Hard Money Loan Nebraska

Last updated: May 13, 2025

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Our Hard Money Loan program in Nebraska is engineered to provide swift, reliable, and cost-effective capital for 1-4 unit residential investment properties — whether you’re buying, refinancing, or tackling renovations.

Whether your goal is to flip a property in South Omaha or stabilize a duplex in Grand Island for long-term cash flow, we’re here to help finance your strategy and fuel your growth.

Let’s dive into the OfferMarket Hard Money Loan Program designed specifically for investors in the Cornhusker State.

What is a hard money loan?

A hard money loan is a short-term financing option backed by the value of real estate — in this case, a 1-4 unit residential property. Investors across Nebraska use hard money loans to acquire, improve, or refinance properties either to resell at a profit or retain as rentals.

You might hear these loans referred to as "bridge loans" or "fix and flip loans." Whether you're renovating a classic Craftsman in Lincoln or turning around a distressed unit in Bellevue, these terms describe the same fast-moving financing strategy used by real estate professionals.

Hard Money Loan Scenarios

In Nebraska's fast-moving real estate landscape, here are some of the most common scenarios where a hard money loan fits perfectly:

• Purchase and rehab a dated or run-down property — say, a foreclosure in North Platte you want to upgrade without draining your reserves
• Refinance a property acquired with cash before completing rehab — for example, you snapped up a deal in cash to close quickly in Papillion, and now need funds to finish the job
• Refinance an existing loan on a distressed property and complete rehab — maybe your current lender is due but you still have a new roof and HVAC to install
• Purchase a property as-is with no rehab intended — like acquiring an undervalued property in Kearney with plans to resell for a margin
• Refinance a no-rehab cash purchase — if you bought a bargain property in Fremont and want to unlock equity for another deal
• Refinance an existing loan post-renovation — you’ve already completed the rehab in Hastings but need more time to sell or refinance

How it works

Nebraska real estate investors appreciate efficiency, and that's exactly what our hard money loans are built to deliver.

Each loan is composed of two key elements:

• Initial Advance – This portion goes toward the purchase price. It’s sent directly to the title company on settlement day.
• Construction Holdback – This is the portion reserved for renovations. Funds are released as reimbursements through verified draw requests after work is completed.

Whether you're investing in Lincoln's Near South or flipping a single-family home in Scottsbluff, the flexibility of our loan structure helps you optimize leverage and preserve your own cash. You can use both components — or just one — depending on your project’s needs.

Some investors in Nebraska choose only an initial advance to fund their acquisition, managing rehab costs out-of-pocket. Others who buy in cash use just the construction holdback to cover 100% of their rehab budget without tying up liquidity.

Your game plan — whether it's a flip or a BRRRR (buy, rehab, rent, refinance, repeat) — will guide your structure. And remember, many Nebraska investors adjust their exit strategies mid-project depending on shifts in the housing market or their portfolio goals.

For example, a property in downtown Omaha might begin as a BRRRR play, but after rehab, the market could shift in a way that favors a quick sale instead. Alternatively, a would-be flip in Norfolk might become a rental due to cooling resale demand.

That’s why focusing on deals with flexible exit strategies — sell or rent — is a proven best practice that protects your downside.

Who uses hard money loans?

Across the Cornhusker State, we serve two main investor profiles:

• Fix and Flip Investors – Whether you're revitalizing a mid-century bungalow in Lincoln or rehabbing a duplex in Bellevue, hard money loans make it possible to acquire and improve investment properties quickly.
• Buy and Hold Investors (BRRRR Method) – This includes investors who want to build wealth by purchasing, renovating, renting, and refinancing properties across growing markets like Omaha, Grand Island, or Kearney.

(Ask us about our Fix and Rent bundle — a powerful combination of hard money loan and discounted DSCR refinance.)

In Nebraska’s diverse and often fast-moving property market, flexibility is everything. Many successful OfferMarket borrowers use a hybrid approach — flipping some properties and renting others — depending on timing, ROI potential, and market behavior.

Hard Money Loan Program Guidelines

Project Eligibility

Our commitment to Nebraska investors is not just funding — it’s partnership. We aim to protect your success and minimize your exposure to financial risk.

Our historic loan default rate is below 0.5%, thanks to rigorous underwriting and a relationship-driven lending model. We’re proud of that record, and we’re just as committed to helping you build a strong foundation in Nebraska’s real estate market.

