Hard Money Loan Alaska
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Last updated: May 8, 2025
At OfferMarket, our goal is to help you build long-term wealth through strategic real estate investments. Whether you're flipping houses in Anchorage, rehabbing rental properties in Juneau, or snapping up discounted deals in Wasilla or Fairbanks, our platform gives you the tools to succeed.
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Our Hard Money Loan Alaska program delivers fast, reliable, and competitively priced financing for 1-4 unit residential investment properties. Whether your goal is to renovate and sell, or hold and refinance into a long-term DSCR loan, we're here to support your success every step of the way.
Let’s dive into the OfferMarket Hard Money Loan Alaska Program.
What is a hard money loan?
A hard money loan is a short-term real estate loan backed by a hard asset—namely, the property itself. This type of financing is perfect for purchasing, refinancing, and improving 1-4 unit residential properties throughout Alaska, especially when speed and flexibility are critical.
Commonly known as “bridge loans” or “fix and flip loans,” hard money loans are popular among real estate investors throughout Alaska—from the suburban streets of Eagle River to the growing neighborhoods of the Mat-Su Valley. These terms are used interchangeably, but they all point to one thing: fast, asset-backed funding tailored to investor needs.
Hard Money Loan Scenarios
Here are some of the most common reasons real estate investors in Alaska turn to hard money loans:
You’ve found a distressed duplex in Palmer that needs major TLC and want to purchase and renovate it without draining your cash reserves.
You snagged an off-market triplex in Kenai with cash to win the deal fast, but now you need to refinance and fund the rehab work.
Your current hard money lender is due for repayment, but you're midway through rehabbing a fourplex in Anchorage and need additional time and capital to finish the job.
You're flipping a property in Sitka as-is without any rehab. You bought it below market value and now want to sell it for a profit.
You paid cash for a property in Bethel and now need to tap into the equity to finance your next deal—without plans for renovation.
You completed a renovation on a rental property in Soldotna and need more time to refinance or find the right buyer.
How it works
Each Hard Money Loan in Alaska through OfferMarket is structured with two components:
- Initial Advance – This portion covers your property purchase and is wired directly to the title company at settlement.
- Construction Holdback – Funds for the renovation phase, released to you through draw reimbursements as work progresses.
Our Alaska hard money loans are designed for flexibility. Want to buy a property in Anchorage but already have the funds for rehab? You can opt out of the construction holdback. Only need financing for rehab on a property you own free and clear in Kodiak? You can structure your loan accordingly.
Most investors use both components to reduce out-of-pocket cash while boosting returns. However, some Alaska investors prefer only the Initial Advance if they're handling rehab themselves or flipping without improvements. Others fund the purchase in cash and seek 100% rehab financing—perfect for completing renovations on a Juneau rental before listing or refinancing.
Your exit strategy—whether you flip in a hot Anchorage neighborhood or hold long-term as a rental in Wasilla—can evolve based on market dynamics. Alaska's real estate market shifts, and flexibility is your ally.
You might start with a BRRRR strategy—Buy, Rehab, Rent, Refinance, Repeat—but discover a strong seller's market once the project wraps up, making a sale more profitable.
Or you might intend to flip, but if the market cools, pivoting to rent and refinance with a DSCR loan could protect your returns.
Alaskan investors benefit by targeting deals with dual exit strategies. That way, you're never boxed in by unpredictable market turns.
Who uses hard money loans?
- Fix and flip investors (“flippers”)
- Rental property investors (“BRRRR Method”*)
(*) Explore our Fix and Rent bundle: a hard money loan to acquire and renovate, followed by a discounted DSCR loan to refinance—tailor-made for Alaska rental property investors.
Many Alaska-based investors embrace hybrid strategies: flipping some properties and holding others. This adaptable approach is a hallmark of successful portfolios in markets like Anchorage, Juneau, and Fairbanks.
