Hard Money Loan Calculator

Background.

Hard Money Loan Calculator supports a concrete decision: use it to annualize stated interest over a short term and add points and quoted fees. The result needs one precise interpretation: hard-money pricing usually combines interest with points charged on principal, so the cash cost exceeds rate-only interest. The selected relationship is “hard-money cost = principal x annual rate x term / 12 + principal x points + other quoted lender fees.”

The editable entries are hard-money principal, quoted annual interest rate, interest-only loan term, quoted lender points, other quoted lender fees. Use values from the document or measurement that governs this hard money loan question; the defaults are only the worked fixture below. Draw schedules, extension fees, default rate, minimum interest, interest withholding and effective APR can differ by term sheet. The hard money loan calculation does not infer that fact from the other entries.

Fannie Mae Selling Guide B3-3.1-08, Rental Income; documented gross and net rental-income treatment documents the convention or governing rule used here. The hard money loan output is a transparent scenario under those facts: it does not manufacture an unentered market price, professional determination, carrier quote, legal eligibility finding or locally adopted code value.

What is hard money loan calculator?

Hard Money Loan is the relationship behind this decision: hard-money pricing usually combines interest with points charged on principal, so the cash cost exceeds rate-only interest. On this page it means hard-money cost = principal x annual rate x term / 12 + principal x points + other quoted lender fees. Draw schedules, extension fees, default rate, minimum interest, interest withholding and effective APR can differ by term sheet; that is the line between the reported quantity and a broader real estate analysis.

How to use this calculator.

1. 01Confirm that “hard-money cost = principal x annual rate x term / 12 + principal x points + other quoted lender fees” matches the hard money loan convention you need.
2. 02Replace the fixture values for hard-money principal, quoted annual interest rate, interest-only loan term, quoted lender points, other quoted lender fees with dated values from the governing record.
3. 03Keep all currencies, measurement units and time periods on the same basis before calculating.
4. 04Read total interest-only financing cost before payoff principal together with this boundary: Draw schedules, extension fees, default rate, minimum interest, interest withholding and effective APR can differ by term sheet.

The formula.

The calculation uses hard-money cost = principal x annual rate x term / 12 + principal x points + other quoted lender fees. In this hard money loan model, the entered terms are hard-money principal, quoted annual interest rate, interest-only loan term, quoted lender points, other quoted lender fees. Hard-money pricing usually combines interest with points charged on principal, so the cash cost exceeds rate-only interest, which is why the relationship is presented under this name rather than as a universal alternative. Draw schedules, extension fees, default rate, minimum interest, interest withholding and effective APR can differ by term sheet. Calculations keep full decimal precision through the relationship and round only the returned display values.

A worked example.

Frequently asked questions.

References& sources.

1. [1]Fannie Mae Selling Guide B3-3.1-08, Rental Income; documented gross and net rental-income treatment. Retrieved 2026-08-07. access: open unless marked otherwise.
2. [2]Freddie Mac, Modeling Multifamily Potential Rental Income; current rent roll, concessions and vacancy treatment. Retrieved 2026-08-07. access: open unless marked otherwise.
3. [3]U.S. Consumer Financial Protection Bureau. Regulation Z (12 CFR Part 1026), Truth in Lending. Retrieved 2026-08-07. independence: primary; access: open.
4. [4]Board of Governors of the Federal Reserve System. Small business credit survey. Retrieved 2026-08-07. independence: secondary-check; access: open.
5. [5]U.S. Small Business Administration. Manage your finances. Retrieved 2026-08-07. independence: secondary-check; access: open.