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If you invest in New Jersey real estate long enough, you will run into a deal a bank won’t touch: a house that needs a gut renovation, a sheriff sale with a hard deadline, or a project where the numbers work but the property doesn’t fit a conventional loan box. That is where a hard money lender comes in.
VeeCasa Funding is a hard money lender based in Woodbridge, NJ. We make business-purpose loans from our own capital to real estate investors. Our team has been doing hard money loans for 25 years and has more than 60 years of combined experience in the mortgage business. This page explains how hard money works in New Jersey, what our loans look like, and what to have ready before you call.
What a hard money loan is
A hard money loan is short-term, asset-based financing for investment property. The lender underwrites the deal: the purchase price, the rehab budget, the after-repair value (ARV) and your plan to exit. Your personal income is not the center of the file the way it is on a conventional mortgage.
The trade-off is cost and term. Hard money usually carries a higher rate and points than a bank loan, and it runs months, not decades. It is built for a specific stretch of a deal: buying the property, fixing it, and then selling or refinancing.
Why hard money comes up so often in New Jersey
- New Jersey is a judicial foreclosure state. Foreclosures go through the courts, so distressed and bank-owned properties reach the market through sheriff sales and auctions that run on their own schedule.
- Sheriff sales do not wait for a mortgage. At the county sheriff sales we have worked, including Middlesex and Monmouth, the winning bidder puts down a deposit and has a short window to pay the balance. A conventional loan is rarely an option on that timeline. Our sheriff sale and bank auction financing guide walks through how it works.
- The housing stock is old. Much of New Jersey’s inventory needs real work before it can be rented or sold, and banks generally will not lend on a property in that condition as-is.
- Property values support the math. Strong resale prices across much of the state mean a well-run renovation can produce enough after-repair value to make short-term financing worth it.
VeeCasa Funding hard money loans
| Program | Max loan-to-cost | Max ARV | Term |
|---|---|---|---|
| Fix and flip | Up to 90% | Up to 70% | 12 to 18 months |
| Renovation | Up to 85% | Up to 70% | 12 to 18 months |
| Ground-up construction | Up to 80% | Up to 65% | 12 to 24 months |
- Loan size: $100,000 to $2,000,000.
- Bridge financing for deadline-driven purchases such as sheriff sales and bank auctions, up to 65% of value.
- Rehab funded in draws. The renovation budget is part of the loan and is released after a third-party inspection confirms the completed work. Interest is charged only on funds that have been drawn.
- Borrowers: LLCs and corporations buying non-owner-occupied investment property.
- Credit: 650 minimum. Below 650 we may still lend when the loan is 50% or less of the lower of total project cost or value, with no pending litigation or open liens.
- Experience: reviewed case by case based on your completed projects and your team.
All loans are subject to underwriting, appraisal and approval. Full details are on our hard money loans page.
How a hard money loan gets underwritten
- The property and its numbers. Purchase price, current condition, and an after-repair value supported by closed comparable sales, not active listings.
- Your scope of work and budget. A line-item rehab budget with real contractor numbers behind it.
- Your exit. Selling, or refinancing into a long-term rental loan once the property is stabilized.
- Your cash. The loan covers most of the cost, not all of it. Plan for your share of the purchase and rehab, closing costs, points, carrying costs and a cushion for surprises.
- Your track record and team. Completed projects, your contractor, and who is running the job.
Want to test a deal first? Our fix and flip loan calculator estimates your max offer, loan, cash needed and profit, and the hard money loan calculator shows how the LTC and ARV limits size the loan.
Advice for NJ sheriff sale buyers
The most common mistake we see at sheriff sales is putting all the effort into winning the bid and none into the plan for the day after. Before you bid, have:
- Comparable sales that support your after-repair value
- A line-item rehab budget
- Tax lien information on the property
- A title search
If you plan to finance the balance, talk to us before the sale, not after you win.
A deal from our files
An investor called us about a boarded-up property she had found on an Essex County sheriff sale list. It needed real work, and once she won the bid she would have a short window to close or risk her deposit. A bank was never going to finance that property in that condition on that timeline.
She had her comps and a real rehab budget from her contractor ready within days, and the hard money loan closed inside the sale’s deadline. She renovated the property, rented it out, and about eight months later refinanced into a DSCR rental loan based on the rent it was producing. The hard money loan did its one job: get her to the closing table in time to win the deal.
Based on a real client situation. Names and details have been changed to protect the client’s privacy.
Where NJ investors use hard money
- Fix and flips in towns with older housing stock, where the property needs work before it can sell.
- Sheriff sale and auction purchases, where the closing date is not negotiable.
- Buy, rehab, rent, refinance (BRRRR). Use a hard money loan for the purchase and renovation, then refinance into a DSCR rental loan* once the property is rented.
- Ground-up and infill construction on lots that are already owned or purchased with the loan.
What to have ready
- Property address, purchase contract and comps supporting the ARV
- Scope of work and itemized rehab budget
- Contractor details
- Your exit plan
- Entity documents for your LLC or corporation
- Recent bank statements showing funds for your share of the deal
- A list of past projects
Frequently Asked Questions
Are you a direct hard money lender in NJ?
Yes. VeeCasa Funding is based in Woodbridge, NJ and funds fix and flip, renovation, construction and bridge loans from our own capital. DSCR rental loans are arranged through a partner lender.
Do you lend outside New Jersey?
Yes. We lend on investment property nationwide.
Can I get a hard money loan in my own name?
No. Our direct loans are made to LLCs and corporations only, for non-owner-occupied investment property. The LLC does not need a history: many investors form a new LLC just for the deal.
Can I use a hard money loan to buy a home I will live in?
No. These are business-purpose loans for investment property only. For a home you will live in, we can refer you to a residential mortgage lender.
Do you finance sheriff sale purchases?
Yes, through our bridge financing, up to 65% of value. See the sheriff sale financing guide and talk to us before the sale.
What credit score do I need?
650 minimum, with an exception for lower-leverage loans as described above.
Talk to us about your deal
If you have a New Jersey deal that needs hard money, apply here or call (732) 314-1874.
DSCR rental loans are arranged through a partner lender and are not funded directly by VeeCasa Funding.
VeeCasa Funding LLC makes business-purpose loans secured by non-owner-occupied real estate, to business entities only. These are commercial loans, not consumer mortgages. All loans are subject to underwriting, appraisal and approval. Not a commitment to lend. VeeCasa Funding LLC, 301B Amboy Ave, Woodbridge, NJ 07095.
