BUSINESS PURPOSE LOANS IN CALIFORNIA

SO-CAL Capital is a direct private lender providing business-purpose loans in California and across the Western United States. Whether you are a real estate investor looking to acquire a new property, a broker seeking a reliable lending partner for a complex scenario, or a property owner looking to unlock equity, our team delivers fast, flexible financing backed by more than a decade of experience.

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What is a Business Purpose Loan?

A business purpose loan is a real estate-secured loan used for investment or commercial activity rather than personal, family, or household use. Because these loans fall outside the scope of traditional consumer lending regulations, they allow for greater flexibility in underwriting, speed of execution, and loan structure. SO-CAL Capital specializes exclusively in this space, giving our borrowers and broker partners access to capital that traditional banks are unable or unwilling to provide.

Headquartered in Newport Beach, California, and founded in 2010, SO-CAL Capital has funded more than $750 million in transactions across over 840 properties for over 1,700 clients. Our strength lies in our ability to evaluate each deal on its own merits and move quickly when opportunity demands it.

OUR BUSINESS PURPOSE LOAN PROGRAMS

SO-CAL Capital offers a range of private lending solutions designed to meet the needs of professional real estate investors, developers, and the brokers who serve them. As an asset-based lender, we evaluate each transaction based on the strength of the underlying real estate collateral and the borrower's strategy, not just credit scores or tax returns.

OUR CORE LOAD PRODUCTS INCLUDE:

Bridge Loans

Short-term real estate bridge loans for property acquisition, repositioning, or stabilization. We fund 1st and 2nd trust deeds, providing multiple leverage options depending on your project and exit strategy.

Cash-out Refinance

Unlock the equity in your investment property through a cash-out refinance without disturbing a favorable existing first mortgage. Our 2nd trust deed capability allows property owners to access capital for new opportunities while keeping their current loan in place.

Purchase Refinancing

Investment property loans in California and beyond, structured for speed and certainty of execution. When you are competing against cash offers or facing tight closing deadlines, our team can move at the pace your deal requires.

Every loan we fund is structured as a business purpose loan, meaning it is used exclusively for investment or commercial real estate activity. This allows us to offer the flexible underwriting, streamlined documentation, and fast closings that the professional investment community demands.

Program Highlights

SO-CAL Capital provides business purpose loans with flexible features and makes-sense underwriting. Our programs are built for borrowers and brokers who need a lending partner that values the deal itself over rigid qualification checkboxes.

1st and 2nd Trust Deeds

Loans from 100k to 10 Million

Flexible DCRs

Purchase, Refi & Cash Out

No Prepayment Penalty

Up to 70% LTV

No Minimum FICO

Fixed Interest Rates

Lending in CA, OR, WA, AZ, NV, CO, ID, UT, MT, WY, NC, and more

Property Types We Finance

A strong lending portfolio requires breadth across property types and asset classes. SO-CAL Capital finances a qualified mix of real estate collateral, giving investors and brokers access to capital across a wide range of project types.

Residential Investment Properties

Mixed Use

Retail

Industry

Multifamily Residential and Apartments Property

Multifamily Residential & Apartments

Commercial

Office

Special Purpose

Whether you are acquiring a multifamily apartment building, refinancing a commercial retail center, or securing bridge capital for an industrial property, SO-CAL Capital has the experience and flexibility to structure a loan that fits your project.

Why So-Cal Capital?

Choosing a private lender in California means trusting someone with your deal, your timeline, and your capital. Here is what sets SO-CAL Capital apart from other lenders in the market.

Make Sense Underwriting

We take a human-centric approach to every transaction. Rather than relying on rigid algorithms or automated credit score cutoffs, our team evaluates the property, the borrower's strategy, and the strength of the exit plan. This is why we offer no minimum FICO loans and flexible DSCR evaluations on a case-by-case basis.

Full Control

We control the entire lending process from initial evaluation through underwriting, closing, and servicing. That means faster answers, consistent communication, and no last-minute surprises at the closing table.

Deep California & Western Expertise

With our headquarters in Newport Beach and a lending history that spans over a decade, we bring deep knowledge of Southern California's real estate landscape to every deal. Our regional expertise extends throughout the Western United States, and we also lend actively in other states.

Honest, Transparent Pricing

We believe in clarity, confidence, and trust. Our loan terms are straightforward with fixed interest rates and no surprise junk fees. What we quote is what you get.

A Proven Track Record

Since 2010, SO-CAL Capital has funded over $750 million across nearly 840 properties, serving more than 1,700 clients. Our funding history speaks for itself. Every transaction is built on the same foundation: thorough evaluation, honest communication, and a commitment to getting the deal done right.

For Broker & Borrowers

Private Lending Solutions

SO-CAL Capital works hand-in-hand with real estate investors, agents, and mortgage brokers who need a lending partner that moves at the speed of the deal. Our business purpose loans are built for professionals who value certainty of execution, creative capital structures, and direct access to a decision-maker. Whether you need a bridge loan for a time-sensitive acquisition or a cash-out refinance on an existing investment property, our team is ready to evaluate your scenario.