If you're just getting started — say you're new to flips in Omaha or a first-time landlord in Columbus — you might be tempted to take on an ambitious renovation. But extensive rehabs without the experience to match can derail projects due to cost overruns, construction delays, and market volatility.

That’s why we evaluate each deal not just as lenders, but as your capital advisor and risk strategist. By establishing clearly defined rehab scopes and borrower tiers, we make sure your projects — whether a cosmetic upgrade in Lincoln or a major overhaul in Beatrice — are both achievable and profitable.

Let’s look at how we define our lending criteria based on scope and experience.

Initial Advance

Your initial advance — the amount we provide toward your property purchase — is calculated based on your track record and the deal specifics. In Nebraska, whether you're picking up a property in Omaha’s Blackstone District or tackling a small-town flip in York, here’s how we determine it:

We evaluate:

• How many investment properties you’ve owned in the past 24 months

• The number of completed, comparable rehab projects over the last 5 years

A credit score of 680 is the minimum, but we prefer guarantors with 720+ for optimal leverage. If you're a Realtor, General Contractor, or Professional Engineer operating in Nebraska, you may qualify for enhanced terms thanks to your professional background.

If you’ve agreed to a purchase price that exceeds our appraised or internally determined "As Is" value, we base the initial advance on the lower “As Is” value, not your contract price.

Your intended exit strategy also affects the advance:

• If you're planning to sell the property, we expect a projected 30%+ gross margin and a $15,000+ profit

• If you're refinancing into a DSCR loan, we require a post-repair DSCR of 1.1 or higher

In rural parts of Nebraska — such as towns designated rural by federal guidelines — your initial advance may be capped, and we require at least 3 completed rehab projects to qualify.

Experience-Based Tiers

Initial Advance by Tier

(*85% may be available for borrowers in Tier 1 with outstanding credit and verified liquidity.)

Adjustments to Initial Advance

Whether you’re rehabbing a historic single-family home in Nebraska City or bringing a distressed property in Alliance back to life, these adjustment factors help ensure your loan structure is tailored to your unique deal profile and experience.

Rehab Scope Classification

Every real estate project in Nebraska is different — a light cosmetic refresh in Lincoln’s Highlands neighborhood isn’t the same as an extensive overhaul of a vintage duplex in downtown Omaha. To help set expectations and protect your success, we use a structured system to classify rehab scopes:

A “lopsided deal” — where the As Is value or purchase price is lower than the rehab budget — falls into the Extensive category and is subject to specific LTFC limits, as detailed later.

Rehab scope eligibility

Your rehab scope eligibility is based on your experience tier and your rehab scope classification. In line with our focus on proper risk management, we advise our clients to focus on projects with lower rehab scopes, commonly referred to in the industry as “cosmetic” rehabs that can be completed quickly.

LTARV Limits

Your maximum loan-to-after-repair value (LTARV or ARLTV) is based on your experience tier and the rehab scope classification.

LTFC Limits

LTFC or “Loan-to-Full-Cost” is imposed on rehab scopes classified as Extensive which means the rehab budget is greater than the purchase price or As Is value of the subject property. An LTFC of 85% means the lender funds 85% of the project cost (purchase price + rehab budget), and the borrower covers the remaining 15% of the project cost. This ensures the borrower has skin in the game in projects with higher execution risk.

Example: No Experience

Example: No Experience, Excellent Credit

Example: 5 Experience

Refinance using As Is value instead of Cost Basis for Initial Advance

Our standard underwriting approach involves lending within your cost basis—that is, the total of the purchase price and sunk costs incurred. This methodology ensures that the borrower maintains equity in the transaction (“skin in the game”).

For refinance scenarios where you have a seasoned property that is worth more (As Is value) than cost basis (purchase price + capital expenditures), and you are looking to obtain leverage against the As Is value and conduct renovation, OfferMarket will carefully analyze the request and require the following:

• Property must be habitable (≥ C4 condition)/must not be in state of disrepair

• Property must be 3+ years seasoned

• Payoff statement from previous lender should not have default interest charges, extension fees or late fees

• Credit score 680+

• Experience Tier: 3 or higher (minimum of 4 similar verifiable rehab projects)

• Strong support for as is value > cost basis (sale comps in neighborhood support market value)

• Supportive scenario (i.e. property was rented out for 3 years, tenants vacated, now needs renovation to be listed for sale)

Transactions involving wholesalers, price run-ups

If the transaction involves a wholesaler, then the entire assignment fee or double-close price run up can be included in the value basis as long as the price run up is not more than 20% of the purchase price between the wholesaler and the seller (owner of record). You will be responsible for any additional component of the price run-up above this limit.

