Last Updated: April 18, 2025
At OfferMarket, our mission is to empower real estate investors to succeed in Connecticut’s dynamic market by providing innovative financing solutions and expert guidance. We offer:
• Private capital lending
• Tailored insurance rate comparisons
• Exclusive access to off‑market properties
Our Bridge Loan Program delivers rapid, dependable, and competitively priced funding for acquiring and enhancing 1–4 unit residential properties throughout Connecticut. Whether your plan is to execute a fix‑and‑flip or secure a long‑term rental investment, we are here to support you at every stage.
A bridge loan is a short‑term financing tool that enables you to act swiftly while transitioning to permanent funding. In Connecticut, investors use bridge loans to:
• Purchase and rehabilitate a distressed property without exhausting personal funds
• Refinance an all‑cash acquisition to free up capital for renovations
• Replace an existing loan on a property needing further improvement
• Acquire a property “as‑is” to execute a quick flip with minimal work
• Extract equity from a cash purchase to finance the next project
• Swap out a loan after major repairs when additional time is needed for sale or refinancing
These loans are often referred to as “hard money” or “fix‑and‑flip” loans in the Connecticut market.
A typical bridge loan comprises two main components:
• Initial Advance: The primary amount disbursed at closing via the title company, generally covering most or all of your purchase cost.
• Construction Holdback: A set amount reserved for your renovation budget, released incrementally as you achieve specified rehab milestones.
You may opt to use both components or rely solely on the Initial Advance if you choose to self-finance improvements. Once renovations are complete, you can either sell the property for profit or retain it as a rental—often refinancing through a DSCR (Debt Service Coverage Ratio) loan—based on current Connecticut market conditions.
• House Flippers: Investors who acquire properties below market value, renovate them, and sell for a profit.
• Buy-and-Hold Investors: Those executing the BRRRR (Buy, Rehab, Rent, Refinance, Repeat) strategy.
• Hybrid Investors: Individuals who flip some properties while keeping others as long‑term rentals to adapt to market trends.
Criteria | Guideline |
---|---|
Loan Amount (Minimum) | $25,000 |
Loan Amount (Maximum) | $2,000,000 |
ARV (Minimum) | $100,000 |
Experience | None required |
Minimum Credit Score | 680 |
Borrowing Entity | LLC or Corporation |
Initial Advance | Up to 90% |
Construction Holdback | Up to 100% |
LTARV (Max) | 75% |
Interest Rate | Instant quote available |
Origination Fee | 1.5 to 2 points |
Term | 12 to 24 months |
Points Out | None |
Prepayment Penalty | None |
Structure | Interest‑only with balloon payment |
Recourse | Full recourse (minimum 51% ownership required) |
Exit Strategy: Sale | Minimum 30% ROI |
Exit Strategy: Refinance | Minimum 1.1 DSCR post‑rehab |
Valuation | Appraisal or in‑house evaluation |
Minimum SqFt | SFR: 700+; 2–4 unit: 500+ per unit; Condo: 500+ |
Maximum Acreage | 5 |
Interest Accrual | Under $100K: full accrual; $100K+: as disbursed |
Advanced Draws | At lender’s discretion |
Minimum Down Payment | $10,000 |
At OfferMarket, we’re committed to helping you succeed while protecting your investment portfolio. With a loan default rate of less than 0.5%, we take pride in responsible lending practices—and we partner closely with our clients to keep it that way.
In Connecticut, high-risk real estate projects—especially those involving major renovations or structural issues—are more susceptible to delays, budget overruns, and shifting market conditions. These risks are amplified by local zoning regulations, aging housing stock, and seasonal weather impacts across the state. That’s why we do more than just fund your deal—we act as your strategic partner and risk management advisor, guiding you with honest, data-backed expectations at every stage.
