Hard Money Loans in Houston — Fast Investor Financing Across the Metro

Houston is the fourth-largest city in the United States and one of the deepest, most liquid real estate investor markets in the country. Inventory turns quickly. Sellers reward speed. Investor competition is high enough that the buyer with the cleanest proof of funds and the shortest close window routinely wins the deal — even at not-the-highest price.

Hilton Financial Corporation has been funding hard money loans for real estate investors since 1980. We lend our own capital, underwrite asset-based, and close Houston deals in roughly 7 to 14 business days when the file is clean. No committee, no surprise conditions the day before close.

The Houston Investor Market

Investor activity in Houston is unusually distributed across price points, neighborhoods, and strategies. There is no single “Houston flip” — there are several distinct sub-markets, each with its own deal flow:

Inner Loop tear-downs and rehabs

The Heights, Garden Oaks, Oak Forest, Montrose, and the Museum District anchor the highest-margin rehab work in the city. Tear-down-and-build economics on bungalow lots remain active, with new-build comparable sales supporting the underwriting in most pockets. Bridge loans for tear-down acquisitions are common, with construction take-out following.

East End, Third Ward, Greater Northside

The historically lower-priced inner-loop neighborhoods east and south of downtown have absorbed substantial investor capital. Single-family rehab and BRRRR strategies dominate, with rental demand supported by proximity to the medical center, downtown employment, and the East River development corridor.

Galleria, Uptown, and inner-486 multifamily

Smaller multifamily — duplex through 12-unit — trades regularly in the Galleria, Uptown, Westbury, and Sharpstown corridors. Value-add bridge financing is the dominant capital structure: acquire, lift rents through renovation and management improvement, refi to permanent.

Suburban new-build and BRRRR

Cypress, Katy, Spring, Tomball, and Pearland host substantial investor-driven new-build single-family for both flip and build-to-rent strategies. Construction loans dominate this sub-market. Build-to-rent operators typically buy entitled lots in 5–25 unit packages and finance ground-up construction with us, then refinance individual completed units (or the entire portfolio) into permanent debt.

Sugar Land, Missouri City & the SW corridor

The Fort Bend County markets along the SW Houston corridor carry a steady flow of single-family rehab and build-to-rent activity. Median price points are higher than the East End or Greater Northside, but rental demand from professionals working in the Energy Corridor and the Texas Medical Center supports the underwriting.

Houston-Specific Underwriting Considerations

Houston has a few market-specific factors that show up in nearly every deal we underwrite:

• FEMA flood zones. Houston is one of the most flood-mapped cities in the U.S. We underwrite based on the property’s current FEMA designation and require appropriate flood insurance. Post-Harvey buyer expectations are baked into resale comparable sales — we read the market the way a Houston investor reads it.
• Foundation issues. Houston’s expansive clay soil produces foundation movement on a meaningful share of older homes. Foundation repair (typically pier-and-beam jacking or hydraulic press piers) is a normal line item in Houston rehab budgets, and we expect it where the property age suggests it.
• Historic district overlays. The Heights, Sixth Ward, Old Sixth Ward, and other historic districts have specific rehab and tear-down restrictions. We confirm overlay status before issuing terms.
• Property tax assessments. Harris County assessments can move significantly post-rehab and affect cash-flow underwriting on rental holds. We model conservatively.

Loan Programs for Houston Deals

• Hard money purchase loans for single-family, small multifamily, and mixed-use
• Fix-and-flip loans — acquisition plus rehab held in draws
• BRRRR-strategy financing — purchase, rehab, hold; refinance into permanent
• Bridge loans — for tear-down acquisitions, 1031 exchanges, and value-add multifamily
• New construction for ground-up SFR and small commercial
• Cash-out refinances on stabilized investment properties

Loan Terms — Houston

• Loan amounts: $100,000 to $5,000,000+
• Rate range: approximately 8–12%
• Points: 1–3
• LTV: typically up to 70–75% of as-is value; rehab and new-build deals underwritten against supported ARV
• Term: 6–24 months, extendable
• No prepayment penalty on most programs

Application Process

1. Call us. Walk through the property, the price, the scope of work, and the exit. We’ll give you an indicative read on the same call.
2. Term sheet. Issued in writing within one business day of a fit decision.
3. Underwriting. Appraisal or desktop valuation, title, rehab budget review, sponsor file.
4. Close. Wire to title in roughly 7 to 14 business days from term sheet on a clean file.

