Best Hard Money Lenders in Tennessee (2025 Guide)
Oct 30, 2025
Key Takeaways: Best Hard Money Lenders in Tennessee
- Who are the best hard money lenders in Tennessee — and how they help real estate investors move quickly in fast-paced markets like Nashville, Memphis, and Knoxville.
- Why Tennessee hard money lenders and private money lenders are key partners for fix-and-flip loans in Tennessee, rental rehabs, and short-term bridge financing.
- How to compare, vet, and secure funding from trusted private lenders in Tennessee that offer flexible terms, fast approvals, and investor-focused loan programs.
- What to know about current hard money loan rates in Tennessee, average closing timelines, and eligibility requirements for experienced and first-time investors alike.
There’s never been a better time to invest in Tennessee real estate. From the red-hot Nashville housing scene to emerging opportunities in Memphis, Chattanooga, and Knoxville, investors across the state are rushing to fund their next profitable deal. And in markets moving this fast, working with the best hard money lenders in Tennessee isn’t just smart — it’s essential. The right lender can get you funded in days, not months, helping you outpace competitors and lock in deals before they’re gone.
Hard money loans in Tennessee have become the go-to tool for serious investors who value speed, flexibility, and results. Instead of waiting on endless bank approvals, private money lenders in Tennessee look at the deal itself — the property’s value, potential, and exit strategy — to make quick lending decisions. Whether you’re flipping houses in East Nashville, refinancing a cash-flowing rental in Memphis, or breaking ground on new construction in Knoxville, having a trusted hard money partner gives you the confidence and capital to move fast and scale your portfolio.
This guide walks you through everything you need to know about hard money loans in Tennessee — how they work, their pros and cons, and the top lenders leading the market right now. Use the links below to jump to the section you need most:
- Understanding Hard Money Loans
- Pros and Cons of Hard Money Loans
- Hard Money Lending Landscape in Tennessee
- Eligibility and Typical Requirements
- Step-by-Step Guide to Getting a Hard Money Loan in Tennessee
- How to Vet Hard Money Lenders
- Best Hard Money Lenders in Tennessee (our curated list)
- Alternative Financing Options
- FAQs About Hard Money Lenders in Tennessee
- Final Thoughts on Hard Money Lenders in Tennessee
If you’re serious about doing your first real estate deal, don’t waste time guessing what works. Our FREE Training walks you through how to consistently find deals, flip houses, and build passive income—without expensive marketing or trial and error.
This FREE Training gives you the same system our students use to start fast and scale smart. Watch it today—so you can stop wondering and start closing.
Understanding Hard Money Loans
For real estate investors in Tennessee, speed is everything. Whether you’re chasing a flip in East Nashville or renovating a duplex in Memphis, access to fast funding can make or break your next deal. That’s where the best hard money lenders in Tennessee come in. Unlike traditional bank loans that rely on credit scores, tax returns, and long approval processes, hard money loans are built on the value of the property itself. This form of asset-based lending allows investors to close quickly and compete confidently in Tennessee’s fast-moving markets.
In an asset-based loan, private lenders or investment firms provide short-term financing using the real estate as collateral. These loans are popular for fix-and-flip projects, bridge loans, and short-term rental rehabs across Tennessee’s most active investment areas. Because approval is based primarily on the property’s potential and after-repair value (ARV), qualified investors can often get funded in a matter of days rather than waiting weeks for bank underwriting.
So, how do you get a hard money loan in Tennessee? It usually starts by finding a trusted lender that understands your investment strategy and the local market. The lender will review your deal’s after-repair value (ARV), your rehab plan, and your intended exit strategy. Since most Tennessee hard money lenders base their decisions on the strength of the deal rather than personal credit, even newer investors can qualify if their numbers make sense and their project looks profitable.
Hard Money Loan at a Glance
- Definition: A short-term, asset-based loan used to finance real estate investments like flips, rehabs, or bridge loans.
- Typical Interest Rate: Around 9% to 14%, depending on lender experience, deal structure, and property type.
- Loan Term: Usually 6 to 24 months with interest-only payments until the property is refinanced or sold.
- Collateral: The property itself serves as security rather than the borrower’s personal credit profile.
- Funding Speed: Some of the best hard money lenders in Tennessee can close within 7–10 days — or even faster for repeat borrowers.
