Where we finance

Hard Money Loans in Pennsylvania

Apex Capital Advisors arranges hard money and other business-purpose loans for Pennsylvania investors, from Philadelphia rowhouse rehabs and Pittsburgh hillside homes to Erie rentals and Lehigh Valley new builds. Fix and flip loans go up to 92.50% of total cost, and term sheets go out within 12-24 hours.

Discuss your deal All 36 states and Washington, D.C.

Fix & Flip
DSCR Rental
Bridge
New Construction

The lay of the land

Investing in Pennsylvania

Pennsylvania is several investor markets in one state. Philadelphia and its suburbs in Bucks, Chester, Delaware and Montgomery counties hold dense blocks of brick rowhouses and twins, stone colonials and postwar subdivisions. The Lehigh Valley pairs older city rowhouses with newer suburbs and a warehouse and distribution economy. Harrisburg, Lancaster and York have brick rowhouse neighborhoods a short drive from farmland.

Pittsburgh's steel-era neighborhoods climb the hills above its rivers. The Northeast holds Scranton and Wilkes-Barre, coal-region cities of wood-frame double-block houses, and the vacation-home market of the Pocono Mountains. Erie sits on the lake, State College revolves around Penn State, and Marcellus Shale gas drilling supports towns in the northern tier and the southwest.

Investors using hard money here rehab rowhouses and single-family homes, hold small multifamily and student rentals, and build infill in Philadelphia. Older houses bring party walls, stone foundations, wet basements, outdated wiring and lead paint, and parts of the state add mine subsidence or limestone sinkholes.

Loan programs

Loan Programs in Pennsylvania

Four ways to finance an investment property in Pennsylvania, each sized to the deal rather than a fixed product.

Short-term project capital

Fix and Flip Loans in Pennsylvania

Pennsylvania flips are often older houses. In Philadelphia that means a brick rowhouse with a low-slope roof, party walls, aging wiring and lead paint. In Pittsburgh it may be a house on a slope, where the foundation, retaining walls and drainage come before kitchens and baths.

A hard money fix and flip loan from Apex funds up to 92.50% of total cost and up to 100% of the rehab budget, released in draws as work is inspected. The minimum FICO is 650, and first-time investors are welcome. To sell in Philadelphia you need the city's property sales certification, which discloses uncorrected code violations, so clear them before you list.

Newbies are welcome
Up to 92.50% Loan to Cost (LTC)
Up to 100% of rehab budget

Fix and flip loan details

Long-term rental financing

DSCR Rental Loans in Pennsylvania

Pennsylvania rentals run from Philadelphia rowhouses and duplexes to student housing near the University of Pittsburgh and Carnegie Mellon, double-blocks in Scranton, two-family homes in Erie and vacation homes in the Poconos. Apex qualifies DSCR loans on the property's cash flow, with no personal earnings verification, DSCR as low as 0.75x, 30-year fixed and ARM options, loan amounts from $100K to $3M+ and cash-out up to 80% LTV. Reaching the full 80% takes a stronger DSCR and credit score than the program minimums, so leverage on each file is set by its DSCR and credit. Long-term and short-term rentals are eligible.

In Philadelphia, short-term rentals have their own city licensing and housing requirements, so confirm them before counting on nightly rents.

Qualified on the property's cash flow, not your personal income
No traditional employment or personal-income verification
Cash-out refinance LTV up to 80%

DSCR rental loan details

Interim financing

Bridge Loans in Pennsylvania

At a Pennsylvania sheriff's sale, the winning bidder pays on the sheriff's terms, waits for the deed and must bring an ejectment action if the house is still occupied. A short-term hard money bridge loan can carry a property through that kind of transition, close before a bank can, or fund the next purchase before the last one sells.

It also fits a Philadelphia rental that needs repairs, a license and lead certification before long-term financing. First-time investors are welcome, and qualified deals with complete documents can fund in as fast as 15 days.

