From coastal neighborhoods to inland communities, San Diego County offers a wide range of real estate investment opportunities.
Renovating an older home, adding an ADU, or purchasing commercial property each requires a funding plan that accounts for the property, local requirements, and project timeline.
This guide covers Murkland Hard Money Lenders’ loan options, what to prepare before applying, and San Diego property considerations that could affect your budget and repayment plan.
Explore Your Hard Money Loan Options
Start by explaining what you want to accomplish. Murkland offers these hard money financing options:
- Bridge loans: Short-term financing to cover a funding gap between real estate transactions or until longer-term financing is arranged.
- Fix-and-flip loans: Financing for purchasing and renovating a property you plan to resell.
- Private money loans: Real estate financing through private funding sources, with terms evaluated around the property and proposed transaction.
- ADU loans: Financing for accessory dwelling unit projects, such as adding a separate living space to an investment property.
- Commercial hard money loans: Financing for commercial property purchases, refinancing, or improvements.
These categories can overlap. Describe your property, intended use of the funds, and repayment strategy so the lender can evaluate the appropriate financing.
Murkland’s loans are for investment, business, or commercial purposes only.
Check Local Requirements Before Setting Your Timeline
A project’s location and scope can affect permitting, construction costs, and completion dates.
Check these San Diego requirements early to avoid unexpected expenses and delays.
Coastal Development Requirements
If you’re considering property in a coastal community, verify whether the parcel falls within the Coastal Overlay Zone.
Certain improvements may require a Coastal Development Permit, depending on the location and work proposed.
Before applying: Identify the approvals needed and include them in your project schedule.
Historical Review for Older Buildings
Within the City of San Diego, sites containing structures 45 years old or older can trigger historical screening during permitting, subject to exemptions.
This can affect renovation plans even when a building isn’t a designated landmark.
Before applying: Check the building’s age and potential review requirements before budgeting for demolition or exterior alterations.
ADU Permits and Existing Conversions
If your project includes an existing ADU or converted garage, confirm its permit status before relying on its rental income or resale value.
The City of San Diego offers a permitting process for certain unpermitted ADUs built before January 1, 2020. Eligibility requirements, safety corrections, and applicable coastal approvals still apply.
Before applying: Gather available permit records and budget for unresolved work. We do not lend on primary residences.
City Versus County Jurisdiction
San Diego County building services handle unincorporated areas.
Properties within incorporated cities follow their city’s permitting process. Confirm the property’s jurisdiction before researching requirements.
Prepare Your Property Value and Project Budget
Have these figures ready:
- Purchase price or current value: What the property costs or is currently worth.
- Loan amount: How much funding you need and how you’ll use it.
- Improvement costs: Contractor estimates, design, permits, and a contingency.
- After-repair value, or ARV: The estimated value after planned improvements.
- Carrying costs: Interest, taxes, insurance, utilities, and applicable HOA dues.
Choose comparable sales carefully. A coastal property with an ocean view or a home with a permitted ADU may not support the same valuation for a property without those features.
Murkland’s application asks for your contact information, loan type, requested amount, property address, and estimated property value. You can provide the current value or expected value after renovations and include additional project details.
Understand the Full Cost of Financing
Request a written breakdown of:
- Interest rate and monthly payments.
- Points and other fees.
- Prepayment provisions.
- Any balloon payment and its due date.
These are key questions identified in California Department of Real Estate borrower guidance. Evaluate the total borrowing cost over your expected project timeline.
For renovation or ADU financing, also ask how funds are released and what you’ll need to pay before receiving each disbursement.
Plan How You’ll Repay the Loan
Your repayment strategy should account for the full project timeline.
- Selling: Allow time for construction, inspections, marketing, and closing.
- Refinancing: Discuss requirements with the prospective long-term lender before depending on that outcome.
- Managing delays: Calculate additional carrying costs and ask about extension options without assuming approval.
Test your budget against a later completion date or lower sale price. If either leaves insufficient funds to repay the loan, revisit the deal before committing.
Confirm Your Funding Deadline
Murkland Hard Money Lenders, formerly Murk Investments Corp., has provided capital solutions in San Diego County since 2017.
The company can operate as a direct lender or arrange loans funded by private investors and publishes typical funding of five to ten business days. Confirm timing for your specific transaction before relying on a closing date.
Prepare your property address, funding request, project scope, desired closing date, and repayment plan for the initial discussion.
Let’s Discuss Your Real Estate Goals
Considering a bridge loan, fix-and-flip loan, private money loan, ADU loan, or commercial hard money loan?
Share your property details with Murkland Hard Money Lenders to discuss financing options.
Call 858-242-2601 or complete our online application to get started.