Most Tennessee hard money lenders determine their loan amounts using the property’s ARV. For instance, if a house will be worth $400,000 after renovations and the lender finances up to 70% of that value, you could receive a loan around $280,000. The remaining costs, such as rehab expenses or closing fees, are typically covered by your own funds or a secondary partner. This structure protects the lender while giving investors leverage to take on more projects with less cash upfront.
Another key difference between Tennessee hard money loans and bank loans is flexibility. Traditional banks focus on creditworthiness and rigid documentation, while private money lenders in Tennessee care more about the profitability of your deal. If your rehab plan, timeline, and comps are solid, many lenders will overlook less-than-perfect credit. This approach helps local investors scale faster and take advantage of opportunities others might miss.
Tennessee Snapshot
Hard money lending in Tennessee continues to expand alongside the state’s booming housing market. Lenders like Kiavi and Lima One Capital now serve the Volunteer State with fast online approvals, interest rates from 8.5% to 11.5%, and loan-to-cost ratios reaching as high as 90%. Many local and regional lenders also offer 100% construction financing for qualified investors.
Activity is highest in Nashville, Memphis, Chattanooga, and Knoxville, where investor demand is strong and inventory moves quickly. Because properties in these markets can go under contract within days, Tennessee investors often rely on hard money lenders to fund deals fast and stay competitive.
Why it matters: Understanding how hard money loans in Tennessee work gives you a serious advantage. By leveraging property value instead of credit, you can unlock deals that traditional lenders won’t touch — whether it’s a quick flip, a new construction build, or a bridge loan between purchases. The faster you can access capital, the more opportunities you’ll be able to seize in today’s competitive Tennessee real estate market.
- Don’t chase the lowest rate: Prioritize reliability, communication, and funding speed over small differences in interest. Ask each lender about their maximum LTV, repayment structure, and whether they offer interest-only terms.
- Request proof of funds upfront: Reputable hard money lenders in Tennessee will have no problem showing available capital. Membership in organizations like the National Private Lenders Association signals professional standards and transparency.
- Know the full fee structure: In addition to interest rates, review origination points, processing fees, and potential prepayment penalties to compare lenders accurately.
- Have a solid exit strategy: Since these are short-term loans, plan your refinance, sale, or long-term financing before you close.
Now that you have a clear understanding of how hard money loans in Tennessee work and why asset-based lending is so powerful, let’s break down the pros and cons of this financing strategy to help you decide if it’s the right fit for your next deal.
Pros and Cons of Hard Money Loans
Before selecting a lender, every Tennessee investor should understand the trade-offs that come with hard money financing. These loans can be an incredible tool for experienced investors who need quick access to cash — but they also carry unique risks if not managed properly. This breakdown will help you decide when hard money loans in Tennessee make sense, and when another short-term financing option might be a better fit for your project.
| Advantages | Disadvantages |
|---|---|
|
|
|
Bottom Line: Hard money loans are a powerful resource for Tennessee investors who prioritize speed and flexibility. They’re best suited for those who understand rehab costs, project timelines, and have a reliable exit strategy. If you’re newer to investing, partnering with a knowledgeable lender or mentor can help you avoid overleveraging while still taking advantage of these fast, flexible loans. |
|
Not sure if a hard money loan is right for you? Before signing with any lender, run through this quick self-assessment. It’ll help determine whether hard money financing in Tennessee aligns with your experience, deal type, and investment goals.
Tennessee Investor Decision Checklist
Use this checklist to decide if partnering with a hard money lender fits your next Tennessee investment:
- âś… You’ve found a profitable property that requires quick funding to beat competing offers.
- âś… You understand the project’s after-repair value (ARV) and have verified your numbers using reliable Tennessee market comps.
- âś… You can handle a higher interest rate in exchange for fast, flexible access to capital.
- âś… You already have or can raise the 20%–30% down payment most Tennessee lenders require.
- âś… You have a clear exit strategy — whether that’s selling, refinancing, or converting the property into a rental.
- âś… You’re comfortable working with private money lenders in Tennessee and understand their underwriting process.
- âś… You’ve reviewed loan terms carefully, including all fees, prepayment penalties, and draw schedules.
- ⚠️ If your numbers or exit plan aren’t locked in yet, explore traditional or DSCR loans before committing to a short-term hard money loan.
If most of these boxes are checked, a hard money loan could be the ideal solution for your next deal in Tennessee’s thriving real estate market.
Once you’re confident that hard money loans in Tennessee fit your goals, the next step is understanding the state’s private lending environment — who’s lending, what programs are available, and how these lenders operate across the Volunteer State.