The available Initial Advance is determined by your deal specifics and investment experience. We consider:
• The number of properties purchased in the past 24 months
• Completed transactions over the last five years
• A minimum credit score of 680 (720+ is ideal)
• Professional qualifications (e.g., Realtor, General Contractor, or Professional Engineer)
When calculating your Initial Advance, we base it on the property’s current “as‑is” value; if the agreed purchase price exceeds either the appraisal or our internal valuation, the lower value applies. We also assess your exit strategy—whether planning a sale with at least a 30% profit margin and $15,000 in net profit, or a refinance achieving at least a 1.1 DSCR post‑rehab. For properties in more rural Connecticut areas, a record of at least three successful projects may be required for enhanced leverage.
Tier | Verified Track Record |
---|---|
1 | 0 |
2 | 1–2 |
3 | 3–4 |
4 | 5–9 |
5 | 10+ |
Tier | Advance (% of Purchase Price) |
---|---|
1 | 80% (up to 85% possible with stellar credit or liquidity) |
2 | 85% |
3 | 85% |
4 | 90% |
5 | 90% |
Situation | Adjustment |
---|---|
Credit score under 720 | -5% |
Complete gut renovation | -5% |
Limited familiarity with local market | -5% |
Licensed Realtor credential | Up to +5% |
Licensed General Contractor credential | Up to +10% |
Licensed Professional Engineer | Up to +10% |
Rural property (requires Tier 3+) | -20% |
Scope | Definition |
---|---|
Light | Renovations costing less than 25% of the purchase price |
Moderate | Renovation expenses between 25% and 49.99% of purchase price |
Heavy | Renovations amounting to 50%–99.99% of the purchase price |
Extensive | Renovation costs equal to or exceeding 100% of the purchase price |
Your eligibility to finance various rehab scopes is determined by your experience tier:
Tier | 1 | 2 | 3 | 4 |
---|---|---|---|---|
Experience | 0 | 1-2 | 3-4 | 5-9 |
Light | Eligible | Eligible | Eligible | Eligible |
Moderate | Ineligible | Eligible | Eligible | Eligible |
Heavy | Ineligible | Eligible | Eligible | Eligible |
Extensive | Ineligible | Ineligible | Eligible | Eligible |
Tier | 1 | 2 | 3 | 4 |
---|---|---|---|---|
Experience | 0 | 1-2 | 3-4 | 5-9 |
Light | 70% | 70% | 75% | 75% |
Moderate | Ineligible | 70% | 75% | 75%< |
Heavy | Ineligible | 70% | 75% | 75%< |
Extensive | Ineligible | Ineligible | 70% | 70% |
For extensive rehab projects—where the renovation budget exceeds the purchase price—we finance a percentage of the total project cost. For example, an 85% LTFC means we lend 85% of the combined purchase price and rehab expenses, with the remainder provided by you.
(LTFC does not apply to Light, Moderate, or Heavy rehab scopes.)
Tier | 1 | 2 | 3 | 4 | 5 |
---|---|---|---|---|---|
Experience | 0 | 1-2 | 3-4 | 5-9 | 10+ |
Light | N/A | N/A | N/A | N/A | N/A |
Moderate | Ineligible | N/A | N/A | N/A< | N/A |
Heavy | Ineligible | N/A | N/A | N/A< | N/A |
Extensive | Ineligible | Ineligible | 85% | 90% | 90% |
Purchase Price: $120,000
Tier: 1 (0 completed deals)
Credit Score: 690
Rehab Budget: $28,000
ARV: $190,000
Initial Advance: $90,000 (75% of purchase price)
Construction Holdback: $28,000
Total Loan Amount: $118,000
LTARV: ~62.1%
LTFC: ~79.7%
Purchase Price: $130,000
Tier: 1 (0 completed deals)
Credit Score: 750
Rehab Budget: $33,000
ARV: $210,000
Initial Advance: $104,000 (80% of purchase price)
Construction Holdback: $33,000
Total Loan Amount: $137,000
LTARV: ~65.2%
LTFC: ~84.0%
Purchase Price: $155,000
Tier: 4 (5 completed deals)
Credit Score: 745
Rehab Budget: $38,000
ARV: $285,000
Initial Advance: $139,500 (90% of purchase price)
Construction Holdback: $38,000
Total Loan Amount: $177,500
LTARV: ~62.3%
LTFC: (Calculated similarly)
Typically, our calculations are based on the cost basis (purchase price plus documented expenses). However, if you have owned a Connecticut property long enough for its market value to notably exceed these costs, you may qualify for refinancing based on the higher as‑is value provided that:
• The property is in at least C4 condition
• Ownership has exceeded three years
• The current lender is not imposing default interest or financing the initial construction
• The guarantor’s credit score is at least 680
• The project qualifies as Tier 3 or above
• Recent local comps support the increased valuation
• The overall situation is justified (for example, a stable rental ready for a major remodel or sale)
For transactions involving wholesalers, we may finance the assignment fee provided it does not exceed 20% of the wholesaler’s original contract price. Any fee above this cap is your responsibility.
