Hard Money Lenders in Bloomington, IN | Capital Kings LLC
Capital Kings LLC · Non-QM Mortgage Broker

Hard Money Lenders inBloomington, Indiana

Fix and flip, DSCR rental and new construction financing for Bloomington investors. We do not lend our own money, we shop your deal across a 400+ lender network and come back with real terms you can compare on total cost.

Get a term sheet →Price a Bloomington deal

Prefer to talk it through? Call or text Micah at (281) 636-5682.

Reviewed by Micah Foster, Founder & CEO, October 2026

Price a Bloomington deal right now

Prefilled with a realistic Bloomington deal. Change any number and it reprices on the programs that lend in Indiana, with the same math as our term sheets.

Sizing your flip on the same terms as the term sheet. Get a real term sheet →

Financing a deal in Bloomington

Bloomington is an Indiana University town in limestone country, and it prices like a college town, well above the rest of southern Indiana. The flippable houses are the 1920s to 1950s cottages, bungalows and small Tudors in the neighborhoods around downtown, Prospect Hill, McDoel Gardens, Bryan Park and Elm Heights. Many carry local limestone in their foundations or trim. Demand comes from faculty, IU Health staff and families who want to be close to campus without living next to a student rental.

Bloomington moves slowly for a college town. Houses take a couple of months to sell and prices dipped from a year earlier, so carry costs and timing matter more here than the low inventory suggests. The other big factor is the rental market: a large share of houses near campus are student rentals, and an owner-occupant buyer will pay more for a house on a block that isn’t dominated by them. Pick the street as carefully as the house.

What a Bloomington deal looks like on paper

Bloomington example: $210,000 purchase, $55,000 rehab, $370,000 after repair value, 700 credit, first flip. The engine puts that borrower on the First Flip, 10% Down program at 9.99%. For example, a 1940s limestone-trimmed cottage near Bryan Park in 47403 with two small bedrooms, an unfinished attic, an aging furnace and a kitchen that needs to be gutted. Every number below is what the instant term sheet prints for that deal, so the picture cannot contradict the page.

Loan amount$238,500
Cash to close$44,078
Proof of funds to show$70,841
Where the $44,078 goes
  • Down payment (10% of purchase plus rehab)You$26,500
  • Origination (2.13%)Lender$5,068
  • Lender fees (flat)Lender$2,790
  • Broker fee (1%)Broker$2,385
  • Title and closing (estimate at Texas rates)Title$3,514
  • Prepaid interest (15 days)Lender$753
  • Property insuranceInsurer$2,518
  • AppraisalAppraiser$550

Interest while you rehab: $1,528 a month on the $183,500 funded at closing, $1,986 once every draw is out. Proof of funds is cash to close plus $14,850 of rehab reserve and $11,913 of interest reserve. Sample borrower, sample address; the sheet is issued by the same engine as the borrower’s instant term sheet.

Fix and flip programs in Bloomington

Swipe the table for rates, credit and terms →

ProgramDown paymentMin creditExperienceRateOriginationMax loanTermClose
First Flip, 10% Down110% of purchase + rehab660+First flip OK9.99%2%75% of ARV12 months21-30 days
7.5% Down, 3+ Flips27.5% of purchase + rehab660+3+ completed flips9.99%1.5%75% of ARV12 months21-30 days
5% Down, 5+ Flips35% of purchase660+5+ completed flips9.99% to 10.99%2%75% of ARV9-24 months10-14 days
100% Financing, 2+ Flips40% (100% financing)620+2+ completed flips9.50% to 12.00%2.5%70% of ARV9 months7-14 days
Fastest Close (3 days)10% of purchaseNo minimumFirst flip OK11.99%2%75% of ARV6 months72 hours
  1. Rate 9.99% with 2% to 2.25% origination by credit; more origination buys the rate down as far as 8.99%. Loans under $150,000 add 0.5% to the rate and 0.5% to the origination, under $100,000 1.5% and 1%. Under 680 credit the loan caps at 87.5% of cost. Standard interest, charged only on funds drawn. The loan is capped at a share of purchase plus rehab, the full rehab held back for draws, and the ARV must be at least 1.25 times purchase plus rehab. Processing $500, legal $1,495 and underwriting $795.
  2. Rate 9.99% with 1.5% to 1.75% origination by credit; more origination buys the rate down as far as 8.99%. Loans under $150,000 add 0.5% to the rate and 0.5% to the origination, under $100,000 1.5% and 1%. Under 680 credit the loan caps at 90% of cost. Standard interest, charged only on funds drawn. The loan is capped at a share of purchase plus rehab, the full rehab held back for draws, and the ARV must be at least 1.25 times purchase plus rehab. Processing $500, legal $1,495 and underwriting $795.
  3. Rate is set per file from 9.99%; origination about 2% plus a $995 processing fee.
  4. Needs 2 completed flips in the last two years and about $75,000 in verified liquidity. Rate 9.5% to 12% with 2% to 3% origination, set per file. Purchase plus rehab must fit under 70% of ARV.

