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Last updated: May 9, 2025
At OfferMarket, we’re committed to helping Connecticut real estate investors accelerate wealth creation through strategic property investments. Whether you're flipping in Fairfield County, buying off-market properties in New Haven, or BRRRRing in Bridgeport, we’re here to back your success every step of the way.
To support your journey, we offer an all-in-one real estate investor platform:
💰 Private lending
☂️ Insurance rate shopping
🏚️ Off-market investment opportunities
Our Connecticut Hard Money Loan program offers fast, flexible, and competitively priced financing solutions tailored for 1-4 unit residential investment properties.
Whether your plan is to flip the property or hold and refinance with a DSCR loan, we’re eager to support your vision and earn your trust.
Let’s explore what makes OfferMarket’s Hard Money Loan program a top choice for Connecticut investors.
A hard money loan is a short-term, asset-backed loan secured by residential investment real estate (typically 1-4 unit properties). It’s commonly used to purchase, refinance, and/or renovate the property—either for a quick flip or to retain it as a rental in your portfolio.
These loans are often called “bridge loans” or “fix and flip loans” in investor circles. They provide crucial speed and flexibility when conventional financing just won’t cut it—especially in competitive or off-market situations often found in Connecticut’s hot zip codes.
Connecticut real estate investors turn to hard money loans for a range of strategic situations:
Acquiring and renovating outdated properties in places like Waterbury or Norwalk, minimizing out-of-pocket expenses.
Refinancing fast-cash purchases from sellers demanding quick closings (common in off-market deals).
Paying off an existing loan on a project still under renovation—ensuring work can be completed without delay.
Purchasing undervalued properties with no renovation intent, aiming to resell “as-is” for a profit.
Refinancing an all-cash acquisition, extracting equity to fund the next opportunity.
Extending time post-renovation to sell or refinance a stabilized property at a better valuation.
A Connecticut hard money loan has two core components:
Our structure is designed for investor flexibility. Use only the initial advance, only the rehab budget, or both—whatever fits your strategy.
Most borrowers maximize leverage by using both components, but if you're funding rehab personally or skipping renovations altogether, you can tailor the loan to your needs.
Whether your strategy is to sell post-reno or refinance into a DSCR loan and rent it out, you’re covered. It’s even OK if your strategy changes mid-project—our program supports flexibility in response to Connecticut’s dynamic market conditions.
Say you start a flip in Stamford but end up holding the property due to soft resale activity—refinancing into a DSCR rental loan with a low prepay penalty might become your best move. Or you could pivot the other way: planning a BRRRR in Hartford, but realizing the resale market is hot and provides faster ROI.
The key? Always target deals with strong dual exit potential. That’s how seasoned Connecticut investors manage risk and optimize profits.
Across Connecticut, we work with a wide range of investors—whether it’s first-time buyers flipping their first duplex in New Britain or seasoned pros rehabbing properties across the I-95 corridor.
Hard money loans are perfect for:
Fix and Flip Investors
Flippers looking for speed and leverage to buy, renovate, and sell for a profit.
Rental Property Investors (BRRRR Method)
Connecticut landlords using the buy-rehab-rent-refinance-repeat strategy to grow their passive income portfolios.
(*) Want to lock in better terms after your rehab? Explore our Fix and Rent bundle: it combines your Connecticut hard money loan with a discounted DSCR refinance.
Many of our clients in CT blend both strategies—some properties are flipped for cash flow, others are refinanced and held for long-term wealth. Having multiple exit options is how our most successful borrowers stay ahead.
Guideline | Value |
---|---|
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 |
Recourse | Full (51% must guarantee) |
Exit strategy: Sale | Minimum 30% ROI |
Exit strategy: Refinance | Minimum 1.1 DSCR after repair |
Valuation | Appraisal or in-house |
SqFt (minimum) | SF: 700+ / 2-4: 500+ / Condo: 500+ |
Acreage (maximum) | 5 acres |
Interest accrual | <$100K: Full / $100K+: As disbursed |
Advanced draws | Lender discretion |
Down payment (minimum) | $10,000 |
We’re proud to report that fewer than 0.5% of our loans—across Connecticut and beyond—have ever defaulted. That’s not luck. It’s the result of a deliberate focus on risk management and partnership.
Real estate investing can be risky, especially for less experienced borrowers attempting extensive renovations. In our experience, overreaching on heavy rehab jobs in towns with long permitting cycles (like parts of New London County) often leads to delays, cost overruns, and stress—even for seasoned investors.
