Hard Money Loan Vermont
All steps completed - you're finished
Last updated: May 19, 2025
OfferMarket is not NMLS licensed in Vermont. To serve real estate investor clients in Vermont, we operate as a rate shopping service and process your loan with the most competitive licensed capital provider on our platform.
At OfferMarket, our goal is to help Vermonters grow their wealth through real estate investing. To support your journey in Vermont’s unique property market, we offer an all-in-one platform tailored to your needs:
💰 Private lending designed for Vermont investors
☂️ Insurance rate comparison focused on Vermont property risks
🏚️ Access to off-market properties across Vermont
Our Vermont Hard Money Loan program delivers swift, dependable, and cost-effective financing solutions for purchasing, refinancing, and renovating 1-4 unit residential investment properties throughout the Green Mountain State.
Whether you plan to flip a charming Vermont home or hold it as a rental and refinance into a DSCR loan, we are eager to partner with you and contribute to your success in Vermont’s real estate market.
Let’s explore the OfferMarket Vermont Hard Money Loan Program!
What is a hard money loan?
A hard money loan is a short-term, asset-backed loan, secured by 1-4 unit residential real estate in Vermont, intended to help you buy, refinance, or rehabilitate a property. The goal is either to sell it for a profit or keep it as a long-term rental.
Commonly called “bridge loans” or “fix and flip loans,” these loans are popular among Vermont real estate investors and private lenders as a flexible financing solution.
Hard money loan scenarios in Vermont
Investors in Vermont typically use hard money loans for these situations:
Buying and renovating a fixer-upper or older Vermont property—perfect if you want to preserve your cash flow while updating a home in Burlington, Montpelier, or elsewhere in the state
Refinancing a property purchased with cash that requires repairs, such as an old farmhouse or a historic home in Stowe, then finishing the renovation
Paying off an existing hard money or private loan to complete rehab work and either sell or refinance into a long-term loan
Purchasing a Vermont property below market value to sell “as is” without rehabbing, often in rural areas or emerging neighborhoods
Refinancing a cash purchase without rehab intentions, tapping equity to fund another opportunity
Refinance after rehab is done, giving you more time to sell or refinance into a rental loan
How it works
A Vermont hard money loan consists of two main parts:
Initial Advance – This portion of the loan covers the purchase price and is wired directly to the title company at closing.
Construction Holdback – This part funds the renovation or rehab expenses, released to you via draws as work progresses.
These loans are built to be flexible. You might opt for only an initial advance if you plan to fund renovations yourself or do not intend to improve the property. Alternatively, you might only request a construction holdback if you bought the property in cash but need funds for repairs.
Most Vermont investors use both components to maximize leverage and minimize personal cash outlay. For instance, if you buy a historic home in Brattleboro, you might take the initial advance for purchase and a construction holdback for the restoration.
Your exit strategy in Vermont could be flipping the property for a profit or renting it out and refinancing into a DSCR loan. The choice may evolve based on local market conditions, so it’s okay if you don’t decide immediately.
For example, you might plan to use the BRRRR strategy (buy, rehab, rent, refinance, repeat) in Burlington but pivot to selling if the market heats up. Or you might intend to flip a property in Middlebury but choose to rent if demand softens.
These flexible exit options help mitigate risk in Vermont’s diverse real estate markets.
Who uses hard money loans in Vermont?
- Fix and flip investors (“flippers”) aiming to renovate Vermont properties quickly for resale.
- Rental property investors (BRRRR method) who seek to build a rental portfolio across Vermont’s cities and towns.
Many Vermont investors blend strategies, flipping some properties while holding others for rental income, adapting to changing local market dynamics.
Vermont 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 report or in-house valuation |
| SqFt (minimum) | Single family: 700+ 2-4 unit: 500+ per unit Condo: 500+ |
| Acreage (maximum) | 5 |
| Interest accrual | Under $100,000 loan: full boat $100,000+ loan: as disbursed |
| Advanced draws | Lender discretion |
| Down payment (minimum) | $10,000 |
Project Eligibility in Vermont
Our commitment is to help Vermont investors build wealth while managing risk. Historically, less than 0.5% of our loans have defaulted. We emphasize partnering with borrowers who undertake projects with realistic scope to avoid costly delays common in Vermont’s rural and mountain regions.
Less experienced borrowers taking on heavy rehabs, especially in areas with longer permitting timelines like Chittenden County or Washington County, face greater risks. We advise focusing on manageable “cosmetic” or moderate rehabs that match your experience.
As your Vermont hard money lender, we serve as your advisor and capital provider to support safe and successful investing.
Initial Advance in Vermont
The initial advance depends on your track record and the property specifics. We review your investment portfolio in Vermont over the last 24 months and your history with similar rehab projects. While experience is not mandatory, borrowers with strong Vermont project histories can access higher advances.
If the purchase price exceeds the As-Is value in our appraisal, we base the advance on the appraised value, not the contract price.
Your exit strategy affects the initial advance: selling requires a minimum 30% projected gross margin and $15,000 profit; renting and refinancing needs a projected DSCR of at least 1.1 after repairs.
