Private Money for Central California Real Estate

Karpe Real Estate Center is based in Bakersfield, Kern County, California. We have been funding and servicing private money (hard money) mortgage loans secured by real estate since 1926. As a direct private money (hard money) lending company, we specialize in a variety of lending solutions.

  • Residential, Multifamily, Commercial Properties
  • Purchase, Rate and Term Refinance, Cash Out Refinance
  • Rehab Fix & Flip or Hold
  • Ground-Up Construction
  • Owner-Occupied Homes

While investment/business purpose loans are preferred, we can offer owner occupied loans on Single Family Residential properties.

Our rates are competitive with other private money lenders in the Central Valley, and we can offer quick close scenarios.  There are no due diligence or upfront fees, and we provide same day approval. We separate ourselves from the competition through our knowledge and experience of the private money loan process, and the unique problems presenting themselves in all forms of real estate.

Please Note: We do NOT offer loans for agricultural or cannabis-use properties.

Property Geographic Area Details
Central California - Bakersfield, Fresno, Central Valley, Stockton, Sacramento
Loan Amounts
$30,000 to $2,000,000
Interest Rates
10.50% to 15.00%
Loan Terms
6 months to 60 months
Origination Fees
2% to 10%
Lien Position
1st
What we do:
Central California Only
Rehab Fix & Flip or Hold
Ground-Up Construction
Owner Occupied Homes
Seller Financing Allowed up to 90% CLTV
What we don’t consider:
100% Financing
Agricultural Properties
Cannabis-Use Properties
Land, except with additional collateral
Credit Check Required

no

Prepayment Penalty

yes

Typically 3 months at 1% of the loan amount
Typical Closing Time (Days)

14

Maximum Leverage

Purchase Short-Term (no Value-Add)
Max LTP Residential: 70%
Max LTP Multifamily: 70%
Max LTP Commercial: 70%
Max LTP Land: 50%
Max CLTP Mezzanine: 70%
Max CLTP Pref Equity: 70%
Purchase Long-Term
Max LTP Residential: 70%
Max LTP Multifamily: 70%
Max LTP Commercial: 70%
Refinance Short-Term (no Cash Out)
Max LTV 1st Lien Residential: 70%
Max LTV 1st Lien Multifamily: 70%
Max LTV 1st Lien Commercial: 70%
Max LTV 1st Lien Land: 50%
Refinance & Cash Out Short-Term
Max LTV 1st Lien Residential: 65%
Max LTV 1st Lien Multifamily: 65%
Max LTV 1st Lien Commercial: 65%
Max LTV 1st Lien Land: 40%
Refinance Long-Term
Max LTV Residential: 70%
Max LTV Multifamily: 70%
Max LTP Commercial: 70%
Residential Fix & Flip
Max LTP: 70%
Max LTC: 80%
Max LTARV: 65%
Residential Rehab & Hold
Max LTP: 70%
Max LTC: 80%
Max LTARV: 65%
Multifamily Value-Add
Max LTP: 70%
Max LTC: 80%
Max LTARV: 65%
Commercial Value-Add
Max LTP: 70%
Max LTC: 80%
Max LTARV: 65%
Residential Construction
Max LTC: 80%
Max LTCV: 65%
Multifamily Construction
Max LTC: 80%
Max LTCV: 65%
Commercial Construction

Property Types

  • 2-4 Units Residential
  • Auto Dealership
  • Auto Repair
  • Car Wash
  • Commercial Condominium
  • Condominium
  • Gas Station
  • Gym
  • Industrial
  • Manufactured Home
  • Mixed-Use
  • Mobile Home
  • Motel
  • Multifamily
  • Office
  • Portfolio of Commercial Properties
  • Portfolio of Residential Properties
  • Residential Land
  • Retail
  • Single Family Residence
  • Storage Facility
  • Student Housing

Loan Types

  • Private Money
  • Hard Money
  • Residential Bridge
  • Residential Fix and Flip
  • Residential Rehab and Rent
  • Residential Ground-Up Construction
  • Residential Long-Term Rental
  • Residential Owner-Occupied
  • Commercial Bridge
  • Commercial Property Value Add
  • Commercial Ground-Up Construction

Specialty Loan Types

  • Commercial Permanent Financing
  • Note Purchase
  • Partner Buyout
  • Primary Residence Business Purpose Cash Out
  • Residential Long-Term Rental
  • Residential Non-Prime
  • Residential Short-Term Rental
  • Reverse 1031 Exchange
  • Vacation Rental
Borrower must have the property under contract. We allow subordinate financing (seller financing or gap funding in 2nd position), but the Loan To Value percentage is subject to change. Borrower must contribute at least 10% cash. Wrap Loans, where additional collateral is used to maximize loan amount, is allowable. 2nd property is preferably free and clear, however properties with at least 40% equity are considered. 6 month to 60 month loans available. Interest only or amortized over 30 years. Interest only max 36 months. 3 month prepay penalty of 1% of the loan amount. Personal Guaranty required. Impounds may be required. Formal appraisal may not be required.