Structured for transactions that cannot wait
Property in transition, lease-up or repositioning
Terms set deal by deal rather than to a fixed product

Bridge loan details

Ground-up construction

New Construction Loans in Pennsylvania

Ground-up work in Pennsylvania ranges from new rowhouses on vacant lots in Philadelphia neighborhoods such as Fishtown, Point Breeze and Brewerytown to suburban houses and townhouses around Pittsburgh, Harrisburg and the Lehigh Valley. A hard money construction loan from Apex funds up to 100% of the construction budget, released in stages against progress, and the lot purchase can be included. Approved plans are needed before closing.

Philadelphia offers property tax abatements on qualifying new construction and rehab, and the abatement starts after the building permit is issued. The state code does not require radon-resistant construction, though the Department of Environmental Protection recommends it.

Up to 100% of the construction budget
Land or lot cost and build budget assessed together
Capital released in stages against construction progress

New construction loan details

Program terms are general guidelines, not a quote or commitment. Every loan is subject to underwriting and approval and is for business purposes only.

Local markets

Where We Finance in Pennsylvania

Apex offers loans statewide. These markets are a starting point, not a limit.

Philadelphia

Philadelphia is a rowhouse city. Brick rows fill South Philadelphia, Fishtown, Kensington and Port Richmond, twins line the Northeast, and Germantown and Mount Airy hold larger stone houses. The University of Pennsylvania and Penn Medicine, Children's Hospital of Philadelphia, Drexel, Temple and Jefferson anchor the economy, along with Comcast. Investors rehab rows for resale, convert larger houses to apartments where zoning allows and build new rows on vacant lots. The city adds its own rules: rental and vacant-property licenses, lead certification for older rentals, a sales certification to sell and a license for wholesalers.

Pittsburgh

Pittsburgh's neighborhoods climb the hills where the Allegheny and Monongahela rivers form the Ohio. UPMC, the University of Pittsburgh, Carnegie Mellon and Allegheny Health Network anchor the economy alongside PNC and a robotics and software sector. Typical houses are brick or frame from the steel era, with front porches, steep lots and retaining walls. Lawrenceville, Bloomfield and Highland Park draw rehab buyers, Oakland and Squirrel Hill draw student and hospital-staff renters, and Brookline, Carrick and the North Side suit buy-and-hold investors. Old coal mines lie under parts of Allegheny County, so price mine subsidence coverage.

Allentown

Allentown anchors the Lehigh Valley with Bethlehem and Easton. Brick rowhouses and twins fill the center city and the East and South sides, and larger homes line the West End near Muhlenberg College and Cedar Crest College. Downtown has added offices, apartments and the PPL Center arena. PPL and Air Products are based in the area, and warehouses line the valley's highways, within driving distance of New York and Philadelphia. Investors rehab rowhouses and hold twins and small multifamily as rentals. Parts of the valley sit on limestone, where sinkholes can open.

Erie

Erie is Pennsylvania's city on Lake Erie, with Presque Isle State Park curving around its bay. Erie Insurance is based here, Wabtec builds locomotives in neighboring Lawrence Park, and UPMC Hamot, Saint Vincent Hospital, Gannon University, Mercyhurst University and Penn State Behrend are major employers. Older wood-frame single-family and two-family homes fill the east and west sides, with newer suburbs in Millcreek. Lake-effect snow shapes every rehab, from roofs, gutters and insulation to heating systems and dry basements. Investors flip older houses, rent to students and hospital staff, and some hold summer rentals near Presque Isle.

Scranton

Scranton grew up on anthracite coal and the railroads, and its neighborhoods show it. Wood-frame double-block houses, built as side-by-side two-family homes, sit close together on hilly streets. The University of Scranton, Marywood University and Geisinger are steady employers, Tobyhanna Army Depot is nearby, and distribution centers line the interstates through the valley. Investors buy double-blocks to rent both sides or to renovate and sell, and hold single-family rentals in the surrounding boroughs. Old underground mines lie beneath parts of the Lackawanna Valley, so price mine subsidence insurance, which standard homeowners policies usually exclude.

Before you buy

What Investors Should Know About Pennsylvania

Foreclosure goes through the courts

Pennsylvania forecloses through the courts. The lender files a complaint in mortgage foreclosure in the county where the property sits, wins a judgment, and the property is sold at a sheriff's sale. Homeowners first get state-required notices pointing them to counseling and emergency mortgage assistance. The sheriff delivers the deed within a window set by law, and a buyer who finds occupants must file an ejectment action.

