Hard Money Lenders Colorado Springs

To qualify for a hard money loan in Colorado Springs with Ridge Street you need:

• A Credit Score of 660+

• A profitable deal with at least a 10% ROI

• An LLC or a Corporation Registered In CO

Ridge Street finances the following property types:

• Residential 1-4 Units

• Multifamily 2-4 Units

Depending on the sponsor's experience and credit profile, rates range from 10.5%-11.5%. Ridge Street's median rate for a fix and flip in Colorado Springs is 10.99% interest only with no pre-payment penalty.

Military PCS moves (Permanent Change of Station orders) generate a steady rotation of buyers and sellers in Colorado Springs throughout the year, including during months when most markets slow down. This is one reason well-priced renovated homes near Fort Carson and Peterson Space Force Base tend to move faster than the El Paso County average of 43 days. Investors who target neighborhoods with high military renter and buyer density can often shorten their exit timeline. Ridge Street's 12-month loan term gives investors adequate runway across both summer and off-season listing windows.

High Criminal Usury Ceiling: Under Colorado Revised Statute § 18-15-104, the state enforces a strict criminal usury cap of 45% annual interest. While standard consumer-purpose loan rates are capped much lower, asset-based commercial and business-purpose loans are legally allowed to carry high interest rates as long as they stay under this 45% ceiling.

Licensing Exemptions for Business Loans: The Colorado Division of Real Estate enforces strict Mortgage Loan Originator (MLO) licensing rules for consumer-purpose residential loans. However, true hard money lenders issuing strictly commercial, agricultural, or business-purpose investment loans (such as fix-and-flips) are generally exempt from state licensing mandates.

Avoidance of Owner-Occupied Properties: Because extending real estate credit to an individual for personal or household use triggers rigorous oversight under the Colorado Uniform Consumer Credit Code (UCCC), hard money lenders in Colorado Springs typically mandate that the property be non-owner occupied and require borrowers to close the loan under a business entity, like an LLC.

Yes. Colorado Springs offers a combination of affordable entry prices relative to Denver, structural housing demand from military and aerospace employment, and consistent buyer interest from Front Range relocators that makes it a viable fix-and-flip market year-round.

There are a number of ratios that Ridge Street uses to determine the Loan Amount. Put simply, for a first time investor we finance up to 80% of the Purchase + 100% of the Rehab. For an experienced investor, we finance up to 90% of the Purchase + 100% of the Rehab.

You can use a hard money loan to purchase and renovate a rental property. You can then refinance with a DSCR Loan (This is called the BRRRR Strategy). If the property is rent ready at purchase, there is no need for a hard money loan and you can go straight into DSCR financing.