That’s why we emphasize projects with a reasonable scope of work and clear, achievable timelines.
We’re not just your lender—we’re your capital partner and risk advisor. Our eligibility and rehab scope guidelines are designed to keep you safe and successful.
Your initial advance is based on a few key variables:
Your real estate experience (number of rehabs and properties owned).
Credit score (minimum 680, ideally 720+).
Deal-specific metrics like projected ROI and DSCR.
Borrower type—Realtors, contractors, and engineers may qualify for higher leverage.
If your purchase price exceeds our appraiser’s “As Is” valuation, we’ll base the loan on the lower number. Our goal is to ensure sound lending and protect your equity position.
Thinking of flipping a property in Hartford with a projected profit of $20,000? If your projected ROI is over 30%, that will help qualify for higher leverage. If you’re refinancing to rent, a DSCR of 1.1+ is required.
Note: Rural properties (some in Litchfield County) require more experience and offer reduced leverage.
Tier | Verifiable Experience |
---|---|
1 | 0 |
2 | 1 to 2 projects |
3 | 3 to 4 projects |
4 | 5 to 9 projects |
5 | 10+ projects |
Tier | Advance (% of Purchase Price) |
---|---|
1 | 80% (*85% with strong credit/liquidity) |
2 | 85% |
3 | 85% |
4 | 90% |
5 | 90% |
Scenario | Adjustment |
---|---|
Credit score < 720 | -5% |
Full gut rehab | -5% |
New market (outside experience) | -5% |
Licensed Realtor | +5% max |
Licensed GC | +10% max |
Licensed PE | +10% max |
Rural area | -20% (needs Tier 3+) |
Rehab Scope | Definition |
---|---|
Light | <25% of purchase price |
Moderate | 25% – 49.99% of purchase price |
Heavy | 50% – 99.99% of purchase price |
Extensive | ≥100% of purchase price – major additions, ADUs, etc. |
Example: If you’re adding an in-law suite to a New Haven duplex, it may fall under “Extensive” scope and trigger LTFC limits.
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 |
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 (Loan-To-Full-Cost) applies to “lopsided” deals where the rehab budget exceeds the property price.
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: $100,000
Tier: 1 (0 projects)
Credit Score: 695
Rehab Budget: $24,000
ARV: $150,000
Initial Advance: $75,000 (75%)
Holdback: $24,000
Total Loan: $99,000
LTARV: 66%
LTFC: 79.8%
Interest Accrual: Full boat
Credit Score: 750
Initial Advance: $80,000 (80%)
Total Loan: $104,000
LTARV: 69.3%
LTFC: 83.9%
Interest Accrual: As disbursed
Purchase Price: $100,000
Tier: 4 (5 similar verified projects)
Credit Score: 750
Rehab Budget: $20,000
ARV: $150,000
Initial Advance: $90,000 (90%)
Holdback: $20,000
Total Loan: $110,000
LTARV: 73.33%
LTFC: 91.67%
Interest Accrual: As disbursed
Our default method for underwriting a refinance in Connecticut involves lending against your actual investment—the total of your purchase price and improvements. This keeps your equity in place and aligns incentives for a safer loan.
However, for seasoned properties where the As Is market value exceeds your cost basis, you may qualify for an initial advance based on that higher value. Here's what we require:
Property must be in livable condition (C4 or better).
Must be held for at least 3 years.
Clean payoff history—no default interest, no excessive fees.
Credit score of 680+.
Minimum Tier 3 experience (4+ completed projects).
Solid market comps proving that As Is value > cost basis.
Clear use case—i.e. the property was rented, now vacated, and ready for renovation or sale.
In Connecticut’s competitive real estate environment, wholesale deals are common—especially in cities like Bridgeport and Hartford. If you're purchasing through a wholesaler, OfferMarket can include the assignment fee or markup in your loan basis, up to a 20% markup threshold.
Example:
A-B Contract (owner to wholesaler): $100,000
B-C Contract (you as buyer): $125,000
As Is Value: $125,000
Value Basis for Initial Advance: $120,000 (cap at 20% markup)
Guidelines:
Assignment/double-close markup capped at 20% of A-B price.
No financing if property was listed on MLS.
Full documentation of chain of contracts required.
Must be arm’s length—no insider deals.
Finder/referral fees aren’t financed.
The construction holdback portion of your loan is drawn down as work progresses. Funds are reimbursed based on completed milestones within your rehab scope.