For Vermont rural properties, advance limits are stricter and at least 3 projects of experience are required.
Experience-based Tiers
| Tier | Verifiable experience (number of similar completed projects) |
|---|---|
| 1 | 0 |
| 2 | 1 to 2 |
| 3 | 3 to 4 |
| 4 | 5 to 9 |
| 5 | 10+ |
Initial Advance by Tier in Vermont
| Tier | Initial advance (% of purchase price) |
|---|---|
| 1 | 80%* |
| 2 | 85% |
| 3 | 85% |
| 4 | 90% |
| 5 | 90% |
* Exceptionally, Tier 1 borrowers with excellent credit and liquidity may qualify for up to 85%.
Adjustments to Initial Advance in Vermont
| Scenario | Adjustment |
|---|---|
| Credit score less than 720 | -5% |
| Full gut rehab | -5% |
| New Vermont market (unfamiliar region) | -5% |
| Licensed Vermont Realtor | Up to +5% |
| Licensed Vermont General Contractor | Up to +10% |
| Licensed Professional Engineer | Up to +10% |
| Rural Vermont property | -20% (requires 3+ projects experience) |
Rehab Scope Classification
| Rehab Scope | Definition |
|---|---|
| Light | Rehab budget less than 25% of purchase price |
| Moderate | Rehab budget 25% to 49.99% of purchase price |
| Heavy | Rehab budget 50% to 99.99% of purchase price |
| Extensive | Rehab budget 100%+ of purchase price (addition, expansion, or ADU)* |
* Example: Adding a guest house in a rural Vermont town or expanding a historic home in Montpelier.
Rehab Scope Eligibility
| Tier | 1 | 2 | 3 | 4 | 5 |
|---|---|---|---|---|---|
| Experience (projects) | 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 Vermont Property Rehab
Purchase price: $150,000 (typical Vermont single-family home)
Tier: 1 (no prior similar projects)
Credit score: 695
Rehab budget: $30,000
ARV: $220,000
Initial advance: $105,000 (70% of purchase price)
Construction holdback: $30,000
Total loan amount: $135,000
LTARV: 61%
LTFC: 84%
Interest accrual: Full boat
Example: 5 Projects Experience in Vermont
Purchase price: $150,000
Tier: 4 (5 verified similar projects)
Credit score: 750
Rehab budget: $25,000
ARV: $220,000
Initial advance: $135,000 (90%)
Construction holdback: $25,000
Total loan amount: $160,000
LTARV: 73%
LTFC: 93%
Interest accrual: As disbursed
Refinance Using As-Is Value Instead of Cost Basis for Initial Advance in Vermont
Our standard underwriting lends based on your cost basis—the purchase price plus any sunk costs—to ensure you maintain equity in the property.
If you own a seasoned Vermont property worth more “as-is” than your cost basis (purchase price plus expenses), and you want to refinance for leverage and renovation funds, we’ll carefully evaluate your request.
Requirements include:
Property must be habitable (condition rating C4 or better)
At least 3 years of ownership
No default interest, late fees, or extension fees on prior payoff statements
Credit score of 680 or higher
Experience Tier 3 or above (minimum 4 verified rehab projects)
Strong market comps supporting the higher “as-is” value, common in Vermont’s appreciated markets like Burlington or South Burlington
Supportive scenario such as tenant vacancy before rehab
Transactions Involving Wholesalers in Vermont
If you purchase through a wholesaler, OfferMarket will allow assignment fees or price markups up to 20% of the original purchase price for initial advance calculations.
For example:
Seller to wholesaler contract: $120,000
Wholesaler to buyer contract: $140,000 (includes $20,000 assignment fee)
We will base the advance on $144,000 (120,000 + 20% markup)
Amounts above 20% are the borrower’s responsibility
Wholesaler deals must be arms-length with complete documentation including contracts and operating agreements. No financing of finder or referral fees.
Construction Holdback in Vermont
Construction funds are disbursed through draw requests, reimbursing verified progress per your approved rehab scope.
If you can self-fund the rehab, you may opt-out of construction holdback entirely.
Loans above $100,000 benefit from interest-only charges on disbursed funds, protecting your liquidity.
| Criteria | Guideline |
|---|---|
| Minimum draw amount | None |
| Maximum draw amount | 100% of remaining holdback |
| Materials delivered but not installed | 50% (receipt required) |
| Draw inspection | App-based self-service |
| Draw turnaround | 0–2 business days |
| Draw fee | $270 |
| Wire fee | $30 |
Appraisal and In-House Valuation for Vermont Properties
Every Vermont hard money loan requires a property valuation.
In-house valuation criteria
| Criteria | Eligibility |
|---|---|
| Property type | Single family, duplex, triplex, quadplex |
| Experience Tier | 4 or higher |
| Credit score | 720+ |
| Rural property | No |
| New Vermont market | No |
| LTARV | Up to 70% |
We may still require third-party interior or exterior appraisals at our discretion.
Exterior Appraisals in Vermont
Exterior appraisals are allowed in specific cases such as:
REO sales
Foreclosure auctions
Sheriff’s sales
Bankruptcy sales
Exterior appraisals must be dated within 120 days of closing. Between 120 and 180 days requires recertification.