Origination has a $2,000 minimum on most programs (a few lenders set a higher one, noted above) and our broker fee is 1% with a $2,000 minimum and a $10,000 maximum. These are the numbers our term sheets use as of October 2026. Strong credit, cash and a track record can price lower through specific lenders in the network.

Where Bloomington prices sit right now

Before we price a Bloomington flip, we look at where sales in the city sit today. Your block can run well above or below these numbers, so treat them as the starting point, not the answer.

Redfin puts the Bloomington median sale price at $320K for the three months ending September 2026, down 4.5% from a year earlier, with homes selling in about 73 days, the same as a year ago.

Median sale price, Bloomington (Redfin, 3 months to Sep 2026)$320K
Change from a year earlier (Redfin)-4.5%
Days on market, Bloomington (Redfin)73

Sources: Redfin, Bloomington housing market

How a Bloomington file actually gets priced

Monroe County appraisers have a smaller pool of sales to work with, so a few comps carry a lot of weight. We set the after repair value off renovated owner-occupied sales in the same neighborhood, and we separate them from investor sales of student rentals, which trade on rent rather than finish. Bedroom count matters for both exits, but a bedroom added without permits won’t count. Comps from Ellettsville or the county outside city limits price differently and rarely belong in the file.

Monroe County sits on karst, limestone bedrock riddled with sinkholes and underground drainage, so check for settling, cracked footings and water entering the basement. The city requires a rental occupancy permit and inspection from its Housing and Neighborhood Development department, and zoning limits how many unrelated adults can share a house in most residential districts, which caps student rental income. Prospect Hill and McDoel Gardens are local historic districts with exterior review. Building permits go through the Monroe County Building Department.

Who buys your finished Bloomington deal

The finished Bloomington house sells to IU faculty and staff, IU Health and Cook Medical employees, retirees moving back to a college town and young families. They want updated systems, a usable second bath and character kept intact. If the resale stalls, a near-campus house can rent, but the occupancy limits and permit rules set the ceiling on that income. Run the DSCR math with the legal occupancy, not the number of beds you could fit.

What happens after you apply

Apply once and the whole Bloomington loan lives in the borrower portal: the term sheet you can accept and sign in the browser, where the loan stands, one place for documents, and the list of what the lender is still waiting on. These are real screens from the portal.

Capital Kings borrower portal: Welcome to your file
Welcome to your fileSign in and the term sheet is waiting, with every fee and who it goes to.
Capital Kings borrower portal: Where the loan stands
Where the loan standsApplication, appraisal, title, underwriting, clear to close.
Capital Kings borrower portal: Run the deal again
Run the deal againThe analyzer priced off your real numbers, before and after the appraisal.
Capital Kings borrower portal: What the lender still needs
What the lender still needsEvery open condition, what clears it, and who it is waiting on.

The full walkthrough is on how it works, and you can tour the borrower portal before you apply.

What we fund in Bloomington

Fix and flip

10%down on a first flip
Rates
from 9.50% at 620+ credit with 2+ completed flips
With experience
0% down with 2+ completed flips, purchase plus rehab under 70% of ARV
Rehab
100% funded, paid in draws
Fix and flip loans in Indiana →

Rental (DSCR)

7.00%rates from, 30-year fixed
Qualify on
the rent, no W-2s or tax returns
Down
from 20% at 700+ credit
Good for
buy-and-hold, and the refinance when a flip becomes a rental
DSCR loans in Indiana →

New construction

95%of cost with a financed interest reserve, after 1 completed build
Rates
from 8.49% with 5+ completed builds
First build
85% of cost with a GC who has 5+ builds
Builds
single family to small multifamily
New construction loans in Indiana →

Where we lend in Bloomington

We broker deals across the whole Bloomington market. The submarkets investors ask us about most are Bryan Park and McDoel Gardens (47403), Prospect Hill (47403), Elm Heights (47401), Eastside and Park Ridge (47401), Maple Heights (47404), Broadview (47403) and Northeast and Matlock Heights (47408).

How long does a Bloomington loan take to fund?