Example:
A‑B Contract (Seller to Wholesaler): $80,000
B‑C Contract (Wholesaler to Investor): $25,000
As‑Is Value: $110,000
Basis for Initial Advance: $98,000 (fees beyond 20% of $80K must be covered by you)
All wholesaler deals must be arm’s‑length transactions with clear contract documentation and proper operating agreements. Referral or finder’s fees are not financed.
In Connecticut, construction holdback funds are released based on draw requests tied to verified renovation progress. If you prefer to self-finance your rehab, you may opt out of the construction holdback entirely. For loans over $100,000, undrawn holdback funds do not accrue interest—this is known as the "as disbursed" method.
Draw Guidelines
Criteria | Guideline |
---|---|
Minimum Draw Amount | None |
Maximum Draw Amount | Up to 100% of the remaining holdback |
Number of Draws Allowed | Unlimited |
Materials Delivered (Not Installed) | Up to 50% coverage (receipt/invoice required) |
Inspection | App-based self-service inspection |
Turnaround Time | 0 to 2 business days |
Draw Fee | $270 |
Wire Fee | $30 |
A property valuation is mandatory for every OfferMarket bridge loan. Depending on your transaction, we’ll require one of the following:
A third‑party interior appraisal
A third‑party exterior appraisal
An in‑house valuation
If you qualify, we may allow an in-house valuation rather than a traditional third-party appraisal. To be eligible in Connecticut, you must meet all of the following:
Requirement | Eligibility |
---|---|
Property Type | Single-family, duplex, triplex, or fourplex |
Experience Tier | Tier 4 or above |
Minimum Credit Score | 720 |
Rural Location | Not permitted |
New Market Entry | Not permitted |
Maximum LTARV | 70% |
Even if you meet these standards, we may still request a formal appraisal based on your specific deal.
For Connecticut properties, exterior-only appraisals are acceptable for:
Real estate owned (REO) acquisitions
Properties bought through foreclosure auctions
Sheriff’s sales
Online auction wins
Bankruptcy-related property purchases
The appraisal must be dated within 120 days of closing. Reports between 120–179 days must be recertified to qualify.
If your project doesn't qualify for in-house or exterior appraisal, a full interior appraisal is required. Below are the required forms:
Property Type | Required Appraisal Forms |
---|---|
Single-Family | 1004 + 1007 ARV (non-gridded, including As-Is value) |
2–4 Unit | 1025 + 216 ARV (non-gridded, including As-Is value) |
Condominium | 1073 + 1007 ARV (non-gridded, including As-Is value) |
Unless you’re transferring a qualifying appraisal, we will order the appraisal through one of our trusted AMCs. You're responsible for paying the AMC directly. Delays in payment will pause your loan process.