Hard Money Loan Program Guidelines
| Criteria | Guideline |
|---|---|
| Loan amount (minimum) | $25,000 |
| Loan amount (maximum) | $2,000,000 |
| ARV (minimum) | $100,000 |
| Experience | Not required |
| Credit score (minimum) | 680 |
| Borrowing entity | LLC or Corporation |
| Initial advance | up to 90% |
| Construction holdback | up to 100% |
| LTARV (maximum) | 75% |
| Interest rate | get instant quote |
| 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 (51% of borrowing entity must guarantee) |
| Exit strategy: Sale | minimum 30% ROI |
| Exit strategy: Refinance | minimum 1.1 DSCR after repairs |
| Valuation | Appraisal or In-house valuation |
| SqFt (minimum) | SFR: 700+, 2–4 unit: 500+/unit, Condo: 500+ |
| Acreage (maximum) | 5 |
| Interest accrual | < $100K: full boat, ≥ $100K: as disbursed |
| Advanced draws | Lender discretion |
| Down payment (minimum) | $10,000 |
Project Eligibility
At OfferMarket, our top priority is helping Alaska investors grow their wealth safely through real estate. We’re proud that less than 0.5% of loans we’ve ever originated have resulted in foreclosure. That’s because we take your success seriously.
We carefully evaluate projects to ensure they're a fit—especially when the borrower has limited experience. Heavy rehabs in rural areas like Delta Junction or high-complexity flips in areas like Homer can pose real risk, particularly during economic uncertainty.
Our role isn't just funding—we're your deal advisor, risk manager, and partner. To support your success, we use a structured system to classify rehab scopes and determine eligibility.
Initial Advance
Your initial advance is tailored based on your experience and the specifics of your Alaska project. We review how many properties you’ve owned in the past two years and how many comparable rehabs you’ve completed in the past five.
A 680 minimum credit score is required, though we prefer guarantors with 720+.
Realtors, General Contractors, and Professional Engineers in Alaska may qualify for more favorable leverage.
If the purchase price exceeds our valuation, we base the initial advance on the As Is value—not your contract price. Similarly, if your exit plan is to sell, we require at least a 30% projected gross margin and a $15,000 profit. If you're refinancing, post-repair DSCR should be at least 1.1.
For rural properties—common in Alaska—we require a minimum experience level of 3 and offer limited initial advance due to added risk.
Experience-Based Tiers
| Tier | Verifiable Experience |
|---|---|
| 1 | 0 |
| 2 | 1 to 2 |
| 3 | 3 to 4 |
| 4 | 5 to 9 |
| 5 | 10+ |
Initial Advance by Tier
| Tier | Initial Advance (% of purchase price) |
|---|---|
| 1 | 80%* |
| 2 | 85% |
| 3 | 85% |
| 4 | 90% |
| 5 | 90% |
* 85% available on an exception basis for borrowers with excellent credit and liquidity.
Adjustments to Initial Advance
| Scenario | Adjustment |
|---|---|
| Credit score < 720 | -5% |
| Full gut rehab | -5% |
| New market | -5% |
| Licensed Realtor | up to +5% |
| Licensed General Contractor | up to +10% |
| Licensed Professional Engineer | up to +10% |
| Rural (3+ experience) | -20% |
Rehab Scope Classification
| Rehab Scope | Definition |
|---|---|
| Light | Budget < 25% of purchase price |
| Moderate | Budget = 25% to 49.99% of purchase price |
| Heavy | Budget = 50% to 99.99% of purchase price |
| Extensive | Budget ≥ 100% of purchase price (expansion, ADU, lopsided deal*) |
* A “lopsided deal” means the rehab budget exceeds the purchase price or As Is value.
Rehab Scope Eligibility
| Tier | 1 | 2 | 3 | 4 | 5 |
|---|---|---|---|---|---|
| Experience | 0 | 1–2 | 3–4 | 5–9 | 10+ |
| Light | Eligible | Eligible | Eligible | Eligible | Eligible |
| Moderate | Ineligible | Eligible | Eligible | Eligible | Eligible |
| Heavy | Ineligible | Eligible | Eligible | Eligible | Eligible |
| Extensive | Ineligible | Ineligible | Eligible | Eligible | Eligible |
LTARV Limits
| Tier | 1 | 2 | 3 | 4 | 5 |
|---|---|---|---|---|---|
| Experience | 0 | 1–2 | 3–4 | 5–9 | 10+ |
| Light | 70% | 70% | 75% | 75% | 75% |
| Moderate | Ineligible | 70% | 75% | 75% | 75% |
| Heavy | Ineligible | 70% | 75% | 75% | 75% |
| Extensive | Ineligible | Ineligible | 70% | 70% | 70% |
LTFC Limits
| 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% |
Example: No Experience
Let’s say you’re starting out in the Anchorage market with no prior flips or rentals.