You send the address, purchase price, rehab budget and your ARV, which takes about five minutes and no credit pull. We take it to the lenders in our network that fit it and are licensed in Indiana, and the rate, origination, leverage and cash to close come back side by side. As little as 72 hours on the fastest program, 7-30 days on the others. We stay on title and the lender through funding.

Bloomington hard money FAQ

Do you lend hard money in Bloomington?
Yes. Capital Kings is a broker, not a direct lender, so we shop your Bloomington scenario across a 400+ lender network and bring back real terms instead of one lender’s rate sheet. The programs on this page are the ones whose lenders are licensed in Indiana, and the numbers come from the same engine that prices our instant term sheet.
Which fix and flip programs apply in Bloomington?
As of October 2026: First Flip, 10% Down (10% down, from 9.99%); 7.5% Down, 3+ Flips (7.5% down, from 9.99%, 3+ completed flips); 5% Down, 5+ Flips (5% down, from 9.99%, 5+ completed flips); 100% Financing, 2+ Flips (100% financing when purchase plus rehab fits under 70% of ARV, from 9.50%, 2+ completed flips); Fastest Close (3 days) (10% down, from 11.99%). Rehab is funded 100 percent in draws on every one of them, and we shop the file against the rest of the network before anything is signed.
How fast can a Bloomington hard money loan close?
As little as 72 hours on the fastest-close program, which has no credit minimum. In Indiana, once the file is complete, the programs for investors with completed flips close in 7-14 days (10-14 on 5% down with 5+ flips, 21-30 on 7.5% down with 3+ flips) and a first flip on the 10% down program closes in 21-30 days. The biggest delays are usually title issues or missing borrower documents, so getting those started early makes a big difference.
How much do I need to bring to close on a Bloomington flip?
The worked example on this page is a $210,000 Bloomington purchase with a $55,000 rehab and a $370,000 after repair value at 700 credit, first flip: $26,500 down (10% of purchase plus rehab) and $44,078 total cash to close, with $70,841 of proof of funds to show the lender. Investors with a track record can go to 0% down (100% financing) from 9.50% at 620+ credit with 2+ completed flips, when purchase plus rehab fits under 70% of ARV, and you still bring the closing costs in cash. Rehab is funded 100 percent through draws in every case. Run your own numbers in the calculator above, or send us the deal and we will price it.
Do you fund the rehab budget in Bloomington?
Yes, 100 percent of the rehab is funded, but it is a holdback released in draws rather than cash at closing. You pay for each phase, request a draw, an inspector verifies the work, and the lender reimburses. That means you need working capital to float the first phase, which is the single most common thing new investors miss on their first deal.
What credit score do I need for a Bloomington fix and flip loan?
One Bloomington program has no credit floor at all, it is priced on speed rather than credit. The lowest rate here, 9.50%, needs 620+ credit and 2+ completed flips. Depending on the program, origination steps down at 700 and 740. Credit matters less here than on a conventional loan because the deal carries the file, but it moves your rate and your leverage, so know where you stand before you make offers.
Can I refinance a Bloomington flip into a rental loan?
Yes. That is the BRRRR exit, and it is the most common way a Bloomington flip becomes a hold. A DSCR loan qualifies on the property’s rental income rather than your W-2, so once the rehab is done and it is leased, you refinance out of the short-term hard money loan into 30-year financing. Worth deciding before you start, because it changes what finish level makes sense.
Can I flip a house in Bloomington and rent it to students if it doesn’t sell?
Often, but check the rules first. The city requires a rental permit and inspection, and zoning caps how many unrelated tenants can live in most houses. A house that fits a family well might only rent to a few students legally. Price the rental exit on the permitted occupancy before you count on it as a backup. In Indiana a first flip can be priced at 10% down with 660+ credit (from 9.99%) or 10% down with no credit minimum on the fastest-close program (from 11.99%).
Why does Bloomington cost so much more than other southern Indiana cities?
The university keeps steady demand in a small city boxed in by hills, state forest and Lake Monroe. That raises both the purchase and the resale. A flip here needs more cash at the start than one in Evansville, but the finished value supports a fuller renovation.
Micah Foster
Micah Foster
Founder & CEO, Capital Kings LLC
Micah brokers Non-QM and hard money loans for real estate investors across 38 states from his base in Texas. He founded Capital Kings to give investors a broker who shops the market on their behalf instead of pitching one lender product.

What to read before you sign a term sheet

Hard money near Bloomington: Indianapolis, Evansville and Louisville. More Indiana city guides: Fort Wayne and South Bend. Or see everything we fund in Indiana.

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