Interest rates are typically higher than conventional commercial or residential property loans and generally range from 8% to 12%. There is two basic reasons for this: 1) funds for our hard money Arizona loans are sourced from private individuals or investment groups looking for higher returns than are typically offered by banks and other traditional institutions, hence the rates charged are going to be higher than those charged by those institutions. 2) Arizona Hard Money lenders work very quickly, usually closing loans inside of one week from the first phone call or application. This means their capital has to be ready and available at a moments notice. Opportunity cost for the investor are high as they have to keep a fair amount of capital on hand and unemployed, earning very little interest as they stand ready to fund your loan.