else:

The property's current value and its after-repair value (ARV)

The investor's exit strategy, how and when the loan will be repaid

The loan-to-value ratio is how much is being borrowed relative to the property's value

Unlike a conventional mortgage, a hard money loan does not require two years of tax returns, a W-2, or a debt-to-income review. This is why real estate investors use hard money; it removes the qualification barriers that make bank loans impractical for investment properties, especially off-market and distressed deals.

Why 12x12REI Funding?

No Income Verification
Closing in 7-10 Business Days
Transparent Cost Structure
250+ Flips Completed since 2013

HARD MONEY VS CONVENTIONAL

Hard Money Loans vs Conventional Mortgages: Key Differences

Hard money loans are not cheaper than conventional loans; they are faster and more flexible. Investors use them to win deals that a bank loan would cost them. The higher rate is the cost of speed and access.

Factor	Hard Money Loan	Conventional Mortgage
Approval Basis	Property Value & ARV	Borrower Income & Credit
Closing Timeline	7 to 14 Business Days	30 to 60 Days
Loan Term	6 to 18 Months	15 to 30 Years
Income Docs	Not Required	Required (W-2s, Tax Returns)
Best For	Fix-and-Flip & Bridge Deals	Primary Residence

Hard Money Loan Rates, Terms, and Costs in Texas

Transparency on costs is something most hard money lenders avoid. We do not. Here is what you can expect when working with 12x12REI on a hard money loan in Houston or across Texas.

Interest Rates

Hard money loan rates in Texas typically range from 10 to 14 percent annually, depending on the deal, the investor's experience, and the loan-to-value ratio. 12x12REI structures rates based on the deal quality and the investor's track record. First-time investors can still access competitive rates; the property and the plan matter more than your prior flip count.

Max LTV/ARV

LTV, loan-to-value, refers to how much you are borrowing as a percentage of the property's current value. Loan-to-ARV compares the loan amount to the property's projected after-repair value. Most hard money lenders in Texas fund up to 70 to 80 percent of ARV. In strong deals with clear exit strategies, 12x12REI evaluates each loan individually to find the structure that works for both the investor and the deal.

Loan Terms

Hard money loans are short-term by design. Standard loan terms range from 6 to 18 months, enough time to acquire, renovate, and either sell or refinance the property. Extensions are available in most cases when the project timeline shifts. Talk to us about your specific renovation timeline before you apply so we can structure the loan correctly from the start.

Points and Origination Fees

Most hard money loans include origination fees, also called points, charged as a percentage of the loan amount at closing. One point equals one percent of the loan. Points are paid at closing and are factored into your deal analysis as part of the total cost of capital. 12x12REI is transparent about all fees before you commit to a loan; there are no surprise charges at the closing table.

No Seasoning Requirements

Some lenders require investors to have owned a property for a minimum period, called a seasoning period, before they will lend against it. 12x12REI hard money loans have no seasoning requirements. If you have a deal that makes financial sense, we evaluate it on the deal's merit, not arbitrary time restrictions.

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TRANSPARENT & FAST

The 12x12REI Hard Money Loan Process

Speed is the reason investors use hard money loans. Here is how the process works with 12x12REI from first contact to funded loan.

Submit Loan Request

Contact us through the booking form or by calling directly. Tell us the property address, your estimated purchase price, your renovation budget, and your planned exit strategy. We will respond within one business day with initial feedback on whether the deal fits our lending criteria

Term Sheet Issued

If the deal passes initial review, we complete a formal evaluation, including the current property value, estimated ARV, total loan amount, LTV calculation, and loan terms. We provide a term sheet outlining the proposed rate, points, loan term, and structure. No commitment is required at this stage.

Inspection & Appraisal

For most loans, we conduct or commission a property inspection and order an appraisal or broker price opinion (BPO) to validate the ARV. This step typically takes two to four business days, depending on appraiser availability in the Houston market.

Underwriting

Once the property is verified and the deal is approved, we move to formal underwriting. This step involves title search, lien verification, and entity review if you are borrowing through an LLC. We work through this quickly; most loans move from approval to closing in three to five business days after the appraisal is complete.

Closing & Funding

Closing happens through a licensed title company in Houston. Funds are wired on the day of closing. From initial contact to funded loan, the typical timeline is seven to ten business days for straightforward deals, faster in some cases when the deal is clean and documentation is in order.

A newly renovated residential property funded by 12x12REI

Important Note: Loan timelines depend on deal complexity, appraisal scheduling, and title clearance. Simple single-family deals with clean title close faster than commercial or distressed properties with title complications. Contact us with your deal details, and we will give you an honest timeline estimate upfront.

Why Real Estate Investors in Houston Choose 12x12REI for Hard Money Loans

There are dozens of hard money lenders in Houston and across Texas. Here is what makes 12x12REI different from the majority of them.

We Are Investors, Not Just Lenders

12x12REI has completed over 250 fix-and-flip projects since 2013. We have borrowed hard money ourselves. We understand what it is like to be on the borrower's side of the table, the pressure of a deal deadline, the anxiety of a contractor issue, and the complexity of a distressed property. We evaluate deals with that experience behind us, not just a loan calculator.

