Everything you need to know about borrowing with Boomerang – from how credit works and funding to draws and the payoff process.
Hard Money Loans FAQs
Getting Started
A hard money loan is short-term, asset-based financing for real estate investors. It’s secured against the value of the property rather than your personal finances. With our financing loan funding moves much faster than with traditional financing options.
We lend to real estate investors, builders, and contractors – not people looking to remodel the home they, or other family members live in If you're financing a property to renovate, rent, or resell, you're in the right place.
You need the purchase contract for the property you want to buy. Send that to one of our loan officers and they can put together a personalized quote. From there, you only need to complete two short online applications: one about you and one about your property.
No, we lend on the value of the property – not your credit score. So a low score or a thin credit file won't hold you back. Talk to one of our loan officers and they can walk through where you stand as an investor.
Boomerang is a short-term lender; our standard loan terms are 6 to 12 months. You pay interest only for the life of the loan, then clear the balance at the end either by selling the property or moving onto long-term financing. There is no pre-payment penalties.
Loan Types
We offer two main types of loan:
1. Acquisition loans
2. Fix and flip loans
An acquisition loan funds the purchase only and bridges the gap between the purchase and long-term financing. A fix and flip loan covers the purchase and the renovation together, releasing the renovation funds in stages as you go.
Rates depend on the specifics of your deal, including:
- Loan amount
- Value and condition of the property
- Your track record as an investor
Because every project is different, we price each loan individually rather than working off a fixed sheet.
The Loan Process
Reach out to one of our loan officers to get started. You can contact us through the site, catch us at a live event, or come by referral from a wholesaler or another client. Next, send over the purchase contract and they'll prepare a quote on your deal. Once you agree the terms, you’ll need to complete the Borrower Application and Property Application online. We’ll take the reins from there and bring your loan the rest of the way to funding.
We can release your funds in as few as two business days, just as soon as we’ve got the paperwork in order and agreed the deal is a good fit. Because we lend our own money, there's no outside institution holding up the close.
The purchase contract and the two applications are enough to get started. After that, the exact documents depend on your deal. But don’t worry, your loan processor will tell you exactly what you need to provide and when, in step with your funding schedule.
You’ll work with a single loan processor from the first interaction all the way through to funding. As soon as your funding comes through, our servicing team will support you for the life of the loan. If your budget includes renovation funds, our draw team will handle distribution.
Draws
A draw is a release of renovation funds originally set aside in your budget, from your total loan amount, paid out as you complete work on the property. Your scope of work sets the amount available, so as you finish items on the plan, you draw the funds allocated to them.
Fill out our draw form, entering each line item and the total you're requesting. Email it to Letisha at draws@boomerangcapital.com with at least 10 photos that show each finished space clearly, room by room. Keep your invoices and receipts on hand too, in case we asak you to supply them later.
Submit your draw by 2:00 p.m. Arizona time and it goes to the approval team for next-business-day disbursement. Get everything in correctly and your funds should land in the account on file the next day. If you haven't heard back within a day of submitting, follow up. It may mean the request didn't come through.
No. Every draw is a reimbursement, and it lands in one account held in your name or your LLC’s, never with a contractor directly. Boomerang pays back completed work rather than advancing money up front. If you need the funds sent to a different account in your name, update your bank details when you submit.
Every loan you hold with Boomerang needs to be current and in good standing before a draw goes out, even loans under different LLCs or partnerships. If you're covering part of the refurb yourself, pay your share first and we’ll reimburse from there. Your final draw also needs a quick inspection, done from your phone with an app. We’ll walk you through the process if you’re unsure.
Payments
Autopay is the easiest way to pay, and it keeps you clear of late fees. On the first of each month, your interest and any fees you owe come out automatically.
Loan statement goes out on the 25th each month. If that date falls on a weekend, it comes the Friday beforehand instead. Loans on automatic payments also get a text reminder of the scheduled amount before it pulls.
We also have a portal where borrowers can visit to see the status of their loan at anytime.
There are two main reasons. Your first payment after closing can run a little high or low, because title companies often miscalculates the interest due at closing. A draw also shifts the figure, since you only pay interest on the funds disbursed so far – the more you draw, the more your payment grows. If your statement still looks off after that, our loan servicing team can review it with you.
Payoffs
You can submit payoff requests through our payoff portal - payoffs.boomerangcapital.com. Borrowers and title companies both use the same portal, and the instructions are on the page. It's the fastest way to get a payoff moving.
You’ll need to have ready:
- Your name and email address (where the payoff notice goes)
- The borrower or borrowing entity's name
- The property address
- Your Boomerang loan number
- The payoff good-thru date you want the figure calculated to
Title companies should add their company name, and if a borrower's authorization form applies, please attach it.
Text Boomerang on (480) 779-9779 with the property address and borrower name.
A payoff quote takes about 24 to 48 hours. Whoever submitted the request receives it, with the wiring instructions needed to settle the loan. For more information on payoffs, email payoffs@boomerangcapital.com.
States and Properties
For the most part, the process works the same wherever you borrow. Anything state-specific is best answered by a loan officer who works that market.
We fund non-owner-occupied residential property, which means you can't buy a home to live in or live in the property while you renovate it. Single-family homes are our core focus, generally those valued between $150,000–$2,000,000. We don’t fund multi-family developments, commercial projects, or high-end luxury builds.
Insurance
Yes. Property insurance is a condition of every Boomerang loan, because it protects the asset behind your project. A contractor's policy is the most robust option for a renovation or build, while a fire policy is an acceptable, more minimal choice. Whichever you carry, add this mortgage clause to the policy:
BOOMERANG FINANCE SUB-REIT, LLC
c/o Boomerang Capital Partners
ISAOA/ATIMA
P.O. BOX 20130
Mesa, AZ 85277
Only for properties in a flood zone. We run a flood report on everything we fund, so if yours sits in a danger zone, one of our loan officers will let you know before the loan closes. Where it applies, keep the coverage active for the life of the loan.
The steps vary by claim, so it's best to contact Boomerang early and we’ll walk you through the particulars. In general, you file with your insurer, and once the payout comes through, we coordinate the funds before we’ve disbursed to the account on file. The sooner the team knows, the sooner they can guide you.

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