Purchase Price: $100,000
Tier: 1 (0 similar verifiable experience)
Credit Score: 695
Rehab Budget: $24,000
ARV: $150,000
Initial Advance: $75,000 (75%)
Construction Holdback: $24,000
Total Loan Amount: $99,000
LTARV: 66%
LTFC: 79.8%
Interest Accrual: Full boat
Example: No Experience, Excellent Credit
For new investors with great credit scores—even in markets like Fairbanks—leverage improves.
Purchase Price: $100,000
Tier: 1 (0 similar verifiable experience)
Credit Score: 750
Rehab Budget: $24,000
ARV: $150,000
Initial Advance: $80,000 (80%)
Construction Holdback: $24,000
Total Loan Amount: $104,000
LTARV: 69.33%
LTFC: 83.9%
Interest Accrual: As disbursed
Example: 5 Experience
A seasoned investor in Kenai Peninsula with five successful deals might see:
Purchase Price: $100,000
Tier: 4 (5 similar verifiable experience)
Credit Score: 750
Rehab Budget: $20,000
ARV: $150,000
Initial Advance: $90,000 (90%)
Construction Holdback: $20,000
Total Loan Amount: $110,000
LTARV: 73.33%
LTFC: 91.67%
Interest Accrual: As disbursed
Refinance Using As Is Value Instead of Cost Basis for Initial Advance
For Alaska investors who’ve owned a property for several years—say, in a stable neighborhood of Wasilla—and made value-adding improvements, OfferMarket may lend based on the current appraised As Is value rather than the original purchase cost.
To qualify:
The property must be habitable (C4 condition or better)
It must be seasoned for at least 3 years
No default/extension/late fees on payoff statement
Guarantor FICO must be 680+
Experience Tier must be 3+ (4 similar verified projects)
Strong sale comps supporting the new valuation
Clear use-case (e.g., tenant vacated, now prepping to sell or refinance)
Transactions Involving Wholesalers, Price Run-Ups
Alaska has growing wholesale activity, especially in areas like Eagle River and Anchorage. If you're buying from a wholesaler, we can include their assignment fee in your valuation—up to 20% of the original purchase price.
For example:
A-B Contract (original seller to wholesaler): $100,000
B-C Contract (wholesaler to you): $125,000
As Is Value: $125,000
Value Basis: $120,000
Conditions:
Max price jump between A-B and B-C: 20%
No MLS listings allowed for run-up inclusion
Full documentation (chain of contracts, wholesaler’s entity docs) required
No financing of finder’s or referral fees
Construction Holdback
Alaskan projects often require staged renovation draws. OfferMarket’s draw system ensures fast funding tied to your progress.
| Criteria | Guideline |
|---|---|
| Minimum draw amount | None |
| Maximum draw amount | 100% of remaining holdback |
| Minimum number of draws | 0 |
| Maximum number of draws | None |
| Materials delivered but not installed | 50% reimbursable (with invoice) |
| Draw inspection | App-based, self-serve |
| Draw turnaround | 0 to 2 business days |
| Draw fee | $270 |
| Wire fee | $30 |
Appraisal and In-house Valuation
Every hard money loan we fund in Alaska requires a reliable property valuation. Whether you're financing a flip in Anchorage, a rental in Fairbanks, or a duplex in Kenai, we use a tiered approach to determine how your valuation is handled, based on your experience, credit profile, and the property location.