Hard Money Lending Landscape in Tennessee
Tennessee has emerged as one of the Southeast’s most active real estate investing corridors. From Nashville’s rapid infill projects to value-add opportunities in Memphis, Knoxville, and Chattanooga, demand for hard money loans in Tennessee has surged. Flippers, buy-and-hold investors, and small developers are increasingly turning to private money lenders in Tennessee for the kind of speed and flexibility banks rarely match.
The state’s business-friendly climate and relatively accessible price points make it ideal for short-term projects and bridge financing. Traditional lenders may take 45–60 days to close—too slow when inventory moves in days. In contrast, bridge loans in Tennessee and hard money financing can fund within a week for prepared borrowers, helping investors purchase, renovate, or refinance before competitors even submit offers.
Regulatory note: Tennessee’s private lending environment is generally favorable for business-purpose loans secured by investment property. Many lenders operate under commercial lending frameworks that allow customized terms. That said, investors should always review loan documents closely—especially points, origination and processing fees, default interest, and prepayment language—and consider consulting a Tennessee real estate attorney or CPA for deal-specific guidance.
Tennessee Market Snapshot
- Strong Investor Demand: Nashville, Memphis, Knoxville, and Chattanooga are drawing both in-state and out-of-state buyers pursuing fix-and-flip and rental rehabs.
- Fast Closings: Prepared borrowers working with the best hard money lenders in Tennessee often fund in 7–14 days—significantly faster than banks.
- Active Private Lenders: National and regional players—such as Kiavi, Capital Fund 1, Lima One Capital, BridgeWell Capital, and LendingOne—offer flexible programs with Tennessee coverage.
- Deal Types: Most Tennessee hard money loans finance fix-and-flips, short-term bridge acquisitions, rental renovations, and small infill/new-build projects.
- Competition & Pricing: Multiple lenders compete on speed, draw schedules, and experience-based pricing, giving investors room to shop terms.
Tennessee’s top metros each carry distinct price points, timelines, and leverage norms. While Nashville hard money lenders drive a large share of statewide volume, secondary markets like Memphis and Chattanooga offer compelling spreads and lower entry costs. The table below outlines typical flip timelines and common LTV/ARV ranges investors report across key markets—helpful for setting expectations as you line up financing.
| Market | Typical Flip Timeline | Common Max Leverage (of ARV) |
|---|---|---|
| Nashville Metro | 4–6 months | 70%–75% ARV |
| Memphis | 5–7 months | 65%–70% ARV |
| Knoxville | 5–7 months | 70%–75% ARV |
| Chattanooga | 6–8 months | 65%–70% ARV |
Bottom line: Tennessee’s private lending scene is thriving. Private lenders in Tennessee are competing on speed, service, and flexible draw schedules while maintaining prudent leverage. For investors, this creates an attractive environment—multiple lender options, predictable funding timelines, and loan structures that support flipping, refinancing, and long-term portfolio growth. Next, we’ll cover typical eligibility requirements for hard money loans in Tennessee—what lenders look for and how to package your deal for fast approval.
Eligibility and Typical Requirements
Although every lender has its own underwriting style, most private money lenders in Tennessee follow similar approval standards. Unlike banks that focus on income statements or debt-to-income ratios, Tennessee hard money lenders emphasize the strength of the deal — the property’s value, your experience level, and how you plan to repay or refinance the loan. Understanding these criteria can help you present your deal like a pro and secure faster funding from the best hard money lenders in Tennessee.
What Tennessee Lenders Generally Require
- Down Payment / Equity: Most Tennessee investment property loans require around 20%–30% down, or equivalent equity in the property. Seasoned investors with a strong portfolio may qualify for slightly higher leverage or reduced cash-to-close requirements.
- Loan-to-Value (LTV) & Loan-to-Cost (LTC): Hard money lenders in Tennessee typically lend up to 70%–75% LTV of the property’s after-repair value (ARV) or 85%–90% LTC on rehab projects. Deals with detailed scopes of work and accurate ARV estimates tend to get better terms.
- Credit Score: While credit isn’t the deciding factor, many private lenders in Tennessee prefer scores above 620. Investors with lower credit can still qualify if they have strong collateral or a reliable exit strategy.
- Income Verification: Documentation is minimal — most lenders just want to confirm you have reserves to handle interest payments and renovation costs during the loan term.
