Frequently Asked Questions

Question: What are the qualifications for obtaining a hard money loan?
  • Answer: We at DFW Specialty Lending will first analyze the borrower's financial condition and ability to repay in addition to the scope of the project and the borrower's level of experience. Having great credit is not a requirement, but credit is given consideration. The higher the collateral values to the requested amount, the greater the chance of approval.
Question: How does one apply for a hard money loan?
  • Answer: The first step in applying for a loan is to complete the application provided and then email or fax it back to DFW Specialty Lending at dfwinfo@dfwspecialty.com • 972-573-3301 / FAX for pre-approval.
Question: How much money must one put down when obtaining a hard money loan?
  • Answer: The amount of money one must put down is determined by current market conditions in addition to the borrower's level of experience, and property conditions. We at DFW Specialty Lending have approved loans with as little as 0% down.
Question: Can I add repair costs into the loan?
  • Answer: Yes, repair costs can be added into the loan and will depend upon the agreement made and as long as the LTV stays under 65%.
Question: Can I add the closing costs into the loan?
  • Answer: Yes, closing costs can be added into the loan.
Question: Can I get approved if I have bad credit, foreclosures, or bankruptcy?
  • Answer: Yes, you can get approval if you have bad credit, foreclosures or bankruptcy but the ultimate outcome will depend on each individual's situation and current financial position.
Question: What type of properties does DFW Specialty Lending lend on?
  • Answer: DFW Specialty Lending lends on single family homes (1-4) which are non-owner occupied.
Question: How long does it take to fund a loan?
  • Answer: If the appraisal report and clear title report are readily available, most loans close within 7-10 days of loan approval. Loans with DFW Specialty have been closed in as little as 24 hours.
Question: What is your maximum loan to value (LTV) on purchases?
  • Answer: Generally, our loan to value (LTV) is 65% but we have gone as high as 70% LTV.
Question: What is your minimum loan amount?
  • Answer: Typically our minimum loan amount is $50,000.00; however each property and situation is unique. If an investor has a smaller loan request, please contact us with the details.
Question: Is an appraisal required?
  • Answer: Yes an appraisal is required; however with substantial equity the appraisal requirement may be waived.
Question: What if an investor has already done an appraisal?
  • Answer: DFW Specialty Lending will consider an existing appraisal, but all appraisals are subject to review.
Question: Does one need to have a property under contract before applying for a loan?
  • Answer: DFW Specialty Lending can pre-approve prior to placing a property under contract.
Question: How does DFW Specialty Lending underwrite deals?
  • Answer: Underwriting is based on various factors and differs on a case-by-case basis. In general, DFW Specialty Lending considers the following when underwriting a loan request.
    1. Since we at DFW Specialty Lending want the project to be successful and for our investors to make a profit, the project and numbers must make sense.
    2. DFW Specialty Lending considers the investor's experience, the property condition and needed repairs, the after repaired value (ARV) in addition to various other factors.