In-House Valuation
If you’re a seasoned investor (Tier 4 or 5), with a credit score of 720+ and the property is located in a non-rural, non-new market part of Alaska (such as central Anchorage or Mat-Su Valley), you may qualify for our streamlined in-house valuation process.
| Criteria | Requirement |
|---|---|
| Property type | Single family, Duplex, Triplex, Quadplex |
| Experience Tier | 4 or higher |
| Credit score | 720+ |
| Rural area | Not eligible |
| New market | Not eligible |
| LTARV limit | 70% maximum |
Note: Even if you qualify, OfferMarket may still require a third-party appraisal at our discretion.
Exterior Appraisal
For certain transaction types in Alaska—such as foreclosure auctions in Wasilla or REO sales in Juneau—an exterior-only appraisal is sufficient. These are allowed when the property has a clean title and you’re acquiring it in an investor-friendly context, such as:
Bank-owned (REO)
Auction (foreclosure, sheriff’s sale)
Bankruptcy or estate sales
Appraisal must be dated within 120 days of settlement. If it’s between 120 and 179 days old, we’ll require a recertification before closing.
Interior Appraisal
If your Alaska property doesn’t meet the in-house or exterior appraisal criteria, a full interior appraisal will be required. This is standard for most purchases, cash-out refinances, and high-LTARV loans.
| Property Type | Appraisal Forms Required |
|---|---|
| Single Family | 1004 + 1007 ARV, with As Is value (non-gridded format) |
| 2–4 Unit | 1025 + 216 ARV, with As Is value (non-gridded format) |
| Condo | 1073 + 1007 ARV, with As Is value (non-gridded format) |
We handle ordering the appraisal through a licensed Appraisal Management Company (AMC). Once your invoice is paid, the appraisal is completed and uploaded directly to your OfferMarket Loan File.
Note: No loan will be funded until your appraisal invoice is paid in full.
Scenario: Stabilized Hard Money Loan
If your property in Juneau, Fairbanks, or elsewhere in Alaska is already in good shape (C4 or better condition), we may offer funding based on the current As Is value, up to 75% LTV.
| Criteria | Guideline |
|---|---|
| LTV (maximum) | Tier 1: 70% • Tier 2: 70% • Tier 3: 75% • Tier 4: 75% • Tier 5: 75% |
| LTFC (maximum) | Tier 1: 80% • Tier 2: 80% • Tier 3: 90% • Tier 4: 90% • Tier 5: 90% |
| Appraisal Condition | C1, C2, C3, or C4 |
| Loan Term (maximum) | 12 months |
Key Loan Details
| Criteria | Details |
|---|---|
| Loan Amount | $25,000 to $2,000,000* |
| Units per Property | 1 – 4 |
| Eligible Property Types | Non-owner occupied 1‑4 unit residential: SFRs, duplexes, triplexes, quads, condos |
| Property Minimum Size | SFR: ≥700 SQFT • Condo/2‑4 Unit: ≥500 SQFT per unit |
| Max Acreage | 5 acres |
| Loan to Cost (LTC) | Up to 90% purchase, 100% rehab |
| Loan to ARV (LTARV) | Up to 75% |
| Down Payment | Minimum $10,000 for purchases under $100K |
| Loan Term | 12 months standard; 18–24 months case-by-case |
| Extensions | Up to 50% of original term (fee applies) |
| Points | 1.5 to 2 points ($2,000 minimum) |
| Prepayment Penalty | None. No minimum interest earned. |
| Occupancy | Non-owner occupied – business purpose only |
| Transaction Types | Arm’s-length purchase, refinance |
| Geographic Region | All US states except AK, AZ, HI, MN, ND, NV, OR, SD, UT, VT |
| Amortization | Interest-only with balloon at maturity |
| Interest Accrual Method | < $100K: Full Boat • ≥ $100K: As Disbursed |
Extensions
Hard money loans are designed for speed and efficiency, particularly in Alaska where market timing can vary dramatically between regions like Anchorage and smaller towns like Seward. Ideally, your loan should be repaid within 12 months.
However, if you need more time, extensions are possible—but they come with fees, added interest, and increased risk of foreclosure if the balance isn’t cleared by the end of the extension.
Alaska investors can protect themselves by avoiding common pitfalls that trigger extensions, such as:
Inexperienced or unreliable general contractors
Rehab plans that exceed your capacity or liquidity
Delays from zoning/permitting, which can be common in more rural boroughs
Tenants with remaining lease terms or holdovers needing eviction
Lack of a clear dual exit strategy (flip or refinance)
Control these variables, and you'll avoid most extension-related headaches.