We may accept an appraisal you’ve already ordered if it meets the following:
Ordered via a pre-approved AMC
Dated within 180 days of your closing
Recertified if between 120–179 days old
Accompanied by:
A signed transfer letter confirming AIR compliance
The full PDF report
The XML file of the appraisal
Meeting these requirements ensures a smooth underwriting process and helps avoid unnecessary delays.
Scenario: Stabilized Bridge Loan in Connecticut
For investment properties in excellent condition (C4 or better) with minimal deferred maintenance, OfferMarket can provide up to 75% of the as-is value—without requiring a rehab draw. This “stabilized” bridge loan product is ideal for Connecticut investors purchasing properties ready for resale or immediate lease.
Property Type | Required Appraisal Forms |
---|---|
Single-Family | 1004 + 1007 ARV (non-gridded, including As-Is value) |
2–4 Unit | 1025 + 216 ARV (non-gridded, including As-Is value) |
Condominium | 1073 + 1007 ARV (non-gridded, including As-Is value) |
Key Loan Details for Connecticut
Criteria | Details |
---|---|
Loan Amount | $25,000 to $2,000,000* |
Units per Property | 1 – 4 |
Eligible Properties | Non-owner occupied:Single-family homes, townhomes,duplex to fourplex, warrantable condos |
Minimum Size | SFR: ≥700 SQFT2–4 Unit/Condo: ≥500 SQFT per unit |
Max Acreage | 5 acres |
Loan-to-Cost (LTC) | Up to 90% purchase + up to 100% rehab |
Loan-to-ARV (LTARV) | Up to 75% |
Down Payment | Minimum $10,000 (if purchase < $100K) |
Standard Term | 12 months |
Extensions | Up to 50% of original term (fees apply) |
Points | 1.5 – 2 points (min $2,000) |
Prepay Penalty | None |
Occupancy | Business use only – non-owner occupied |
Transaction Types | Arm’s-length purchases and refinances |
Geographic Focus | Connecticut statewide |
Amortization | Interest-only with balloon at maturity |
Interest Accrual | Under $100K: full loan amountOver $100K: disbursed funds only |
Loans over $1M are subject to additional requirements.
Extensions: Staying on Schedule in Connecticut
Bridge loans are short-term by design—typically 12 to 24 months. If your project requires more time, you can apply for an extension, but additional fees will apply. To avoid delays:
Work with Connecticut-based contractors who understand the regional permitting processes
Plan realistic timelines for inspections and tenant transitions
Ensure the property is immediately accessible (no legal or occupancy delays)
Always build a backup strategy: resale or refinance
Original Term | Max Extension |
---|---|
12 months | 6 months |
18 months | 9 months |
24 months | 12 months |
Extension Period | Fee |
---|---|
3 months (1st request) | 1% of total loan amount |
3 months (2nd request) | 1.5% of total loan amount |
6 months (1st request) | 2.5% of total loan amount |
Builder’s risk insurance must be active through the extended period.
Ineligible Property Types in Connecticut
We do not fund the following:
Mixed-use buildings
Multifamily (5+ units)
Condotels or co-ops
Mobile or manufactured homes
Commercial properties
Log cabins or unmodernized rustic homes
Oil/gas lease encumbered properties
Active farms, ranches, orchards
Seasonal/vacation rentals
Properties only accessible by unpaved roads
Case-by-Case Exceptions
We may consider exceptions for:
Guarantor credit scores between 660–679
Leasehold or ground rent agreements
SFRs with 500–699 SQFT
2–4 unit properties with at least one unit between 400–499 SQFT
High as-is value relative to cost basis
Non-arm’s-length deals
Financed interest reserves
Borrower & Guarantor Requirements for Connecticut
Item | Requirement / Eligibility |
---|---|
Borrowing Entities | LLC or Corporation only (no nonprofits) |
Eligible Borrowers | U.S. Citizens, Permanent Residents, qualified Foreign Nationals |
Foreign Nationals | Valid passport & U.S. visa (excluding student/travel unless under VWP) |
Credit Score | Minimum 680 (exceptions for 660–679) |
Credit Report | Tri-merge report no older than 120 days |
Liquidity | Liquid assets = cash to close + 25% of rehab budget |
Guaranty Structure | Purchases: 51% of entity must guaranteeCash-outs: 100% must guaranteeFull recourse required |
Net Worth | Combined guarantor net worth = at least 50% of loan amount |
Verifying Liquidity
To proceed smoothly, borrowers/guarantors must show proof of liquid funds.