Max Loan-to-Purchase Price

70%

Borrower Must Have Property Under Contract

yes

Will Provide Proof of Funds Letter

yes

Will Consider Lending on Purchase from Auction

no

Allowed Source of Borrower’s Equity

  • Own Cash
  • Partner
  • Equity in Subject Property
  • Equity in Another Investment Property
  • Equity in Primary Residence
  • Seller Financing
  • Gap Lender
  • Crowdfunding
  • Family
We will consider all rehab projects. Appraisal is required. 3rd party funds control is required. Interest is charged on the whole loan, not draw amount. Lender may finance the full renovation cost dependent on LTARV, work breakdown, and cost. 30% down payment on purchaser price is required at the start of the project. 1 year interest only terms. Course of Construction Insurance required. Personal Guaranty Required. Taxes and Insurance will be paid for the term at close of escrow. No prepayment penalty.

Experience Required

yes

Minimum Number of Value-Add Projects Completed by Borrower

1

Will Provide Funds for Renovation Costs

yes

Max LTC for Renovation Costs

80%

Interest Charged for Renovation Costs

Entire Amount of Total Project Costs

Typical Number of Days for Funds Draw

6

Maximum After Repair Value

65%
Vertical only. We do not fund the land purchase, and Land must be free and clear at close of escrow. Appraisal and 3rd party funds control required. Course of construction insurance required. 1 year interest only terms required. Interest is charged on the whole loan, not draw amount. Lender may finance the full construction cost dependent on LTARV, work breakdown, and cost. Personal Guaranty required. Taxes and Insurance paid for the term at close of escrow. Additional point added to fees for management of draws.

Development Experience Required

yes

Minimum Number of Ground-Up Construction Projects Completed by Borrower

9

Max LTC for Ground-Up Construction Costs

80%

Interest Charged for Construction Costs

Entire Amount of Total Project Costs

Will Lend on Partially Completed Construction Projects

no
1-4 Unit Single Family, or 5+ unit multifamily. 6 month to 60 month terms. Amortized over 30 years or interest only. Interest only loans with a max of 36 months. Appraisal not required on some loans. Impounds on Taxes and Insurance required. 3 month prepay penalty of 1% of the loan amount. Personal Guaranty Required.

Minimum Loan Amount

$30,000

Maximum Loan Amount

$2,000,000

Minimum Interest Rate

10.50%

Maximum Interest Rate

15.00%

Minimum Origination Fee

2%

Maximum Origination Fee

10%

Minimum Loan Term

6 months

Maximum Loan Term

60 months

Maximum Loan-To-Value

70%

Maximum Loan-To-Purchase

70%

Seasoning Time

1 months

Minimum Debt Service Coverage Ratio

1.00

Maximum Debt-to-Income Ratio

50%

Minimum Credit Score

600

Will Lend on a Portfolio of Properties

Yes

Minimum Number of Properties

1

Maximum Number of Properties

10

Minimum Property Value

$30,000

Maximum Property Value

$5,000,000
5+ unit multifamily. 6 month to 60 month terms. Amortized over 30 years or interest only. Interest only loans with a max of 36 months. Appraisal not required on some loans. Impounds on Taxes and Insurance on case by case basis. 3 month prepay penalty of 1% of the loan amount. Personal Guaranty Required.

Minimum Loan Amount

$30,000

Maximum Loan Amount

$2,000,000

Minimum Interest Rate

10.50%

Maximum Interest Rate

15.00%

Minimum Origination Fee

2%

Maximum Origination Fee

10%

Minimum Loan Term

6 months

Maximum Loan Term

60 months

Seasoning Time

1 months

Minimum Debt Service Coverage Ratio

1.00

Minimum Credit Score

600

Maximum Number of Units

20
6 month to 60 month terms. Amortized over 30 years or interest only. Interest only loans with a max of 36 months. Appraisal not required on some loans. Impounds on Taxes and Insurance on case by case basis. 3 month prepay penalty of 1% of the loan amount. Personal Guaranty Required.

Minimum Loan Amount

$30,000

Maximum Loan Amount

$2,000,000

Minimum Interest Rate

10.50%

Maximum Interest Rate

15.00%

Minimum Origination Fee

2%

Maximum Origination Fee

10%

Minimum Loan Term

6 months

Maximum Loan Term

60 months

Seasoning Time

1 months

Minimum Debt Service Coverage Ratio

1.00

Minimum Credit Score

600

Maximum Number of Units

10

Will lend on owner-user properties

Yes

Appraisal Fee

If Appraisal Required

Renovation Construction Draw Fee

$Set by 3rd Party Funds Control

Minimum Origination Fee Amount

$2,000

Other Fee

Full list of fees available upon request. Some fees may not be listed here.