For Investors

Trust Deed Investing

Investors throughout California are turning to SO-CAL Capital for real estate-secured investment opportunities with the potential to deliver up to 12% annualized yield. Our modern trust deed investing platform offers multiple structures, including single beneficiary positions, fractionalized interests, and LLC membership interests. Every investment is backed by California and Western U.S. real estate and vetted by our experienced team using precise underwriting guidelines. Explore our recent funding stories to see the types of projects we fund and the results we deliver for our investment partners.

Read Our Funding Stories

Markets Served

Common Sense funding

States Served in Orange

SO-CAL Capital partners with mortgage brokers and real estate professionals throughout multiple states to fund qualified real estate transactions. While California remains our primary market for business purpose loans, our lending footprint extends to Oregon, Washington, Arizona, Nevada, Utah, Colorado, Idaho, Montana, Wyoming, and more. As a full-service private lending partner, we take pride in offering efficient, flexible underwriting for non-conforming business purpose loans in an environment built on partnership and the power of long-term relationships. No matter where your deal is located within our service area, you will work directly with our experienced team from start to finish.

Common Questions

Frequently Asked Questions

Trust deed investing is straightforward once you understand the mechanics. Here are the questions we hear most often from new investors.

What is a business purpose loan?

A business purpose loan is a loan secured by real estate where the funds are used for investment, business, or commercial purposes rather than personal, family, or household use. Because these loans fall outside standard consumer lending regulations, lenders can underwrite them with more flexibility, move faster through closing, and structure terms around the deal itself rather than a fixed set of consumer lending rules.

How is a business purpose loan different from a hard money loan?

Business purpose loan is a regulatory classification describing how the funds are used. Hard money is a broader term that today often means no-FICO, minimal documentation, high-rate lending built around the lender's ability to take back the property if the deal fails. SO-CAL Capital does not lend that way. Every file is underwritten with common sense, looking at the borrower's full picture and exit strategy rather than just the collateral, so terms reflect the strength of the deal instead of a bailout scenario.

What can a business purpose loan be used for?

A business purpose loan can be used to acquire an investment property, refinance an existing property, pull cash out of an investment property without disturbing a favorable first mortgage, or bridge a time sensitive purchase, repositioning, or stabilization. Because the funds go toward investment or commercial activity rather than personal use, the loan is not subject to the same restrictions as an owner-occupied consumer mortgage.

Who qualifies for a business purpose loan from SO-CAL Capital?

Business purpose loans are available to real estate investors, business owners, property owners, and the brokers who represent them, as long as the funds are used for investment or commercial purposes rather than a primary residence. SO-CAL Capital looks for borrowers with real equity and a clear exit strategy, and evaluates the full picture of the deal rather than relying only on credit score or tax returns.

Does SO-CAL Capital require a minimum credit score?

No. SO-CAL Capital has no minimum FICO requirement. Because loans are funded with private capital, each file is evaluated using make-sense underwriting, weighing the property, the borrower's strategy, and the exit plan rather than an automated credit score cutoff.

What loan amounts and LTV does SO-CAL Capital offer?

SO-CAL Capital funds business purpose loans from $100,000 to $10 million, up to 70% loan to value, structured as 1st or 2nd trust deeds. Debt coverage is evaluated flexibly on a case-by-case basis rather than against one fixed ratio.

Does SO-CAL Capital charge a prepayment penalty?

No. SO-CAL Capital's business purpose loans carry fixed interest rates and no prepayment penalty, so borrowers can pay off or refinance the loan early without an added fee.

What property types does SO-CAL Capital finance?

SO-CAL Capital finances residential investment properties (1 to 4 units), multifamily and apartment buildings, mixed-use, retail, industrial, office, commercial, and special purpose properties. Every loan is evaluated on the strength of the real estate collateral and the borrower's plan for the property.

What states does SO-CAL Capital lend in?

California is SO-CAL Capital's primary market. The company also funds business purpose loans in Oregon, Washington, Arizona, Nevada, Colorado, Idaho, Utah, Montana, Wyoming, North Carolina, and other states across the Western United States.

Does SO-CAL Capital offer fix and flip loans?

Fix and flip is not a standard product on our rate sheet. SO-CAL Capital works selectively with a small group of experienced, proven operators on bridge financing for projects that fit our underwriting criteria. If you have a track record executing flips and a deal that makes sense, contact our team directly to discuss whether your scenario qualifies.

Why work with SO-CAL Capital instead of a bank or institutional lender?

Banks and institutional lenders are often bound by outside credit lines and secondary market buyback rules, so they can only approve loans that fit someone else's pre-set criteria. SO-CAL Capital funds every loan with private capital, in house, and controls the file from evaluation through closing and servicing. That means the decision is based on whether the deal makes sense, not whether it matches a rigid formula, which is why we can offer no minimum FICO requirement, flexible DSCR review, and fixed pricing with no last-minute surprises.

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Our strength lies in our ability to understand and address our clients and partners needs with clarity, experience and eye towards maximizing returns.

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