Acceptable Liquid Assets Include:
Personal or business bank accounts
Brokerage accounts (personal or business-related)
Retirement accounts (50% of balance considered)
You’re not required to move funds—just show you control them.
Credit and Background Review
We assess credit history to ensure borrower reliability:
Tri-merge: Middle score (of 3) or lower score (of 2) used
No mortgage tradelines: 6 months of reserves required
Fewer than 5 tradelines: Same reserve rule applies
Condition | Guideline |
---|---|
Bankruptcy | Discharged >4 years prior to closing |
Foreclosure | Settled >4 years ago |
Recent Bankruptcy/FC | 4–7 years ago: 3-month reserve required |
Late Mortgage Payments | LOE required; may result in denial |
Past Due Balances | Must be paid before closing |
Liens/Judgments | Must be settled in full |
Pending Lawsuits | LOE required; subject to review |
Criminal Charges | Financial crimes or open criminal cases are disqualifying |
By staying organized, transparent, and financially prepared, you'll breeze through the Connecticut bridge loan process with OfferMarket as your trusted lending partner.
Interest reserves are funds held in escrow and applied to your monthly accrued interest. They help reduce the burden of out-of-pocket interest payments during the early project phase.
Scenario | Required Reserve |
---|---|
Lender discretion (default) | 0 months |
Guarantor with FICO 700+ | 1 month |
Guarantor with FICO 660–699 | 3 months |
Guarantor with FICO 660–699 + red flags | 6 months |
Financed Interest Payments
To help preserve your liquidity during renovations, you may choose to roll interest payments into the final payoff rather than paying monthly. Here’s how it works:
Example:
Loan amount: $100,000
Interest rate: 12%
Duration: 9 months
Calculation:
$100,000 × 12% ÷ 12 months × 9 months = $9,000 accrued interest
Payoff Summary:
Item | Amount |
---|---|
Unpaid principal | $100,000 |
Unpaid interest | $9,000 |
Property Sourcing Guidelines
New Markets: May require a General Contractor agreement or justification if you’re self-managing.
Wholesale Deals: Chain-of-title, assignment docs, or sharp price increases must be explained.
Condos & Complex Projects: Engineering, architectural drawings, or permits may be needed.
Always submit complete documentation—purchase contracts, settlement statements, payoff letters, rehab history, and LLC formation records.
Insurance Requirements for Bridge Loans in Connecticut
Ensure your project is properly insured before closing. Our standard package (Builders Risk / Fix-and-Flip insurance) is designed for properties that are vacant, under renovation, or distressed.
Coverage Type | Limit | Required? |
---|---|---|
Dwelling | Replacement cost or full loan amount (no coinsurance allowed) | Yes |
Liability | $1M per occurrence / $2M annual aggregate | Yes |
Builders Risk | Included | Yes |
Flood | Greater of $250K or loan balance (only if in FEMA flood zones) | If applicable |
Item | Requirement |
---|---|
AM Best Rating | A- or better (preferably A‑VIII or higher) |
Policy Type | Special form coverage |
Deductible | $1,000–$5,000 |
Lender Designation | OfferMarket Capital LLC as Mortgagee & Insured |
Cancellation Notice | Minimum 30 days advance written notice |
No Exclusions | Must include wind, hail, and named storms |
💡 Pro Tip: After taking possession in Connecticut, immediately install smoke detectors, secure all locks, and consider outdoor security cameras. These actions can support insurance claims and improve site safety.