Extension Limits
If you're unable to pay off the loan by the original term, OfferMarket allows extensions—but only up to 50% of your initial loan term.
| Initial Loan Term | Max Extension |
|---|---|
| 12 months | 6 months |
| 18 months | 9 months |
| 24 months | 12 months |
Extensions are granted in 3- or 6-month increments, subject to the terms below.
Extension Terms and Fees
| Extension Term | Fee |
|---|---|
| 3 months (1st request) | 1% of the total loan amount |
| 3 months (2nd request) | 1.5% of the total loan amount |
| 6 months (1st request) | 2.5% of the total loan amount |
Extension Prerequisites
Before we approve a loan extension for your Alaska property, we need to verify that your builder’s risk insurance policy is active for the entire extension period.
This ensures your property remains protected from hazards—especially important in Alaska’s colder climates where winter damage can escalate quickly.
Ineligible Property Types
While we fund a wide variety of real estate projects in Alaska, certain property types are not eligible under this program. These include:
Mixed use properties
5+ unit multifamily
Condotels and co-ops
Mobile or manufactured homes
Commercial buildings (retail, industrial, office)
Cabins or log homes
Properties with oil/gas leases
Active farms, ranches, orchards
Vacation rentals or seasonal-use homes
Unique, exotic, or luxury properties
Properties on unpaved or dirt roads
Exception Scenarios
OfferMarket may grant exceptions under specific conditions, including:
Credit scores between 660–679
Leasehold (ground rent) ownership structures
Single family homes sized 500–699 SQFT
2–4 unit buildings with at least one unit 400–499 SQFT
Initial advances based on As Is value > cost basis
Non-arm’s length transactions (must be fully documented)
Financed interest payments (if credit and liquidity support it)
Borrower and Guarantor Requirements
| Item | Requirements / Eligibility |
|---|---|
| Borrowing Entities | LLC or Corporation only. Nonprofits not eligible |
| Eligible Borrowers | U.S. Citizens, Permanent Residents, and qualified Foreign Nationals |
| Foreign Nationals | Valid Passport & U.S. Visa (excluding student/travel visas) |
| Guarantor Credit Score | Minimum 680 FICO (exceptions 660–679) |
| Credit Report | Tri-Merge required, not older than 120 days |
| Guaranty Structure | Purchase: 51%+ of entity must guarantee. Refi: 100% of entity must |
| Net Worth Requirement | Aggregate net worth = at least 50% of loan amount |
| Recourse | Full recourse required |
Liquidity Verification
To ensure you can meet obligations and stay liquid during the project, we verify your ability to cover cash to close + 25% of rehab budget.
| Eligible Liquid Assets |
|---|
| Personal or business bank accounts |
| Brokerage accounts (personal or business) |
| Retirement accounts (50% of value considered) |
| Verification Process |
|---|
| Two most recent statements |
| No seasoning required on new accounts |
| Letter of explanation for large deposits |
Credit and Background Items
| Item | Requirement |
|---|---|
| Tri-Merge Scores | Use middle of 3, or lower of 2 scores |
| No Mortgage Tradelines | Require 6 months of interest reserves |
| < 5 Tradelines | Require 6 months of interest reserves |
| Bankruptcy (discharged < 4 years) | Ineligible |
| Bankruptcy (4–7 years) | LOE + 3 months reserves |
| Foreclosure (last 4 years) | Ineligible |
| Foreclosure (4–7 years) | LOE + 3 months reserves |
| Recent Late Payments | LOE required, may be ineligible |
| Past Due Balances | Must be paid before funding |
| Involuntary Liens or Judgments | Must be resolved pre-closing |
| Civil Lawsuits | LOE + loan committee review |
| Criminal History (financial/serious/repeat) | Ineligible or LOE + committee review |
Interest Reserves
Interest reserves are held in escrow and drawn down to cover payments before borrower cash is used. Your reserve requirement depends on credit strength.
| Scenario | Interest Reserve |
|---|---|
| Lender discretion | 0 months |
| Guarantor FICO ≥ 700 | 1 month |
| FICO 660–699 | 3 months |
| FICO 660–699 + credit/background issues | 6 months |
Financed Interest Payments
If you qualify, you may roll monthly interest into your loan payoff to preserve cash for rehab. This structure is ideal when you're maximizing liquidity on projects in high-opportunity markets like Anchorage or Juneau.