The Deal and the Funding Are in the Same Place

Most hard money lenders in Texas fund deals that investors source elsewhere. 12x12REI is one of the only companies in Houston that provides both off-market deal sourcing and in-house hard money loans. If you find a deal through our property pipeline, you can fund it through the same team, with no coordination between a separate wholesaler and a separate lender. That combination saves time and eliminates the friction that kills deals.

Transparent Costs Before You Commit

We publish what comparable lenders leave in the fine print. Before you sign anything with 12x12REI, you will know the interest rate, the points, the estimated closing costs, and the total cost of capital for your loan. No surprises at the closing table. No fees appear after you are already under contract.

Exit Strategy Support, DSCR Loans After the Flip

Most hard money lenders are done with you the moment the loan is repaid. 12x12REI stays involved through the exit. If you want to refinance your completed renovation into a long-term rental rather than selling, our DSCR loan program gives you the exit strategy financing to do that, within the same company. We help you not just fund the deal but plan and execute the full investment cycle.

Why Choose 12x12REI

Details

Track Record: 250+ completed fix-and-flip projects in Houston since 2013
Loan Types: Fix-and-flip, bridge loans, rehab loans, acquisition loans
Closing Speed: 7–10 business days, faster for clean deals
Asset-Based: Property value qualifies the loan; no income verification
Credit Flexibility: No hard minimum credit score, deal-first evaluation
First-Time Investors: Yes, first-time flippers are welcome
100% Financing: Evaluated on a case-by-case basis on deal quality and borrower profile
No Seasoning: No mandatory hold period before lending against a property
Transparency: Full cost disclosure before commitment, no surprise fees
Exit Support: DSCR loan program for post-renovation refinance strategy

Proof: What Investors Say About 12x12REI Funding

[TESTIMONIAL 1, Insert quote from investor about speed of loan closing or ease of approval process]

, Client Name, Fix-and-Flip Investor, Houston, TX

[TESTIMONIAL 2, Insert quote from investor about working with 12x12REI on deal + funding together]

, Client Name, Real Estate Investor, Houston, TX

Investor Questions

What is a hard money loan, and how does 12x12REI use them?

A hard money loan is a short-term, asset-based real estate loan where the property value, not personal income, is the primary qualification factor. 12x12REI uses hard money loans to fund fix-and-flip projects across Houston and Texas, providing investors with fast acquisition and renovation capital that closes in 7 to 10 business days.

What interest rates does 12x12REI offer on hard money loans in Houston?

Hard money loan rates through 12x12REI in Houston typically range from 10 to 14 percent annually, depending on the deal, the loan-to-value ratio, and the investor's experience level. Rate quotes are provided after deal review. Contact us with your deal details for a specific rate quote.

How fast can 12x12REI close a hard money loan?

Most hard money loans through 12x12REI close in 7 to 10 business days from initial approval. Simple single-family deals with a clean title can close faster. The timeline depends on appraisal scheduling and title clearance in the Houston market.

What is the maximum LTV for a hard money loan through 12x12REI?

12x12REI evaluates loan-to-value on a deal-by-deal basis. Most hard money loans in Texas are structured at 70 to 80 percent of after-repair value (ARV). Deals with strong exit strategies and lower risk profiles may qualify for higher loan-to-value structures. Submit your deal for an individualized LTV assessment.

Do I need good credit to qualify for a hard money loan?

No. 12x12REI hard money loans are asset-based; the property value and the deal's exit strategy carry more weight than your credit score. There is no hard minimum credit score. Serious derogatory credit history is reviewed, but is not automatically disqualifying if the deal is strong.

What types of properties qualify for hard money loans at 12x12REI?

12x12REI funds hard money loans on non-owner-occupied investment properties in Houston and across Texas. This includes single-family residential homes, small multi-family properties (2–4 units), mixed-use buildings, and commercial real estate. Distressed properties, vacant homes, and properties with deferred maintenance are evaluated based on their after-repair value.

Are hard money loans available for first-time investors in Houston?

Yes. 12x12REI works with first-time real estate investors in Houston. We do not require a prior flip history to qualify for a hard money loan. First-time borrowers benefit most from combining the loan with our coaching program. We walk new investors through deal evaluation, renovation management, and exit execution alongside the funding.

What is the typical loan term for a hard money loan?

Hard money loan terms through 12x12REI typically range from 6 to 18 months. Most fix-and-flip projects in Houston close within 6 to 12 months. Loan term extensions are available when projects run longer than anticipated. We structure the initial term based on your realistic renovation and sale timeline.

Does 12x12REI offer 100% financing on hard money loans?

100% financing, covering 100 percent of the purchase price with no cash down from the investor, is evaluated case by case. It depends on the deal's LTV, the investor's experience, and the overall risk profile of the transaction. Strong deals in high-demand Houston neighborhoods with experienced operators are the most likely candidates. Contact us to discuss your specific deal.

What fees should I expect with a hard money loan in Texas?

Typical fees on a hard money loan in Texas include origination points (one to three percent of the loan amount paid at closing), an appraisal or BPO fee, title insurance, and closing costs, and interest on the loan for the duration of the term. 12x12REI provides full fee disclosure in the term sheet before you commit; there are no fees that appear at closing that were not discussed upfront.