If you're using your own capital for renovations and don’t require the holdback, you may opt out of this component.
Loans over $100,000 accrue interest only on disbursed funds—helping you keep costs down during the project.
Item | Guideline |
---|---|
Minimum draw amount | None |
Maximum draw amount | 100% of remaining holdback |
Minimum number of draws | 0 |
Maximum number of draws | None |
Materials delivered (not installed) | 50% reimbursed w/ receipt |
Draw inspection | App-based (self-serve) |
Draw turnaround | 0–2 business days |
Draw fee | $270 |
Wire fee | $30 |
Every OfferMarket hard money loan in Connecticut requires a valuation. Depending on your borrower profile and the property, we may use:
In-house valuation
3rd party exterior appraisal
3rd party interior appraisal
Eligible only if:
Property is SFR, duplex, triplex, or quad.
Borrower is Tier 4 or higher.
Credit score is 720+.
Property is not rural.
Property is not in a new market.
LTARV is 70% or less.
We reserve the right to require a full appraisal at our discretion.
These are allowed if the property is acquired via:
REO sale
Foreclosure or sheriff’s sale
Online auction
Bankruptcy
Note: If the appraisal is 120–179 days old at closing, it must be re-certified.
All other scenarios will require a full interior appraisal.
Property Type | Forms Required |
---|---|
Single family | 1004 + 1007 ARV with As Is value |
2–4 unit | 1025 + 216 ARV with As Is value |
Condo | 1073 + 1007 ARV with As Is value |
We handle appraisal ordering and invoice coordination directly through our appraisal management company (AMC).
Already have an appraisal from a previous lender? We can transfer it if:
Ordered through an approved AMC.
Less than 180 days old at closing.
Re-certified if 120–179 days old.
Full transfer package is provided (report, XML, invoice, and AIR certification).
Scenario: Stabilized Hard Money Loan
If your Connecticut property is turnkey with no deferred maintenance (appraisal rating C4 or better), we can offer financing up to 75% of its current value.
This “Stabilized” loan type is ideal for rent-ready properties.
Item | Guideline |
---|---|
LTV (Max) | Tier 1–2: 70%, Tier 3–5: 75% |
LTFC (Max) | Tier 1–2: 80%, Tier 3–5: 90% |
Appraisal condition | C1, C2, C3, or C4 |
Loan term (Max) | 12 months |
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, small multifamily (2–4), condos, townhomes, PUDs | |
Property Minimum Size | SFR: ≥700 sq ft, Condo/2–4 unit: ≥500 sq ft/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 sub-$100K deals |
Loan Term | Standard 12 months; 18–24 months for certain projects |
Extensions | Up to 50% of original term (fee applies) |
Points | 1.5 to 2 points ($2,000 minimum) |
Prepayment Penalty | None |
Occupancy | Non-owner occupied—business purpose only |
Transaction Types | Arm’s-length purchase, refinance |
Geographic Region | All states except AK, AZ, HI, MN, ND, NV, OR, SD, UT, VT |
Amortization | Interest-only with balloon at maturity |
Interest Accrual Method | Under $100K: full loan / $100K+: disbursed only |
Hard money loans are short-term by design, and most of our Connecticut borrowers complete their projects well within the original 12–24 month term. That said, we do offer structured extensions—though it’s best to avoid them whenever possible.
To stay on track, avoid:
Inexperienced contractors
Overly ambitious renovation scopes
Slow-zoning towns (parts of coastal Connecticut come to mind)
Properties with inherited tenants or eviction risks
Deals with no clear plan to flip or refinance
Original Term | Max Extension |
---|---|
12 months | 6 months |
18 months | 9 months |
24 months | 12 months |
Term Request | Fee |
---|---|
3 months (1st) | 1% of total loan |
3 months (2nd) | 1.5% of total loan |
6 months (1st) | 2.5% of total loan |
Note: You must show proof of builders risk insurance active for the extension period.
