What You Need
An investment property. Larry lends on any type of investment property, from houses to commercial buildings to land. He doesn’t make owner-occupied loans or home equity loans, so the property can’t be a home you live in or plan to live in.
A property in Texas. Larry lends mainly in Houston and Austin, and does larger loans across the state.
Enough equity in the deal. Larry values the property from comparable sales and lends a percentage of that value. First-time borrowers typically get 70% to 80%. Repeat borrowers, prime properties, and borrowers with good credit can go higher, and raw land usually sits at 40% to 50%. The rest is your money in the deal. He doesn’t lend on after-repair value.
A loan of $100,000 or more. That’s Larry’s minimum.
A separate homestead that you own. Every borrower needs to own the home they live in, separate from the property they’re borrowing against.
A personal guarantee. Every loan requires one. In plain terms, a personal guarantee generally means you’re personally responsible for repaying the loan if the deal doesn’t.
What You Don't Need
No hard credit pull. Applying won’t add a hard inquiry to your credit report. Good credit can still help you borrow more.
No appraisal. Larry values the property himself, so you don’t pay for an appraisal or wait on one.
No application fee. There’s no fee to apply.
Why The Homestead Requirement Matters in Texas
Texas gives homesteads strong legal protection. Under Article XVI, Section 50 of the Texas Constitution, a lien on a homestead is only valid for a short list of specific debts, and the home is protected from forced sale by most creditors.
Lenders who make short-term loans on investment property in Texas generally want clarity that the property they’re lending on isn’t anyone’s homestead. Owning a separate home where you live is the straightforward way to show that. If you have questions about your own homestead status, talk to a Texas real estate attorney.
How The Decision Works
Larry looks at the property first. He values it from comparable sales, works out how much he can lend, and gives you a decision the same day. Closing can happen as soon as the next day. Whether your deal closes the next day or a few days later usually comes down to the title work and closing documents.
The loan terms
Once you qualify, the terms are Larry’s standard terms: 12.99% interest-only, 2 points on a 6-month loan or 3 points on a 12-month loan, renewable, with no prepayment penalty.
Hard Money Loan Requirements in Texas FAQ
What are the requirements for a hard money loan from Larry the Lender?
An investment property in Texas, enough equity to support a loan of at least $100,000, a separate homestead that you own, and a personal guarantee. There’s no hard credit pull and no appraisal.