We fund bridge loans across the state—from Stamford to New Haven, Hartford to Norwich, and even rural towns that meet our criteria.
Yes, Connecticut investors often hold more than one active loan. We’ll assess your liquidity and experience to help you manage risk properly.
Yes. All loans are business-purpose and issued to LLCs or corporations—making them commercial loans, even when secured by residential properties.
$25,000 is the minimum financing amount.
Eligible 1–4 unit, non-owner occupied properties include:
Single-family homes
Duplexes, triplexes, quadplexes
Warrantable condos
Townhomes
Planned unit developments (PUDs)
We do not finance 5+ unit multifamily, mixed-use, or commercial buildings under this program.
We focus on LTARV (Loan-to-After-Repair Value). Your initial advance is based on the lower of:
As-is appraised value
Contract purchase price
LTARV = Total Loan ÷ Estimated After-Repair Value
Minimum FICO: 680 (660–679 considered on exception)
Experience: Not required, but documented projects improve your leverage tier
No. Wholesaling doesn’t count unless you took on financial and rehab responsibility.
Document | Purpose |
---|---|
Purchase Contract | Signed by buyer and seller |
Credit Report | Soft tri-merge for each guarantor |
Background Report | For all guarantors |
Rehab Track Record | Proof of past projects |
ID Verification | Passport, green card, or driver’s license |
Business Documents | Articles, Operating Agreement, Good Standing, W-9 |
Scope of Work | Detailed budget used to estimate ARV |
Appraisal | Ordered via our link; uploaded upon completion |
Bank Statements | Two recent per guarantor (personal, business, or IRA) |
Letter of Explanation | If needed to clarify credit or large deposits |
Document | Purpose |
---|---|
Settlement Statement | Fully signed, post-closing |
Credit Report | Soft tri-merge for all guarantors |
Background Report | Required |
Rehab History | Track record for each guarantor |
ID Verification | Government-issued ID |
Entity Docs | Operating Agreement, Articles, Certificate, W-9 |
Sunk Costs | Summary of funds spent on rehab/holding costs |
Scope of Work | Detailed renovation budget |
Appraisal | Ordered via our system |
Bank Statements | 2 recent per guarantor |
LOE | If clarification is required |
Requirement | Explanation |
---|---|
Experience | At least 3 completed projects at similar value/scope |
Comps | 3+ closed sales within 2 miles in past 6 months |
FICO | 680+ with 5 tradelines reporting 24+ months |
Rural Properties | Not permitted (per CFPB, USDA, or appraiser designation) |
Track Record | Must be supported by verifiable rehab history |
Term | Definition |
---|---|
ADU | Accessory Dwelling Unit |
Arms-Length | Unrelated buyer/seller at fair market conditions |
Non-Arms-Length | Involves related parties or potential conflicts of interest |
Initial Advance | Funds wired at closing for the purchase |
Construction Holdback | Funds reserved for renovation, released per draw schedule |
Interest Reserves | Escrow funds covering initial interest accrual |
LOE | Letter of Explanation |
LTC | Loan ÷ (Purchase + Rehab) |
LTFC | Loan ÷ Full project cost (used for higher-risk rehabs) |
LTV | Loan ÷ As-is value |
LTARV | Loan ÷ After-repair value |
As Disbursed Interest | Interest charged only on released funds |
Full Boat Interest | Interest charged on the entire approved loan |
Lopsided Deal | Rehab cost heavily outweighs purchase price |
GC Agreement | General Contractor scope confirmation |
DSCR | Debt Service Coverage Ratio (Rent ÷ PITIA) |
OfferMarket Capital LLC proudly supports Connecticut real estate investors with flexible bridge loans and DSCR financing for 1–4 unit residential assets. Whether you're flipping in Bridgeport or renting in Hartford, we’re here to fund your success.
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