We do not fund loans for the following:
Mixed-use
5+ unit multifamily
Condotels, co-ops
Manufactured/mobile homes
Commercial buildings
Cabins, log homes
Properties with oil/gas leases
Working farms or ranches
Vacation/short-term rentals
Unique or luxury properties
Dirt or unpaved road access
We may offer funding exceptions on:
Guarantor credit between 660–679
Ground lease / leasehold ownership
SFRs between 500–699 sq ft
2–4 unit properties with one or more units 400–499 sq ft
Loans based on As Is value exceeding cost basis
Non-arm’s-length purchases
Financed interest payments
Borrower and Guarantor Requirements
Item | Requirements/Eligibility |
---|---|
Borrowing Entity | LLC or Corporation (non-profits not eligible) |
Eligible Borrowers | U.S. Citizens, Permanent Residents, or eligible Foreign Nationals |
Foreign Nationals | Must have valid passport, visa (no travel/student-only), and FICO |
Credit | 680+ minimum (660–679 allowed case-by-case) |
Tri-Merge Credit | Required, must be current (≤120 days) |
Liquidity | Must have cash to close + 25% of rehab budget |
Liquid Assets | Personal/business bank/brokerage, or 50% of retirement account |
Guaranty Structure | Purchases: 51% of entity must guarantee |
Refi: 100% of entity must guarantee | |
Recourse | Full |
Net Worth | Combined guarantor net worth ≥50% of total loan |
You must demonstrate liquidity to cover both:
Estimated cash to close
25% of the total renovation budget
Checking/savings accounts (personal, business)
Brokerage accounts
Retirement accounts (50% haircut)
Other business accounts (with operating agreement)
No need to transfer these funds—just verify via your most recent two statements.
Middle FICO score used (of 3 scores)
Lowest used (if only 2 scores)
No mortgage tradelines = 6 months reserves
<5 tradelines = 6 months reserves
Bankruptcy >4 years old = OK
Foreclosure >4 years = OK
Bankruptcy/foreclosure <7 years = 3+ months reserves
Late mortgage payments = Letter of Explanation required
Delinquent tradelines = Must be cleared before closing
Liens/judgments = Must be cleared before closing
Civil lawsuits = LOE + loan committee discretion
Criminal cases = Not eligible (if serious or financial)
Interest Reserves
Scenario | Required Interest Reserve |
---|---|
Lender discretion | 0 months |
Guarantor FICO 700+ | 1 month |
FICO 660–699 | 3 months |
FICO 660–699 + adverse credit | 6 months |
Rather not make monthly interest payments during your rehab?
You may qualify to finance your interest—letting it accrue and get added to your final payoff.
Example:
Loan Amount: $100,000
Interest Rate: 12%
Term: 9 months
Accrued Interest: $9,000
Final Payoff: $109,000 (principal + interest)
When sourcing your next investment property in Connecticut, it’s important to be prepared with the right documentation—especially when working in fast-moving or unconventional scenarios. Our underwriting process is designed to move swiftly, but we rely on your complete and accurate documentation to keep things on track.
Key Points:
New Market Entries: If you're investing in a town or neighborhood where you haven’t completed a project before—say, your first rehab in Middletown or Norwich—you’ll need to provide either:
A signed General Contractor agreement
Or a Letter of Explanation if you’ll be self-managing the rehab without a GC.
Previous Price Increases & Wholesale Deals:
If the subject property has recently changed hands at a higher price (or if you’re purchasing from a wholesaler), expect additional documentation and review. This includes full transparency on the assignment fee or double-close markup.
Non-Arm’s-Length Transactions:
Buying from a family member or related entity? We’ll need more details to verify fair market terms and ensure the deal meets program guidelines.
Condos, Conversions & Major Rehabs:
Projects involving condos, adaptive reuse (e.g., warehouse-to-residence), or heavy structural renovations must include:
Architectural or engineering letters
Or active building permits supporting the scope of work
Submission Checklist:
Every deal—whether it’s a flip in Stamford or a BRRRR in Waterbury—must be accompanied by:
A fully executed purchase contract
Settlement statement (if applicable)
Payoff letter (for refinances)
Borrower’s track record
LLC/corporate formation documents (Articles, Operating Agreement, W-9)
By proactively gathering these materials, you'll accelerate your Connecticut hard money loan approval and move closer to closing day with confidence.
To protect your Connecticut investment, you’ll need Builders Risk insurance (a.k.a. fix and flip coverage). It shields your project from fire, liability, and other costly setbacks during renovation.
Type | Limit |
---|---|
Dwelling | Replacement cost or loan amount |
Liability | $1M per occurrence / $2M aggregate |
Builders Risk | Included |
Flood | $250,000 or loan amount (if FEMA area) |
Detail | Requirement |
---|---|
AM Best Rating | A- VIII or better |
Policy Form | Special form |
Deductible | $1,000–$5,000 |
Lender’s Designation | Mortgagee and Additional Insured |
Exclusions | No hail, storm, or wind exclusion |
Cancellation Notice | 30 days minimum |
💡 Pro tip: Immediately after closing, install smoke alarms, locks, and security cameras to stay compliant and avoid denied claims.