- Project Type: Commonly funded deals include fix-and-flip projects, bridge loans, rental rehabs, and new construction for resale. Lenders look for projects with measurable upside and a clear timeline.
- Experience Level: New investors can still qualify but may see lower leverage and slightly higher rates. Experienced flippers often get access to preferred pricing, faster approvals, and higher loan-to-cost ratios.
- Exit Strategy: Every real estate investor loan in Tennessee must outline a specific plan for repayment — whether that’s selling the property, refinancing into a DSCR or rental loan, or stabilizing cash flow through tenants.
- Property Condition: Tennessee hard money lenders commonly fund distressed or off-market properties, but the asset must have a clear value-add path through renovation or redevelopment potential.
Meeting these hard money loan requirements in Tennessee signals to lenders that you’re prepared, professional, and ready to close quickly. Whether your goal is a flip in Nashville or a rental rehab in Memphis, having your documents organized, ARV calculations dialed in, and your exit strategy clearly defined will help you secure better terms and build long-term relationships with private money lenders in Tennessee.
*For in-depth training on real estate investing, Real Estate Skills offers extensive courses to get you ready to make your first investment! Attend our FREE Webinar Training and gain insider knowledge, expert strategies, and essential skills to make the most of every real estate opportunity that comes your way!
Step-by-Step Guide to Getting a Hard Money Loan in Tennessee
If you’re ready to take action but unsure how to get a hard money loan in Tennessee, the good news is that the process is faster and more straightforward than most investors think. Instead of waiting weeks for bank approvals, hard money lenders in Tennessee focus on deal value, borrower experience, and the property’s potential. Follow this step-by-step roadmap to secure funding quickly and confidently.
- Research and Compare Lenders
Start by identifying reputable Tennessee hard money lenders with experience in your type of project — whether you’re flipping a house, rehabbing a rental, or building new construction. Check online reviews, testimonials, and Better Business Bureau ratings. Focus on lenders familiar with local markets like Nashville, Memphis, or Knoxville since they understand regional property values, permitting timelines, and after-repair value (ARV) trends. - Gather Your Deal Details
Once you’ve narrowed your list, prepare your documentation. This should include the purchase contract, renovation budget, ARV projections, and estimated project timeline. Many private lenders in Tennessee also appreciate a one-page summary outlining your investment experience and exit plan — whether that’s selling for profit, refinancing, or holding as a rental. - Apply for a Hard Money Loan
Submit your loan application online or directly through the lender’s portal. Most of the best hard money lenders in Tennessee offer same-day or next-day pre-approvals. During the review, they’ll evaluate your project numbers, confirm the property’s current value, and calculate your loan-to-value (LTV) or loan-to-cost (LTC) ratio to determine how much they can lend. - Underwriting and Property Evaluation
Hard money underwriting in Tennessee moves fast. Expect a short appraisal or site visit to confirm your rehab scope and ARV. During this phase, the lender finalizes your loan amount, rate, draw schedule, and term length. Quick communication and a complete document package can shave days off the closing timeline. - Close and Fund the Deal
Once approved, you’ll sign the loan agreement and schedule your closing. Most hard money loans in Tennessee fund within 7–14 days, with the lender wiring funds directly to your title company or attorney. After closing, you can begin your rehab, and when finished, either sell for profit or refinance into long-term financing.
Must-Have Documents for Your Tennessee Hard Money Loan
- âś… Executed purchase contract or letter of intent
- âś… Detailed rehab budget, cost breakdown, and timeline
- âś… After-Repair Value (ARV) estimate or Comparative Market Analysis (CMA)
- âś… Proof of funds for your down payment and reserves
- âś… Business entity documents (LLC or operating agreement, if applicable)
- âś… Photos or inspection report showing current property condition
- âś… Written exit strategy — sell, refinance, or hold as a rental
Securing a hard money loan in Tennessee comes down to preparation and presentation. The more complete your application, the more confidence lenders will have in your ability to perform. When you present a clear plan, realistic numbers, and a well-defined exit strategy, you’ll stand out as a serious investor — earning faster approvals, better loan terms, and long-term trust from Tennessee’s top private lenders.
How to Vet Hard Money Lenders
Before signing any loan agreement, it’s vital to understand exactly who you’re dealing with. Tennessee’s hard money market is thriving, which means not every lender operates with the same transparency or reliability. Performing due diligence upfront can help you avoid hidden fees, funding delays, or predatory terms. Here’s how to evaluate and compare hard money lenders in Tennessee like a seasoned investor.
