FAQs
Straight answers to the questions borrowers actually ask. If yours is not here, call and ask a decision maker directly.
Private lending has its own vocabulary and its share of myths. Here is how it actually works at Kenwood, in plain language. For anything deal-specific, skip the reading and call (480) 783-8800.
What is a hard money loan?
A loan secured by real estate and underwritten on the property first, funded by private capital instead of a bank. The value of the collateral and the strength of your plan carry more weight than a scoring model. That is why these loans can close in days instead of months.
Is hard money the same as private money?
In practice, yes. The industry uses both names for the same thing, and you will find both on this site. We prefer private money, since the capital comes from private individuals and trusts rather than institutions. Call it either one when you call us.
What are the interest rates?
Higher than a bank, and priced deal by deal. Most of our programs run between 9 and 14 percent depending on the property, the leverage, and the plan. A well-documented, lower-risk deal earns the lower end. You pay for certainty and speed once; you keep the profit the deal makes because it actually closed.
What determines my pricing and loan amount?
Three things. The collateral: what the property is honestly worth and how marketable it is. Your capacity: whether the payments and the payoff fit your plan. Your credit history: not a minimum score, but a fair read of how you have handled obligations. Strong collateral and a clear plan can carry a file with imperfect credit. Nothing carries a file with an unrealistic value.
How fast can you fund?
Our capital is private and committed before you sign, so there is no committee and no secondary market between a yes and a wire. Most loans close within days of a clear preliminary title report. Tell us your deadline in the first call and we will tell you honestly whether it can be met.
Do you lend outside Arizona?
No. Arizona only, and that is deliberate. We inspect our own collateral, we know these submarkets street by street, and our judgment is only worth something where we have it.
Do you make consumer or owner-occupied loans?
No. We fund investment and business-purpose real estate only. If the property is your home, or the money is for personal use, we are not the right lender.