For example:

Wholesaler transaction guidelines:

• OfferMarket can include the assignment fee or double-close price run-up in your cost basis for your initial advance, up to 20% of A-B purchase price

• OfferMarket may decide to not allow the assignment fee or double close price run-up to be financed if the property was listed on the MLS

• OfferMarket requires full chain of contracts/assignments (A-B, B-C) and wholesaler’s operating agreement

• OfferMarket will not finance finders fees or referral fees

• Must be arm’s length transaction

Construction Holdback

The construction holdback component of your loan is provided via draw request and reimbursement for verified progress against your scope of work. Learn more about Draw Processing.

If you have sufficient liquidity to float the rehab with your own capital and you do not want a construction holdback component of your loan, you can elect to have no construction holdback.

Note that if your total loan amount is $100,000 or higher, then you will not be charged interest on undrawn construction holdback funds (see “As Disbursed” interest accrual).

Appraisal and In-house valuation

A valuation is required for all OfferMarket hard money loans. Depending on scenario, we will require a 3rd party interior appraisal, 3rd party exterior appraisal or in-house valuation.

In-house valuation

For borrowers that meet the above criteria, OfferMarket reserves the right to require an interior appraisal or exterior appraisal per the below sections at its sole discretion.

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Exterior appraisal

Exterior appraisals are acceptable in the following scenarios:

• REO sale

• Foreclosure auction

• Sheriff’s sale

• Online auction

• Bankruptcy sale

Exterior appraisal must be dated within 120 days of settlement date. If 120 but less than 180 days, then recertification of exterior appraisal is required.

Interior appraisal

Any scenario not mentioned in the above ‘Exterior appraisal’ or ‘In-house valuation’ sections will require a full interior appraisal:

Unless in the case of appraisal transfer (see below), OfferMarket will be responsible for ordering the appraisal via appraisal management company (AMC). You will be responsible for completing the AMC’s invoice. Loan requests with unpaid appraisal invoice will be moved to HOLD status until invoice is paid.

Appraisal transfer

Appraisals not ordered by OfferMarket are eligible to be transferred to OfferMarket so long as the following conditions are met:

• Appraisal was ordered via an approved appraisal management company

• Appraisal is less than 180 days old at closing of our loan

• Appraisal is re-certified if 120 to 179 days old at closing of our loan

• Transferring lender has provided OfferMarket with:

  • Signed transfer letter including the following certification:
    "Lender certifies that the Appraisal was ordered and processed in compliance with the Appraiser Independence Requirements (AIR)."

  • Appraisal report (pdf)

  • Appraisal report (xml)

  • Appraisal invoice showing the appraisal has been paid for

Scenario: Stabilized Hard Money Loan

If the subject property has no deferred maintenance with an appraisal condition rating of C4 or better, then we will appraise the property on an As Is basis and fund up to 75% of the As Is value. This scenario is referred to as “stabilized” because the property is stabilized and ready for rent or sale.

Key Loan Details

Extensions

Hard money loans are intended to be short-term: 12 to 24 months where most loans are paid off well within 12 months. Extending your hard money loan is not ideal and should be avoided as a matter of best practice because extensions incur fees, additional interest, and place you at risk of foreclosure if the loan is not paid off after the extension limit is reached.

To avoid extending your hard money loan, it’s important to focus on avoiding the following:

• General contractors with limited experience and references

• Aggressive rehab scope relative to experience and liquidity

• Markets with slow zoning and permitting

• Scenarios where you do not have immediate access to the property (i.e. inherit a tenant with remaining lease term, or holdover requiring eviction)

• Scenarios where there is not a dual exit strategy to sell or refinance

Controlling for the above factors will dramatically reduce the risk that your project is delayed and needs to be extended.

Extension Limits

Extension Terms and Fees

Extension fees will be added to your payoff statement per the following fee schedule:

Extension Prerequisites

In order to extend your loan, you will need to confirm that your builders risk insurance policy is in effect for the duration of the extension period.