When researching potential lenders, focus on the essentials: reputation, responsiveness, transparency, and local experience. The best hard money lenders in Tennessee will be upfront about their fees, timelines, and loan process — and they’ll have genuine reviews from other investors. If a company avoids your questions, pushes for upfront payments, or can’t show proof of capital, consider it a red flag.
Use these key questions to vet potential lenders and protect your investment:
- đź“‹ How long have you been lending in Tennessee? Local experience matters — Tennessee’s market has unique regulations, permitting processes, and valuation trends that seasoned lenders understand.
- đź’¬ Can I speak with past clients? Reputable Tennessee private lenders will happily connect you with previous borrowers or share real deal case studies.
- đź“‘ What are your exact fees and terms? Always ask for a complete breakdown of origination fees, underwriting costs, and any potential prepayment penalties.
- đź’° Do you provide proof of funds? Legitimate lenders will show bank statements or documentation confirming available capital before collecting any fees.
- ⚖️ Are you registered or licensed in Tennessee? While most private lenders operate under business-purpose exemptions, trustworthy firms maintain proper state registration and follow Tennessee’s lending laws.
- ⏱️ How fast can you close? Compare turnaround times — the top hard money lenders in Tennessee can often fund within 7–10 days if documentation is complete.
- 🏗️ What types of projects do you specialize in? Choose lenders who focus on your type of investment — fix-and-flip, new construction, or rental portfolio loans.
- 🧾 Do you handle servicing in-house? Reliable lenders manage underwriting and servicing internally, ensuring smoother communication and faster draws.
As you compare your options, watch how each lender communicates. The best partners are transparent, professional, and willing to educate you about their process. Unfortunately, not every company advertising “fast closings” delivers on that promise. Knowing the red flags can help you avoid costly mistakes and wasted time.
Red Flags When Working with a Hard Money Lender
- đźš© Upfront fees before approval: Ethical Tennessee hard money lenders never charge application or processing fees until written terms are provided and accepted.
- đźš© Unclear or missing documentation: Avoid lenders who can’t explain rates, points, or repayment schedules in detail.
- đźš© No public registration or online presence: Verify registration through Tennessee’s Secretary of State and review Better Business Bureau listings for transparency.
- đźš© Pressure to sign quickly: Legitimate lenders give you time to review and compare offers — they don’t rush decisions.
- đźš© Unrealistic promises: “Guaranteed approvals” or rates that seem too low to be true usually are. Always verify the terms.
- đźš© Lack of local expertise: Out-of-state lenders unfamiliar with Tennessee’s markets may misjudge property values, causing delays or funding shortfalls.
Doing your homework before committing to a loan can save you thousands in costs and protect your project timeline. The most trusted private money lenders in Tennessee will be transparent, communicative, and investor-focused — helping you build long-term partnerships that fund your deals consistently and ethically.
Best Hard Money Lenders in Tennessee
Choosing the best hard money lenders in Tennessee can make or break your next deal. The right partner brings speed, flexible terms, and clear communication — helping you close faster and scale without bank red tape. Whether you’re flipping in Nashville, rehabbing a rental in Memphis, or financing a new build in Knoxville or Chattanooga, these Tennessee private lenders stand out for reliability, investor-friendly programs, and quick turnarounds.
The comparison table below highlights each company’s common loan types, typical (deal-dependent) rate bands, minimums, and funding speed so you can pick the best fit for your strategy.
| Lender | Loan Types | Typical Interest Range* | Typical Minimum | Funding Speed |
|---|---|---|---|---|
| Kiavi | Fix & Flip, Bridge, Rental (DSCR) | ~8.5%–11.5% (deal-dependent) | ~$100,000 | ~5–10 days |
| Capital Fund 1 | Fix & Flip, Buy & Hold, Construction | ~9%–13% (experience-based) | Deal-dependent | Fast; often ~7–10 days |
| Lima One Capital | Fix & Flip, Rental, New Construction | ~8.99%–12.5% (program-specific) | ~$100,000 | ~7–14 days |
| BridgeWell Capital | Fix & Flip, Rental, Bridge | ~9%–12.5% (deal-dependent) | ~$75,000 | ~7–14 days |
| LendingOne | Investment Property, Rental, Bridge | ~8.9%–12.9% (program-specific) | ~$75,000 | ~7–14 days |
*Ranges and minimums vary by experience, leverage, property type, and market conditions. Always confirm current terms with each lender.