(*) In states where NMLS license is required for business purpose lending or we do not directly lend, OfferMarket operates as a rate shopping service and refers your loan to a licensed capital provider.
Absolutely. Many of our Connecticut clients manage multiple loans. We monitor liquidity and deal volume to help you scale responsibly.
Yes. Because they’re issued to LLCs or corporations and used for investment properties, they’re classified as commercial.
$25,000.
Non-owner occupied 1–4 unit residential properties:
SFRs
2–4 unit multifamily
Condominiums (warrantable only)
Townhomes and PUDs
Our most common metric is Loan-to-After-Repair-Value (LTARV).
Initial Advance: Based on lower of purchase price or appraised As Is value
LTARV: Total loan ÷ After Repair Value
Minimum credit score: 680 (exceptions possible)
Experience isn’t required but does help boost leverage
At OfferMarket, we’ve streamlined the loan documentation process to help Connecticut investors move quickly and efficiently. Our secure Loan File system organizes all your uploads and makes future applications even faster by storing reusable documents.
Loan File Section | Required Document |
---|---|
Purchase | Signed contract between buyer and seller |
Credit Report | Soft-pull tri-merge credit report for each guarantor |
Background Report | Required for all members of the borrowing entity |
Track Record | Documented history of prior investment projects (rehabs/flips) |
ID Verification | Government-issued ID (e.g., driver’s license, passport, green card) |
Borrowing Entity | Articles of incorporation, Operating Agreement/Bylaws, Certificate of Good Standing, W-9 |
Scope of Work | Detailed renovation budget—used for ARV and draw schedule |
Appraisal Report | You’ll receive a link to pay for appraisal; report will be uploaded to your file |
Bank Statements | Two most recent personal or business account statements per guarantor |
Letter of Explanation | Submitted if requested—i.e., for large deposits or credit/background items |
Loan File Section | Required Document |
---|---|
Settlement Statement | Final signed HUD-1 or ALTA from your original purchase |
Credit Report | Soft-pull tri-merge credit report for each guarantor |
Background Report | Required for all members of the borrowing entity |
Track Record | Documented history of prior investment projects (rehabs/flips) |
ID Verification | Government-issued ID (e.g., driver’s license, passport, green card) |
Borrowing Entity | Articles of incorporation, Operating Agreement/Bylaws, Certificate of Good Standing, W-9 |
Sunk Costs | List of rehab-related expenses already incurred |
Scope of Work | Renovation budget used for updated ARV |
Appraisal Report | You’ll be prompted to pay for the appraisal invoice |
Bank Statements | Two most recent account statements for each guarantor |
Letter of Explanation | Provided if requested (i.e., credit flags, deposits, background issues) |
Yes. While we’re happy to fund Connecticut deals up to $2,000,000, loans exceeding $1 million come with enhanced scrutiny to ensure safe leverage and proper deal structure.
For loans above $1M:
Experience: Minimum Tier 3 (3+ projects); experience at similar price points is ideal.
Comps: Minimum of 3 recent MLS comps within a 2-mile radius (sold in last 6 months).
Credit: 680+ score with at least 5 active tradelines, each with 24+ month history.
Rural Areas: Ineligible for $1M+ loans (as defined by CFPB and USDA).
Track Record: Must be documented and verifiable for all guarantors.
Term | Definition |
---|---|
ADU | Accessory dwelling unit—like a legal in-law suite |
Arm’s-length | Deal between unrelated parties |
Non-arm’s-length | Deal involving relatives, partners, or shared entities |
Initial Advance | Loan portion for purchase |
Construction Holdback | Loan portion for rehab |
LTC | Loan-to-Cost (purchase + rehab) |
LTFC | Loan-to-Full-Cost (used in extensive rehab cases) |
LTV / LTARV | Loan-to-(As Is or After Repair) Value |
Full Boat Interest | Interest on total loan amount |
As Disbursed | Interest only on what’s been funded |
DSCR | Debt Service Coverage Ratio (rent ÷ expenses) |
OfferMarket Capital is your trusted private lending partner for Connecticut real estate investment. From Hartford to Stamford, we help local investors close fast and scale smart—with tailored hard money and DSCR financing.
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