Realty transfer tax

Pennsylvania taxes the value of real estate that changes hands. County recorders of deeds collect the state realty transfer tax, often with a local one that the municipality and school district may share. The buyer and seller are each liable for the full tax. In Philadelphia the city adds its own tax. It is usually split between buyer and seller, though the city can collect it from either party.

Philadelphia rental licenses and lead certification

Philadelphia requires a rental license, renewed every year, to rent out any unit, and an owner who does not live there first needs a Commercial Activity License. A property built before the federal lead-paint ban must be certified lead-safe or lead-free before a new or renewed lease. New tenants must receive a Certificate of Rental Suitability and the Partners in Good Housing guidebook.

Evictions in Philadelphia

Philadelphia evictions go through Municipal Court, and a landlord cannot change the locks, cut off utilities or remove a tenant's belongings. Before filing, the court requires the landlord to go through the city's Eviction Diversion Program and wait a set period. The filing must include the landlord's current city licenses, the Certificate of Rental Suitability given to the tenant and the notice to quit, unless the lease waives notice.

Mine subsidence insurance

Parts of Pennsylvania sit over old, abandoned underground coal and clay mines, and homeowners insurance usually does not cover damage when they collapse. The Department of Environmental Protection offers mine subsidence insurance to fill that gap. Price it before closing in mining areas, such as the anthracite region around Scranton and Wilkes-Barre and the old coal country around Pittsburgh.

Statewide building code, local enforcement

Builders across Pennsylvania must follow the Uniform Construction Code. Municipalities enforce it with their own staff or certified private agencies, or opt out. Where a municipality has opted out, the Department of Labor and Industry handles commercial work, and owners or their contractors hire a certified agency to enforce the residential code. Ask who inspects before you set a schedule.

General information, not legal or tax advice. Laws and rates change; confirm the details with a licensed attorney or tax professional in Pennsylvania.

Questions

Pennsylvania Hard Money Loan FAQs

Not answered here? Call +1(551) 321-5995 or read the full FAQ.

Do you offer hard money loans in Pennsylvania?

Yes. Apex arranges business-purpose hard money loans across Pennsylvania, including Philadelphia, Pittsburgh, Allentown, Erie and Scranton, for fix and flip, DSCR rental, bridge and new construction projects. Loans are for investment property only, never a home you or your family will live in.

Can a first-time investor finance a Philadelphia rowhouse flip?

Yes. First-time investors are welcome, the minimum FICO is 650, and lower scores are considered case by case. A fix and flip loan can cover up to 92.50% of total cost and up to 100% of the rehab budget. Draws are released as work is inspected, so keep cash for the first phase and for lead-paint work in older rows.

Do I need a wholesaler license to flip a house in Philadelphia?

Not if you buy a property and improve it to raise its resale value, or buy it to rent. The city exempts both. You need a Residential Property Wholesaler License if your business is buying homes solely to resell them, or getting owners to sell for resale. Selling in Philadelphia also requires the city's property sales certification.

What does a Philadelphia rental need before a DSCR refinance?

A DSCR loan is qualified on the property's cash flow, so the lease behind it should be solid. In Philadelphia that means a rental license, lead-safe or lead-free certification if the house predates the federal lead-paint ban, and a Certificate of Rental Suitability for each new tenant. Municipal Court expects the licenses and the certificate with any eviction filing.

Who pays realty transfer tax on a Pennsylvania flip?

Under state law the buyer and seller are each liable for the full tax, and a local transfer tax is often added. In Philadelphia the tax is usually split between buyer and seller. On a flip you pay it at purchase and again at sale, so budget for both.

Beyond the state line

Nearby States We Serve

Investing on both sides of the border? The same programs and the same team cover the states around Pennsylvania.

All 36 states and Washington, D.C.

Next step

Financing a Property in Pennsylvania?

Send us the property, the plan and the timeline. We will tell you what is realistic and what we need to issue a term sheet.

Discuss your deal +1(551) 321-5995