Together, these five hard money lenders Tennessee investors rely on provide a balanced mix of national scale and state coverage. Each was selected for speed, transparent programs, and strong investor feedback — giving you credible options to compare for your next Tennessee investment property loan.
Kiavi
We recommend Kiavi as a top choice among the best hard money lenders in Tennessee because it combines fast, tech-driven approvals with consistent capital at scale. Its streamlined platform and investor-focused programs help Tennessee flippers and landlords move from application to funding quickly in competitive markets like Nashville, Memphis, and Knoxville.
Kiavi has become one of the top hard money lenders in Tennessee thanks to its streamlined digital platform and consistent funding reliability. With over $15 billion in loans originated nationwide, Kiavi brings a tech-forward approach to markets like Nashville, Knoxville, and Memphis—helping investors close fast on competitive properties. The platform allows borrowers to apply online, upload documentation, and receive instant quotes, making it especially appealing for investors who value speed and convenience. For experienced flippers and rental property investors, Kiavi offers a smooth path from application to funding without the friction of traditional banking delays.
Pros
- Simple online application and same-day pre-approvals
- Transparent pricing and flexible repayment options
- Nationwide reach with strong presence in Tennessee metros
- Excellent reputation and responsive customer support
Cons
- Primarily online lender with limited in-person interaction
- May favor experienced investors with track records
- Not ideal for small deals under $100K
Best for: Experienced and tech-savvy investors who want fast approvals, transparent pricing, and a reliable funding partner for investment property loans in Tennessee.
Capital Fund 1
We recommend Capital Fund 1 as one of the best hard money lenders in Tennessee for its hands-on lending approach, flexible loan structures, and in-depth experience funding fix-and-flip and new construction projects across the Southeast. Known for prioritizing speed and transparency, Capital Fund 1 is a go-to choice for Tennessee investors looking for a private lender that truly understands how local deals get done.
Capital Fund 1 has built a strong reputation across the Southeast for funding Tennessee investors quickly and fairly. The company lends its own capital — meaning faster decisions and fewer underwriting layers. It offers financing for fix-and-flips, ground-up construction, and rental projects with flexible terms and transparent pricing. Tennessee investors especially appreciate the direct communication and local insight Capital Fund 1 provides when evaluating property potential in markets like Nashville, Franklin, and Chattanooga. The lender’s responsiveness and borrower-friendly approach make it a dependable choice for serious investors who want to scale confidently.
Pros
- Funds directly — no broker markups or middlemen
- Flexible loan programs for both flips and new builds
- Local expertise in Tennessee and surrounding states
- Responsive customer service and transparent terms
Cons
- Not as tech-automated as national fintech lenders
- Rates may be higher for new or first-time investors
- Requires clear construction budgets for ground-up projects
Best for: Experienced Tennessee investors seeking flexible funding, personalized service, and reliable financing for fix-and-flip and new construction projects statewide.
Lima One Capital
We recommend Lima One Capital as one of the best hard money lenders in Tennessee for its professional service, nationwide reach, and diverse range of real estate investment loans. Known for its reliability and transparency, Lima One Capital caters to both seasoned investors and those scaling their first few projects. With competitive rates, flexible draw schedules, and consistent funding, it’s a trusted choice for Tennessee investors who value efficiency and long-term partnership.
Lima One Capital stands out as a full-service hard money lender in Tennessee with flexible programs for flips, rentals, new construction, and multifamily projects. Their institutional funding allows for predictable closings and competitive terms even in tighter lending environments. Tennessee investors appreciate Lima One’s strong underwriting consistency and dedicated account managers who guide borrowers from application to draw disbursement. Whether you’re acquiring distressed properties in Memphis or building new homes in Knoxville, Lima One’s structured lending approach provides stability and professionalism that few private lenders can match.
Pros
- Offers a full range of short- and long-term loan products
- Strong reputation and national lending capacity
- Dedicated lending specialists for each borrower
- Transparent underwriting and dependable funding timelines
Cons
- More documentation required than smaller private lenders
- May not be ideal for small-scale or first-time flippers
- Approval process can take longer for complex projects
Best for: Tennessee investors seeking institutional-level funding and long-term support for fix-and-flip, new construction, or rental portfolio loans.