Example:
Loan: $100,000
Interest Rate: 12%
Held 9 months
Accrued Interest: $9,000
Payoff = Principal + $9,000 interest
No monthly payments required; interest is added to your payoff statement.
Property Sourcing Guidelines
When submitting Alaska deals, be prepared to support your transaction with documents and due diligence. Key reminders:
If it's a new market, provide a GC agreement or explanation
For wholesale deals, include the full chain of contracts
For complex rehabs (ADUs, conversions), submit engineering docs
Submit all the basics:
Purchase contracts
Settlement statements
Track record
Entity formation documents
Insurance Guidelines for Hard Money Loans
All Alaska properties must carry Builder’s Risk Insurance during the loan term. This coverage protects the structure and your company from liability—especially critical in remote regions where claims processing can be delayed by geography.
| Coverage Type | Limit | Required |
|---|---|---|
| Dwelling | Replacement cost or loan amount | Yes |
| Liability | $1M per occurrence / $2M aggregate | Yes |
| Builder’s Risk | Included | Yes |
| Flood | If in FEMA hazard zone: $250K+ | Conditional |
Insurance Coverage Details
| Coverage Item | Requirement |
|---|---|
| AM Best Rating | A- VIII or better |
| Policy Type | Special Form |
| Deductible | $1,000 to $5,000 |
| Lender’s Designation | Mortgagee and Additional Insured |
| Exclusions | No hail/wind/named storm exclusions |
| Cancellation Clause | 30-day notice required |
💡 Pro Tip: Install smoke detectors, locks, and cameras right after taking ownership to stay compliant with your insurance policy.
Frequently Asked Questions Alaska Hard Money Loans
What states does OfferMarket fund hard money loans?
We lend in nearly all states. For Alaska, we act as a referral and rate shopping service, connecting you with licensed capital providers due to regulatory requirements.
Can I have multiple hard money loans at once?
Yes. Many Alaska investors manage several deals simultaneously. We’ll help you balance liquidity and risk appropriately.
Are hard money loans commercial?
Yes. These are business purpose loans made to an entity, and not subject to residential lending rules.
What’s the minimum loan amount?
$25,000.
What properties are eligible?
Non-owner-occupied SFRs, duplexes, triplexes, quads, condos, and townhomes—1 to 4 units.
How Do You Calculate Loan-to-Value (LTV)?
When underwriting Alaska hard money loans, OfferMarket evaluates multiple value metrics depending on the scenario:
LTV typically refers to the loan amount divided by the As Is value of the property.
LTARV refers to the loan amount divided by the After Repair Value (ARV)—which is most common for rehab projects.
Your initial advance is based on the lower of either:
The As Is value from appraisal, or
The purchase price listed in your contract (or prior closing, if this is a refi)
Example:
Purchase Price: $100,000
As Is Appraised Value: $90,000
We use the $90,000 for calculating the loan amount
What Are the Credit Requirements?
To qualify for an Alaska hard money loan:
Minimum FICO score of 680 required
Scores between 660–679 may be reviewed for exception-based approval
We only assess credit scores of guarantors (not all LLC members)
A Tri-Merge report is required for each guarantor
What Are the Experience Requirements?
Experience is not required, but it plays a major role in:
Your experience tier
Your initial advance leverage
The scope of rehabs you’re eligible for
The likelihood of getting funded in rural or higher-risk markets
We verify experience using:
Settlement statements
Property records
Operating agreements (when needed)
Once verified, your track record is stored for faster approval on future Alaska deals.
Does Being a Wholesaler Count as Experience?
No. While wholesaling can be a valuable part of the industry, it doesn’t demonstrate that you’ve successfully owned, managed, and completed a rehab project—which is what our underwriting team needs to see.