Ineligible Property Types

The following property types are not eligible for funding in this program:

• Mixed use

• 5+ unit multifamily

• Condotels

• Co-ops

• Mobile/manufactured housing

• Commercial properties

• Cabins/Log homes

• Properties with oil/gas leases

• Operating farms, ranches, orchards

• Vacation/seasonal rentals

• Unique/exotic/luxury properties

• Unpaved or dirt roads

Exception scenarios

• 660 - 679 guarantor credit score

• Leasehold (ground rent)

• Single family property 500 to 699 SqFt

• 2-4 unit property with one or more unit 400 to 499 SqFt

• Funding initial advance based on As Is value that is higher than Cost Basis

• Non-arms length transactions

• Financed interest payments

Borrower and Guarantor Requirements

Liquidity verification

To ensure a safe amount of liquidity, we verify that the guarantor(s) have a minimum of estimated cash to close + 25% of your rehab budget in liquid assets controlled by one or more guarantor.

Eligible liquid assets:

• Bank account(s) in personal name

• Bank account(s) in borrowing entity name

• Bank account(s) in other business entity name (need to verify operating agreement)

• Brokerage account(s) in personal name

• Brokerage account(s) in borrowing entity name

• Brokerage account(s) in other business entity name (need to verify operating agreement)

• Retirement account(s) in personal name (50% reduction applied due to restricted nature of account)

Important information:

• You do not need to have a business bank account, though this is recommended as a best practice for accounting and risk management.

• Aside from the cash due from borrower (cash to close) which will be confirmed on your settlement statement and wired by you to the title company or real estate attorney facilitating the closing, you do not need to move funds from your verified accounts.

Credit and Background Items

• If 3 credit scores are returned on trimerge report, we use the middle score (2nd highest).

• If 2 credit scores are returned on trimerge report, we use the lowest score.

• If no mortgage tradelines (credit report or private loan verification of mortgages), we require 6 months of interest reserves.

• If less than 5 tradelines on credit report, we require 6 months of interest reserves.

• If bankruptcy on background, discharge date must be greater than 4 years from our settlement date.

• If foreclosure on background, completion date must be greater than 4 years from our settlement date.

• If bankruptcy or foreclosure between 4 years and 7 years from settlement date, we will require a minimum of 3 months of interest reserves.

• If late mortgage payments in past 12 months, we will require LOE and may not be eligible subject to loan committee discretion.

• If past due balances on mortgage and non-mortgage tradelines (i.e. HELOC, HELOAN, credit card) must be paid in full prior to funding.

• If involuntary liens or judgements on background (i.e. tax lien, child support) must be paid in full prior to funding.

• If pending civil lawsuits, LOE required and subject to loan committee discretion.

• If pending criminal lawsuits, not eligible for funding.

• If financial crime on background, not eligible for funding.

• If serious crime on background, not eligible for funding.

• If repeat crime on background, LOE required and subject to loan committee discretion.

Interest Reserves

Interest reserves refer to interest payments collected on the settlement statement and held in servicing escrow. Interest reserves, if applicable to your loan, are applied to your accrued interest and drawn down before you start making your monthly interest payment from your bank account.

Financed Interest Payments

To protect your liquidity and avoid compromising your credit score due to excessive usage of credit cards during your rehab, you may be eligible for financed interest payments. This means that, instead of making monthly interest payments, your interest will be added to your payoff statement.

For example:

Property Sourcing Guidelines

Key Points:

• New market transactions require a General Contractor agreement or Letter of Explanation for why a GC is not required.

• Properties with previous sale price increases, wholesale deals, and non‑arms length transactions require additional documentation and review.

• For condos, conversions, and projects requiring significant renovation, architect or engineer letters (or permits) are required.

• All submissions should include purchase contracts, settlement statements, payoff letters (if applicable), track record, and necessary formation documents.

Insurance Guidelines for Hard Money Loans

It’s critical to insure your physical property including the dwelling from the risk of damage and loss, and insure yourself and your company from liability in the event of accident at the subject property. Hard money loan insurance is commonly referred to as Builders Risk insurance or Fix and Flip insurance and it’s a specialized bundle of coverages for properties under construction, in poor condition, and/or vacant.

Coverages and Limits

Coverage Details

💡 Pro tip: As soon as you take ownership of the property, install smoke detectors and locks and security cameras to comply with insurance policy requirements. This will help you avoid claims that are denied.