Fees which are mandatory for all new borrower clients

  • Underwriting Fee
  • Multi-Purpose Lender Fee
  • Processing Fee
  • Funding Fee
  • Settlement Fee
  • Appraisal Fee
  • Inspection Fee
  • Escrow Fee
  • Title Fee
  • Credit Report Fee
  • Extension Fee
  • Renewal Fee
  • Renovation or Construction Funds Draw Fee
  • Other Fee

Fees which are paid to a third party company

  • Documents Fee
  • Appraisal Fee
  • Inspection Fee

Details and Requirements

Fastest Closing Time (Days)

5

Payment Structure
  • Interest Only
  • Amortized
  • Interest Reserve
Will lend to a foreign national

yes

Must have an ITIN number
Will Allow Junior Position Mortgage(s) Behind Our Senior Mortgage

yes

Will Consider Collateralizing Multiple Properties in One Loan

yes

Will Consider Equity Joint Venture

no

Borrower Entity Types Considered
  • Individual(s)
  • LLC
  • Limited Partnership
  • Trust
  • Corporation
  • Non-Profit Corporation
  • Self-Directed IRA
Documentation Required
  • Credit Report
  • Tax Returns
  • Bank Statements
  • Financial Statements
  • Loan Application
Personal Guaranty (Recourse) Required
Always
Appraisal Required for Residential Property

Sometimes

Appraisal Required for Commercial Property

Sometimes

Broker Price Opinion (BPO) Accepted for Residential Property

Sometimes

Broker Price Opinion (BPO) Accepted for Commercial Property

Sometimes

Collateral Types
  • Residential Property
  • Commercial Property
Loan Purpose
  • Investment Acquisition
  • Investment Refinance
  • Improve Subject Property
  • Use Equity to Invest in Another Property
  • Invest in a Business
  • Business Working Capital
  • Value Add Project
  • Development Project
  • Primary Residence Purchase
  • Personal Use
Property Occupancy
  • Vacant
  • Tenant Occupied 100%
  • Tenant Occupied Partial
  • Owner Occupied Commercial
Legal Disclaimer

All deals considered on a case by case basis.  Above terms are not a commitment to lend.  Final determination and deal approval made by underlying lenders and trustee.   Investments in trust deeds secured by one or more interests in real property are subject to risk of loss.

Contact Karpe Real Estate Center

Karpe Real Estate Center pays us to be listed, so there is no fee to connect with them directly.

Stay Informed About Private Lending

Receive our monthly newsletters with valuable insights and industry updates

Founded in 1926, Karpe Real Estate was one of the first home building companies in Kern County, located in the Central Valley of California.  Through the years, Karpe has modernized and now offers a multitude of real estate services but mainly focuses on Private Money Lending.  Acting as trustee, we service approximately $100,000,000 worth of investments, and have a stable of reliable investors.  We are a full service company, originating the loan, servicing the loan, and closing loans on the backend when they are paid off.  Borrowers deal with our staff directly, and we can guide them through the private money loan process.

When Banks Say No, We Say YES!

License

CA DRE Broker Lic. 00179232, NMLS ID 314712

Company Size (Number of Employees)

20

Year Established

1926

Office Locations

Karpe Real Estate
8501 Camino Media, Suite 400, Bakersfield , California 93311

Primary Capital Source
  • Individual Investors
Loan Structure for Majority of Loans
  • One Investor One Loan
  • Multiple Investor Fractionalized Note
Percentage of Loans Secured by Commercial Property

30%

Percentage of Loans Secured by Residential Property

70%

Total Number of Loans Funded to Date

4,000

Total Loan Volume Funded to Date

$100,000,000

Our Team

Stephen Hale

Broker-Associate

CA DRE Broker Lic. - 01997969
NMLS ID - 1931643

Contact Karpe Real Estate Center

Karpe Real Estate Center pays us to be listed, so there is no fee to connect with them directly.

Stay Informed About Private Lending

Receive our monthly newsletters with valuable insights and industry updates
subscribe-illustration
BEFORE YOU CONTACT THIS LENDER

Our Minimum Loan Amount Is

$30,000

What we do:
Central California Only
Rehab Fix & Flip or Hold
Ground-Up Construction
Owner Occupied Homes
Seller Financing Allowed up to 90% CLTV
What we don’t consider:
100% Financing
Agricultural Properties
Cannabis-Use Properties
Land, except with additional collateral

Contact Karpe Real Estate Center

Karpe Real Estate Center pays us to be listed, so there is no fee to connect with them directly.

Create a Loan Request

Be more efficient with your lender search. Provide the loan details once, save it, and then share it with multiple lenders.

Send an email to Karpe Real Estate Center