Project and leverage inputs
Purchase price plus renovation budget forms total project cost. The requested loan is compared with that cost for LTC and with after-repair value for loan-to-ARV.
Hard money calculator
Hard Money Loan Calculator
Change the property, loan, rate, points, and term assumptions to see a planning estimate instantly. This hard money loan calculator models cost and leverage, but it does not determine eligibility.
Live planning estimate
$4,313 monthly interest-only payment
- Total project cost
- $600,000
- Cash gap before fees
- $150,000
- Loan-to-cost (LTC)
- 75%
- Loan-to-ARV (LTV)
- 60%
- Interest over full term
- $51,750
- Origination points
- $9,000
- Interest + points
- $60,750
Defaults are illustrative, not current rates or program limits. Assumes the full requested balance remains outstanding for the entire term and interest is paid monthly. Principal is still due at repayment. Actual draw schedules can change interest. Excludes appraisal, title, legal, escrow, extension, servicing, and other costs. Ratios are unavailable when their cost or value denominator is zero. Planning estimate only—not a quote, approval, commitment, or complete closing-cost calculation.
Read the estimate correctly
What this hard money calculator includes—and leaves out.
It models the assumptions you enter. It does not pull current lender rates, determine a maximum loan, or replace a complete project and closing-cost analysis.
Interest-only payment
The monthly estimate uses the full requested balance and annual rate. A real draw schedule can reduce or change actual interest.
Points and modeled financing cost
Origination points are applied to the requested loan. The total shown combines those points with interest over the full term.
Costs not included
Appraisal, title, escrow, legal, servicing, inspection, draw, extension, exit, and other third-party or provider costs are not included unless a professional supplies them separately.
Worked example: purchase, renovation and a 12-month loan.
These are the calculator's illustrative starting assumptions: $500,000 purchase price, $100,000 renovation, $450,000 loan, $750,000 after-repair value, 11.5% annual interest, two points and 12 months. They are not current lender terms, an appraisal or a suggested borrowing amount.
| Output | Calculation | Result |
|---|---|---|
| Purchase + renovation | $500,000 + $100,000 | $600,000.00 |
| Cash gap before fees | $600,000 − $450,000 | $150,000.00 |
| Monthly interest | $450,000 × 11.5% ÷ 12 | $4,312.50 |
| 12-month interest | $4,312.50 × 12 | $51,750.00 |
| Origination points | $450,000 × 2% | $9,000.00 |
| Modeled interest + points | $51,750 + $9,000 | $60,750.00 |
| Loan-to-cost | $450,000 ÷ $600,000 | 75.0% |
| Loan-to-ARV | $450,000 ÷ $750,000 | 60.0% |
The $150,000 cash gap is not a complete cash-to-close figure. It assumes the full loan commitment is available against purchase and renovation costs. If renovation funds are held back for later draws, more cash may be needed earlier. Closing charges, reserves, taxes, insurance, utilities and selling costs must be budgeted separately.
Monthly interest does not reduce the $450,000 principal in this model. The balance must still be repaid at the agreed maturity or another permitted repayment event. The modeled $60,750 of interest and points is not the principal payoff.
Stress-test the hold period and after-repair value.
If the same balance and rate run for 15 months instead of 12, modeled interest and points rise to $73,687.50. The extra three months add $12,937.50 of interest before any extension fees or other holding costs. This arithmetic does not mean the lender will grant an extension.
If projected ARV falls from $750,000 to $675,000, loan-to-ARV rises from 60.0% to 66.7%. Interest stays the same because the requested balance and rate did not change. An ARV estimate is not sale proceeds; selling costs, other debt and the actual closing price affect the repayment plan.
Change one assumption at a time to understand the result, then test a combined downside: a longer hold, higher repair costs and a lower sale value. Keep the lender's actual proposal and a complete project budget beside the calculator.
Hard money loan calculator questions.
Does the calculator calculate my down payment?
It calculates the purchase-and-renovation gap before fees under the entered loan assumption. It does not establish the lender's required down payment, cash available at closing or post-closing reserves.
Is the interest rate an APR?
No. The input is a nominal annual interest rate used for simple monthly interest. The tool does not calculate an annual percentage rate including fees and timing.
Can I use this to calculate DSCR?
This is an interest-only project model. DSCR requires a rental-income and debt-service calculation. Use the separate DSCR calculator and confirm the provider's income and expense method.
Does the result show profit or a maximum loan?
Neither. Profit needs a full revenue and cost model. The maximum loan depends on valuation, eligibility, leverage and provider criteria that this calculator cannot verify.
For a stabilized rental, use the DSCR calculator. For acquisition and renovation planning, review the fix-and-flip guide. Veldinext Capital organizes inquiries for independent professional review and is not the direct lender.