Hard Money Lenders in Montgomery, AL | Capital Kings LLC
Capital Kings LLC · Non-QM Mortgage Broker

Hard Money Lenders inMontgomery, Alabama

Fix and flip, DSCR rental and new construction financing for Montgomery 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 Montgomery deal

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

Reviewed by Micah Foster, Founder & CEO, October 2026

Price a Montgomery deal right now

Prefilled with a realistic Montgomery deal. Change any number and it reprices on the programs that lend in Alabama, 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 Montgomery

Montgomery is a capital city with a military base and a car plant. State government, Maxwell Air Force Base and the Hyundai plant south of town are the big employers, and Alabama State and Auburn Montgomery add a student and staff market. The flip stock is 1920s to 1940s houses in Cloverdale and Capitol Heights and 1960s brick ranches on the east side.

School choice shapes the Montgomery market more than most cities we cover. Many families pay for private school or move to Pike Road, which runs its own school system. That pushes owner-occupant demand toward Cloverdale, the east side and the Pike Road line, while a lot of west side houses end up as rentals. We look at who will buy your finished house before we agree on a value for it.

What a Montgomery deal looks like on paper

Montgomery example: $125,000 purchase, $50,000 rehab, $255,000 after repair value, 700 credit, first flip. The engine puts that borrower on the Best Rate program at 9.49%. Say a 1960s brick ranch in Dalraida with a carport, a single-pane window package, an old HVAC system and two baths that have never been touched. Every number below is what the instant term sheet prints for that deal, so the picture cannot contradict the page.

Loan amount$156,250
Cash to close$30,474
Proof of funds to show$51,388
Where the $30,474 goes
  • Down payment (15% of the purchase)You$18,750
  • Origination (0.5%)Lender$2,000
  • Lender fees (flat)Lender$1,989
  • Broker fee (1%)Broker$2,000
  • Title and closing (estimate at Texas rates)Title$3,108
  • Prepaid interest (15 days)Lender$414
  • Property insuranceInsurer$1,663
  • AppraisalAppraiser$550

Interest while you rehab: $840 a month on the $106,250 funded at closing, $1,236 once every draw is out. Proof of funds is cash to close plus $13,500 of rehab reserve and $7,414 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 Montgomery

Swipe the table for rates, credit and terms →

ProgramDown paymentMin creditExperienceRateOriginationMax loanTermClose
Best Rate15% of purchase700+First flip OK8.99% to 9.49%0.5%70% of ARV12 months5-14 days
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 Montgomery prices sit right now

Before we price a Montgomery 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 Montgomery median sale price at $195K for the three months ending September 2026, down 2.1% on a year earlier, with homes selling in around 74 days. The median price per square foot is $109.

Median sale price (Redfin)$195K
Change from a year earlierdown 2.1%
Days on market (Redfin)74
Median price per square foot$109

Sources: Redfin, Montgomery housing market

How a Montgomery file actually gets priced

Montgomery houses take a while to sell, so we set the after repair value on renovated sales from the last few months in the same neighborhood and check how long they took. Appraisers here keep Old Cloverdale separate from the ranch subdivisions a few miles east. We want a full inspection, because in Alabama the buyer carries most of the risk on what the seller didn’t mention.

Catoma Creek, the Alabama River and smaller branches through east Montgomery all carry floodplain, so pull the map. Termites and moisture under raised floors are common on the older houses, and the 1960s ranches often hide galvanized plumbing and undersized electrical service. Cloverdale, the Garden District and Capitol Heights have historic district review for exterior changes, which adds a step before the permit.

Who buys your finished Montgomery deal

The finished Montgomery house sells to an Air Force family from Maxwell, a state employee or a plant worker. Military buyers here run on PCS orders and often use VA, so the house has to meet VA condition standards and be ready on their timeline. Rent from Maxwell and the plant keeps rental demand steady, which makes a DSCR hold a realistic plan B.

What happens after you apply

Apply once and the whole Montgomery 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 Montgomery

Fix and flip

10%down on a first flip
Rates
from 8.99% at 760+ credit
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 Alabama →

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 Alabama →

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 Alabama →

Where we lend in Montgomery

We broker deals across the whole Montgomery market. The submarkets investors ask us about most are Old Cloverdale and the Garden District (36106), Capitol Heights (36107), Dalraida (36109), Vaughn Park and Forest Hills (36106 / 36111), Arrowhead and Wynlakes (36117) and Highland Gardens (36109).

How long does a Montgomery 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 Alabama, and the rate, origination, leverage and cash to close come back side by side. 5-14 days to fund, as little as 72 hours on the fastest programs. We stay on title and the lender through funding.

Montgomery hard money FAQ

Do you lend hard money in Montgomery?
Yes. Capital Kings is a broker, not a direct lender, so we shop your Montgomery 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 Alabama, and the numbers come from the same engine that prices our instant term sheet.
Which fix and flip programs apply in Montgomery?
As of October 2026: Best Rate (15% down, from 8.99%); 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 Montgomery hard money loan close?
As little as 72 hours. Most Montgomery fix and flip files fund in 5-14 days once the file is complete, and the 72-hour programs close that fast when title and insurance are ready. The First Flip, 10% Down program and the 7.5% Down, 3+ Flips program close 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 Montgomery flip?
The worked example on this page is a $125,000 Montgomery purchase with a $50,000 rehab and a $255,000 after repair value at 700 credit, first flip: $18,750 down (15% of the purchase) and $30,474 total cash to close, with $51,388 of proof of funds to show the lender. The lowest down payment for a first flip in Montgomery is 10% down from 9.99% at 660+ credit. 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 Montgomery?
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 Montgomery fix and flip loan?
One Montgomery program has no credit floor at all, it is priced on speed rather than credit. The lowest rate here, 8.99%, needs 760+ credit. Depending on the program, rates step down at 760 credit and 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 Montgomery flip into a rental loan?
Yes. That is the BRRRR exit, and it is the most common way a Montgomery 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.
Do Maxwell Air Force Base buyers change how I should finish a Montgomery flip?
Yes. A lot of buyers come on military orders with a fixed report date and a VA loan. VA appraisals check condition, so peeling paint, missing handrails, a weak roof or a dead water heater can hold up the closing. Finish to that standard, have the house ready before the summer move season, and you reach one of the steadiest buyer groups in town.
Should I buy a Montgomery flip near Pike Road?
If you want an owner-occupant exit, the east side near Pike Road is where families shop because Pike Road runs its own schools. Prices are higher and you compete with new construction there. Older ranches closer in cost less and rent well, but the buyer pool for a finished flip is thinner. Decide the exit before you pick the street.
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 Montgomery: Birmingham, Mobile and Columbus. More Alabama city guides: Huntsville and Tuscaloosa. Or see everything we fund in Alabama.

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