BridgeWell Capital
We recommend BridgeWell Capital as one of the best hard money lenders in Tennessee because of its exceptional customer service, investor-focused programs, and reputation for reliability. BridgeWell specializes in helping Tennessee real estate investors access fast capital for fix-and-flip projects, rental rehabs, and bridge loans. With flexible terms, competitive rates, and personalized loan support, this lender is an ideal fit for both first-time and seasoned investors looking for dependable financing.
BridgeWell Capital is a trusted name among private money lenders in Tennessee, offering flexible loan programs designed to help investors close deals fast. The company focuses on short-term funding for fix-and-flips, bridge loans, and rental rehabs, making it a popular choice for investors who value a straightforward approval process. BridgeWell’s Tennessee clients often highlight its responsive team and transparent communication from start to finish. With in-house underwriting and decades of experience, BridgeWell consistently delivers a personal lending experience that larger national firms can’t always match.
Pros
- Direct lender with in-house underwriting
- Known for fast, reliable closings and responsive service
- Flexible funding options for different investment strategies
- Strong local support and investor education resources
Cons
- Limited national footprint compared to larger lenders
- Loan amounts may not suit large commercial projects
- Rates vary based on investor experience and property type
Best for: Tennessee investors who value personal service, straightforward approvals, and quick funding for fix-and-flip or bridge loan projects.
LendingOne
We recommend LendingOne as one of the best hard money lenders in Tennessee for investors who want institutional stability with a streamlined process. LendingOne offers a full suite of programs for flips, rentals, and bridge loans, and it’s known for clear term sheets, predictable draws, and responsive loan teams. Tennessee borrowers in markets like Nashville, Memphis, and Knoxville appreciate the balance of competitive pricing and dependable timelines — ideal when you need to close quickly and keep renovations on schedule.
LendingOne delivers a reliable experience for hard money loans in Tennessee, pairing digital applications with dedicated loan specialists. Investors can finance acquisitions and renovations with draw-based rehab funding, then refinance into long-term rental loans as projects stabilize. The lender’s consistent underwriting, clear docs, and dependable construction draws make it a strong fit for repeat operators who value predictability. From light rehabs in Memphis to quick-turn flips in Nashville suburbs, LendingOne’s programs help keep projects moving without surprises.
Pros
- Institutional backing with predictable closings
- Clear term sheets and straightforward draw process
- Programs for both flips and stabilized rentals
- Responsive loan teams and solid documentation
Cons
- May require more documentation than smaller private lenders
- Pricing and leverage improve with borrower experience
- Not ideal for very small or highly unconventional deals
Best for: Tennessee investors who want a consistent, institutionally backed partner for fix-and-flip and rental portfolio financing with dependable draws and timelines.
Alternative Financing Options
While hard money loans in Tennessee remain a go-to for investors seeking speed and flexibility, they’re not the only financing path available. Depending on your goals — whether you’re flipping homes in Nashville, refinancing rentals in Memphis, or building new construction in Chattanooga — other loan products like bridge loans, DSCR loans, and traditional mortgages may offer more favorable terms. Understanding these alternatives helps you choose the right funding structure for your project while managing risk and maximizing profit potential.
| Financing Type | Ideal Use Case | Typical Rates / Terms |
|---|---|---|
| Bridge Loans (Tennessee) | Short-term financing designed to “bridge” the gap between property purchases and long-term financing. Ideal for investors needing quick capital to seize time-sensitive deals. | Rates usually 8%–11%, 6–12 month terms, interest-only payments, and fast closings within days. |
| DSCR Loans (Tennessee) | Perfect for buy-and-hold investors who qualify based on rental income instead of personal income. Great for refinancing stabilized or cash-flowing properties. | Rates from 7%–9%, 30-year fixed options, minimal income verification, approval based on property’s Debt Service Coverage Ratio (DSCR). |
| Traditional Mortgages | Ideal for long-term rental properties or owner-occupied homes where borrowers have strong credit and stable income. Offers low-cost financing over extended terms. | Rates around 6%–7% with 15–30 year amortization, lower fees, but slower closing times (30–60 days). |
| Private Lines of Credit | Best for experienced investors managing multiple projects. Provides revolving access to funds for flips, rehabs, or quick acquisitions. | Variable rates of 9%–12%, renewable annually, and interest-only payments on drawn amounts. |
Each financing route serves a unique purpose. A bridge loan in Tennessee may help you close on a property before listing your previous one, while a DSCR loan can build your rental portfolio without traditional income requirements. For long-term holds, traditional mortgages often deliver the best rates, though they take longer to fund. Exploring these alternative real estate financing options in Tennessee ensures you always have flexible, cost-effective capital — no matter what stage your investment strategy is in.