Why Houston Investors Work With Hilton

Houston is a market where the deal speed advantage compounds. A Hilton borrower who closes in 10 days while a competitor’s bank financing drags into week six is the borrower the listing agent calls first the next time a similar property hits the market. The relationship value of dependable capital exceeds the spread on the rate.

We have been doing this for 45 years. We are the lender, not a broker. When we issue a term sheet, you can give your earnest money confidently.

Frequently Asked Questions

What’s the minimum loan size for a Houston deal?

Typically $100,000. Smaller deals are evaluated case-by-case.

Will you fund a Houston BRRRR with a refinance into a long-term loan?

Yes. We fund the purchase-and-rehab phase. You then refinance into a long-term DSCR-style or conventional investment-property loan with a separate lender once the property is stabilized.

Do you lend in flood-zone X areas inside Houston?

Yes. We will require flood insurance per FEMA flood zone designation for the property, and we underwrite to the post-Harvey reality of the Houston market.

Can I use a hard money loan to buy a Houston foreclosure or auction property?

Yes, as long as the auction terms allow for financing within a reasonable timeline and the property gives clear title.

Do you lend on tear-downs?

Yes. Tear-down-and-build is a meaningful share of our Houston volume. We typically structure these as bridge into construction.

How is Houston different from other Texas markets you fund?

Houston has more deal volume and more investor competition, which means timeline matters more. We’ve calibrated our Houston turnaround to that reality — clean files routinely fund within 10 business days.

Will you fund a Houston ground-up new construction loan?

Yes. New construction is a meaningful share of our Houston volume, both for inner-loop tear-down-and-build and suburban build-to-rent. Construction loans are typically structured with an initial advance against the lot value plus draws against verified work-in-place.

What’s the largest Houston deal you’ll fund?

We fund individual Houston deals up to the $5M+ range. Larger projects (typically multifamily portfolios or ground-up subdivisions) are evaluated case-by-case and may be structured as multi-tranche financings.

Do you fund Houston multifamily over 20 units?

Yes, on a deal-by-deal basis. The underwriting becomes more involved at that scale and the term sheet conversation is correspondingly more detailed.

What to Have Ready When You Call

Most first calls take about 15 minutes. To get the most useful read on your deal, it helps to have:

• The address of the subject property and a basic property description (beds/baths/square footage/condition).
• Your purchase price and a copy of the executed contract if available.
• Your scope of work and budget if you’re planning rehab or construction. A line-item budget is best; a high-level number works for an indicative read.
• Your exit strategy — resale, refinance into a long-term loan and hold, refinance and pull cash out, or a combination.
• Your entity — LLC, corporation, partnership, or trust the loan will be made to.
• Your basic experience summary — number of similar deals you’ve completed, particularly in Houston or comparable markets.

You do not need tax returns, pay stubs, bank statements, or a full personal financial statement to have a productive first call. We underwrite asset-based — the property and the deal carry the file.

About Hilton Financial Corporation

Hilton Financial Corporation has been writing real estate loans since 1980. Founded in Phoenix and headquartered in Arizona, the firm has funded over $1 billion in private money loans across the markets we serve. Jack W. Hilton (NMLS #143636) leads the firm, with more than 35 years in private real estate lending and direct involvement in every loan we issue.

We are a direct lender, not a broker. The capital we deploy is our own, the underwriting decision is ours, and the funding commitment we make is a real one. Investors who work with us repeatedly do so because the term sheet we issue today is the loan that closes next week — no last-minute conditions, no committee surprises, no broker chain.