What Documentation Is Required?
OfferMarket’s Loan File system helps you upload everything securely and efficiently. Once verified, you can reuse documents across future loan applications.
Purchase Transaction Requirements
| Loan File Section | Required Documentation |
|---|---|
| Purchase Contract | Fully executed by buyer and seller |
| Credit Report | Tri-Merge soft pull for each guarantor |
| Background Report | For all guarantors |
| Track Record | Rehab experience summary with verifications |
| ID Verification | Driver’s license, passport, or green card |
| Borrowing Entity Docs | Articles, Operating Agreement/Bylaws, Good Standing, W-9 |
| Scope of Work | Detailed rehab budget |
| Appraisal Report | Ordered by OfferMarket (invoice paid before scheduling) |
| Bank Statements | Two most recent for each guarantor |
| LOE (if requested) | Explanation for large deposits, credit items, etc. |
Refinance Transaction Requirements
| Loan File Section | Required Documentation |
|---|---|
| Settlement Statement | Original settlement from previous purchase |
| Credit Report | Tri-Merge soft pull for each guarantor |
| Background Report | For all guarantors |
| Track Record | Past projects and rehabs completed |
| ID Verification | Government-issued ID |
| Borrowing Entity Docs | Articles, Operating Agreement/Bylaws, Good Standing, W-9 |
| Sunk Costs | Proof of capital already invested |
| Scope of Work | Rehab plan if any work is to be done |
| Appraisal Report | Ordered through OfferMarket, paid before closing |
| Bank Statements | Two most recent statements per guarantor |
| LOE (if requested) | As needed for credit issues or non-standard documentation |
Are There Special Requirements for Loans Over $1M?
Yes. Projects over $1,000,000 come with additional expectations due to higher risk and capital exposure. This applies in high-demand Alaska areas like Anchorage or in large-scale flips.
| Criteria | Requirement |
|---|---|
| Experience | Minimum Tier 3 (3+ verifiable similar projects) |
| Market Liquidity | At least 3 recent comps within 2 miles, sold on MLS |
| Credit Score | Minimum 680 with 5 tradelines, 24-month history |
| Rural Designation | Not eligible if property is in USDA/CFPB-defined rural zone |
| Track Record | Must be submitted and verified for each member of the entity |
Glossary of Key Terms
| Term | Definition |
|---|---|
| ADU | Accessory Dwelling Unit – additional livable structure on same lot |
| Arms-length | A transaction between unrelated parties at fair market value |
| Non-arms length | A transaction involving related parties, requiring special underwriting |
| Initial Advance | Loan funds used toward the property purchase, disbursed at closing |
| Construction Holdback | Loan funds held for rehab work, disbursed in draws |
| Interest Reserves | Prepaid interest held in escrow to make early loan payments |
| LOE | Letter of Explanation (for deposits, credit events, lawsuits, etc.) |
| LTC | Loan to Cost (Loan ÷ [Purchase + Rehab Budget]) |
| LTFC | Loan to Full Cost – stricter cap when rehab exceeds property value |
| LTV | Loan to Value – Loan ÷ current (As Is) value |
| LTARV | Loan to After-Repair Value – Loan ÷ expected post-rehab value |
| As Disbursed Interest | Interest charged only on funds disbursed |
| Full Boat Interest | Interest charged on total approved loan amount, regardless of draw timing |
| Lopsided Deal | When rehab budget exceeds property value—high risk, limited funding |
| GC Agreement | Formal rehab contract with a licensed General Contractor |
| DSCR | Debt Service Coverage Ratio (Rent ÷ Monthly Loan Payments incl. PITIA) |
Instant Hard Money Loan Quote
At OfferMarket, we specialize in helping Alaska real estate investors like you access fast, flexible capital to fuel your growth. Whether you're flipping cabins near the Kenai River or refinancing a portfolio of Anchorage rentals, we’re here to help you scale with confidence.
Thousands of real estate investors get value from OfferMarket every month. Membership is entirely free and includes the following benefits:
💰 Private lending ☂️ Insurance rate shopping 🏚️ Off market properties 💡 Market insights