FAQs About Hard Money Lenders in Tennessee
Have questions about hard money lenders in Tennessee? You’re not alone. Below are some of the most common questions investors ask when exploring this type of short-term, asset-based financing. Each answer is short, clear, and designed to help you make confident investment decisions.
What are hard money loans in Tennessee?
Hard money loans in Tennessee are short-term, asset-based loans secured by real estate. They’re commonly used by investors for fix-and-flip projects, bridge financing, or quick acquisitions when bank loans take too long.
How fast can I get a hard money loan in Tennessee?
Most Tennessee hard money lenders can fund in 7–14 business days. Some lenders, like Kiavi or BridgeWell Capital, offer even faster closings for qualified borrowers with complete documentation.
What credit score do I need for a hard money loan?
Many Tennessee private lenders don’t require high credit scores. Approval is primarily based on property value and deal strength, though scores above 620 may qualify for better rates.
Are hard money loans legal in Tennessee?
Yes. Hard money lending is legal in Tennessee, as long as lenders comply with state lending regulations and use licensed title companies for closing and escrow.
What are typical hard money loan rates in Tennessee?
Rates for hard money loans in Tennessee generally range between 9% and 13%, depending on loan type, borrower experience, and project risk level.
Do hard money lenders in Tennessee require down payments?
Yes. Most lenders require 20%–30% down or equivalent equity in the property. Experienced investors may qualify for higher leverage or reduced cash-to-close requirements.
Can I use a hard money loan for rental properties?
Yes. Many Tennessee investors use hard money loans to acquire or rehab rental properties before refinancing into long-term DSCR or conventional loans.
What’s the main difference between hard money and traditional loans?
Hard money loans prioritize the property’s value and exit plan, while traditional loans rely on income and credit verification. This makes hard money loans faster but typically more expensive.
Who are the best hard money lenders in Tennessee?
Some of the top hard money lenders in Tennessee include Kiavi, Capital Fund 1, Lima One Capital, BridgeWell Capital, and LendingOne — all known for fast closings, transparent terms, and investor-focused programs.
Final Thoughts on Hard Money Lenders in Tennessee
Finding the best hard money lenders in Tennessee can be the key to unlocking faster deals and scaling your real estate portfolio with confidence. Whether you’re flipping homes in Nashville, building in Knoxville, or refinancing rentals in Memphis, working with a reliable private lender gives you the flexibility traditional banks can’t match.
Remember — the best financing isn’t just about low rates; it’s about speed, transparency, and partnership. Take time to compare lenders, understand each loan’s terms, and ensure your exit strategy is solid before closing.
If you’re serious about doing your first real estate deal, don’t waste time guessing what works. Our FREE Training walks you through how to consistently find deals, flip houses, and build passive income—without expensive marketing or trial and error.
This FREE Training gives you the same system our students use to start fast and scale smart. Watch it today—so you can stop wondering and start closing.
*Disclosure: Real Estate Skills is not a law firm, and the information contained here does not constitute legal advice. You should consult with an attorney before making any legal conclusions. The information presented here is educational in nature. All investments involve risks, and the past performance of an investment, industry, sector, and/or market does not guarantee future returns or results. Investors are responsible for any investment decision they make. Such decisions should be based on an evaluation of their financial situation, investment objectives, risk tolerance, and liquidity needs.
Alex Martinez, the founder of Real Estate Skills, is known for his strong, practical expertise in real estate, starting from a beginner with no family connections in the industry to completing over 50 real estate deals, including wholesale and flips, within his first year.
He has dedicated his career to providing cutting-edge education and resources for real estate professionals. He emphasizes the importance of self-taught knowledge through mentors, books, and hands-on experience.
His journey from earning a modest income to becoming a successful real estate entrepreneur and educator showcases his expertise and dedication to the field.
Ryan Zomorodi, co-founder and COO of Real Estate Skills, leverages his experience from a diverse background in real estate investment, construction management, and entrepreneurship to provide comprehensive education in the real estate sector.
His expertise is rooted in hands-on experience, extensive industry knowledge, and a commitment to empowering others through education.
Ryan's journey reflects a blend of practical experience and entrepreneurial success, contributing to his role in developing a platform that educates and supports aspiring real estate professionals.
Read Ryan's Full Bio >>