Frequently Asked Questions

What states does OfferMarket fund hard money loans?

OfferMarket provides hard money financing in nearly every U.S. state — including Nebraska. Whether you're investing in Omaha, Lincoln, Bellevue, or Grand Island, you're covered. Here's the complete list:

Arizona*
Alabama
Arkansas
California
Colorado
Connecticut
Delaware
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Mississippi
Missouri
Minnesota*
Montana
Nebraska
Nevada*
New Hampshire
New Jersey
New Mexico
New York
North Carolina
North Dakota*
Ohio
Oklahoma
Oregon
Pennsylvania
Rhode Island
South Carolina
South Dakota*
Tennessee
Texas
Utah
Vermont*
Virginia
Washington
Washington DC
West Virginia
Wisconsin
Wyoming

* In states with licensing requirements for business-purpose loans or where we don’t lend directly, OfferMarket operates as a capital referral service and connects you to a licensed lender.

Can I do more than one hard money loan at a time?

Yes, you absolutely can. It’s actually very common among Nebraska investors to have multiple loans open simultaneously — for example, working on a BRRRR in Lincoln while flipping a property in Papillion. However, our primary mission is to help you grow safely. If we believe your liquidity or your current project load could become a risk, we'll step in to discuss and help you manage exposure responsibly.

Are hard money loans commercial?

Yes. Hard money loans are categorized as “business purpose” loans because they’re extended to your business entity, such as an LLC or corporation. This makes them commercial in nature, even though the underlying property may be residential.

What is the minimum loan amount?

The minimum loan amount we offer is $25,000 — perfect for entry-level deals or smaller towns in Nebraska where real estate values are more affordable and margins can still be strong.

Which property types are eligible?

We provide financing for non-owner occupied residential properties between 1 and 4 units. That includes:

• Single-family homes

• Townhomes

• Duplexes, triplexes, and quadplexes

• Warrantable condominiums

Note: While we have other loan programs for larger or mixed-use buildings, this particular program does not support:

• 2–4 unit mixed-use

• 5–9 unit multifamily or mixed-use

• 10+ unit properties

• Retail, office, or industrial assets

How do you calculate Loan-to-Value (LTV)?

For hard money loans, we primarily use Loan-to-After-Repair Value (LTARV). This is the total loan amount (purchase advance + construction holdback) divided by the projected value after renovations.

We also use Loan-to-Value (LTV) for certain refinance scenarios, where we compare the loan amount to the property's current “As Is” value. Importantly, our initial advance is based on the lower of:

• Your purchase contract price

• Or the As Is valuation (if it’s a refinance or our appraisal comes in lower)

What are the credit requirements?

We require a minimum FICO score of 680 for each guarantor. Applicants with scores in the 660–679 range may be considered on a case-by-case basis. We look only at the personal credit of those who are actually guaranteeing the loan — not passive LLC members.

What are the experience requirements?

There’s no minimum experience requirement to qualify. Whether you're buying your first fixer-upper in Nebraska City or have completed 20 flips across the state, we’ll work with you.

However, your level of experience impacts your loan terms:

• More experience = higher leverage

• Less experience = more conservative loan structure

Our tier system (1–5) is based on the number of similar, verifiable projects you’ve completed. This ensures we tailor the loan structure to match your capacity and minimize execution risk.

Does being a wholesaler count toward experience?

No. Being a wholesaler in a past deal doesn't count toward your experience tier. Our system only counts projects where you were financially responsible for completing the renovation — not just flipping a contract.

What documentation is required?

Our Loan File system is designed to make it easy to complete processing items and expedite loan approval and funding. Documentation that can be used for future transactions will be securely stored in your OfferMarket account to expedite future loan applications.

Purchase Transaction Requirements

Refinance Transaction Requirements

Are there special requirements for loans over $1M?

Yes. For loans above $1,000,000, the following guidelines apply:

Glossary of Key Terms

Instant Hard Money Loan Quote

Our private lending division, OfferMarket Capital LLC, is a trusted and experienced private lender specializing in hard money loans and DSCR loans for 1-4 unit residential investment properties across Nebraska and beyond.

Our mission is to help you grow your real estate portfolio, build long-term wealth, and reach your investing goals — faster.

Thousands of real estate investors use OfferMarket every month. When you join, you gain access to:

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