Interior Appraisals for Vermont
Properties outside exterior appraisal scenarios require full interior appraisal:
| Property Type | Appraisal Form |
|---|---|
| Single family | Form 1004 + 1007 ARV with As-Is value included |
| 2-4 units | Form 1025 + 216 ARV with As-Is value included |
| Condo | Form 1073 + 1007 ARV with As-Is value included |
We order appraisals via approved management companies; borrower pays appraisal fees.
Stabilized Hard Money Loan for Vermont Properties
For Vermont properties in good condition (appraisal condition rating C1–C4) with no deferred maintenance, we offer loans up to 75% of As-Is value.
| Criteria | 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 |
Key Loan Details for Vermont Hard Money Loans
| Criteria | Details |
|---|---|
| Loan amount | $25,000 to $2,000,000 |
| Units per property | 1 – 4 |
| Eligible property types | Non-owner occupied residential: single-family, 2-4 unit multifamily, condos, townhomes |
| Minimum size | Single family: 700+ sqft 2-4 units and condos: 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; extensions available |
| Points | 1.5 to 2 points |
| Prepayment penalty | None |
| Occupancy | Non-owner occupied |
| Transaction types | Arms-length purchase, refinance |
Extensions for Vermont Hard Money Loans
Hard money loans are short term. Extensions should be avoided as they incur extra fees and increase risk of foreclosure.
Extension limits:
12-month loans: max 6-month extension
18-month loans: max 9-month extension
24-month loans: max 12-month extension
Extension fees:
3 months (1st): 1% of loan amount
3 months (2nd): 1.5% of loan amount
6 months (1st): 2.5% of loan amount
Extensions require current builder’s risk insurance covering the extension period.
Ineligible Property Types for Vermont Hard Money Loans
Certain property types are excluded from our Vermont hard money loan program, including:
Mixed-use buildings
Multifamily properties with 5 or more units
Condotels and co-ops
Mobile or manufactured homes
Commercial real estate
Cabins or log homes typical to Vermont’s rustic areas
Properties with active oil or gas leases
Operating farms, orchards, or ranches
Vacation or seasonal rental properties
Unique, luxury, or exotic homes
Properties accessed by unpaved or dirt roads
Exception Scenarios for Vermont Hard Money Loans
We consider exceptions on a case-by-case basis for:
Guarantor credit scores between 660 and 679
Leasehold or ground rent arrangements
Small single-family homes (500 to 699 sqft)
2-4 unit properties with units between 400 and 499 sqft
Funding initial advance based on higher As-Is value than cost basis
Non-arms-length transactions
Financing of interest payments
Borrower and Guarantor Requirements in Vermont
| Item | Requirements / Eligibility |
|---|---|
| Borrowing entities | LLCs or corporations; nonprofits not eligible |
| Eligible borrowers | US citizens, permanent residents, qualified foreign nationals |
| Foreign nationals | Valid passport and US visa (excluding some student visas) |
| Credit | Minimum FICO 680 (exceptions 660–679 possible) |
| Credit report | Tri-merge report within 120 days |
| Liquidity | Cash to close + 25% of rehab budget required among guarantors |
| Liquid assets | Bank, brokerage, retirement accounts (50% haircut) |
| Guaranty | Full recourse; 51% ownership guarantee for purchase; 100% for cash-out refinance |
| Guarantor net worth | At least 50% of loan amount |
Liquidity Verification for Vermont Borrowers
To ensure financial strength, guarantors must demonstrate liquid assets sufficient to cover cash to close plus 25% of rehab costs.
Acceptable liquid assets include:
Personal and business bank accounts
Brokerage accounts
Retirement accounts (valued at 50% due to restrictions)
Verification requires two recent statements without seasoning restrictions; letters of explanation required for large deposits.
Credit and Background Items for Vermont Loans
We use the middle credit score if three are returned, or the lowest if two scores. Additional requirements include:
Six months of interest reserves if no mortgage tradelines or fewer than five tradelines
Bankruptcy discharge or foreclosure completion must be at least four years prior to loan
Three months interest reserves required for bankruptcies/foreclosures between 4 and 7 years old
Letters of explanation needed for late mortgage payments or credit issues
Pending lawsuits, criminal offenses, or financial crimes disqualify borrowers
Involuntary liens or judgments must be resolved before funding
Interest Reserves for Vermont Hard Money Loans
Interest reserves are funds collected at closing to cover interest payments during the loan term.
| Scenario | Reserve Amount |
|---|---|
| Lender discretion | 0 months |
| Guarantor FICO ≥ 700 | 1 month |
| Guarantor FICO 660–699 | 3 months |
| Guarantor FICO 660–699 with credit/background issues | 6 months |
Financed Interest Payments for Vermont Loans
To protect liquidity, borrowers may defer monthly interest payments by adding them to the loan payoff.
For example:
Loan amount: $100,000
Interest rate: 12%
Loan held for 9 months
Accrued interest: $9,000 added to payoff
This option helps borrowers avoid excessive credit card use during rehab.
Property Sourcing Guidelines in Vermont
Key points for sourcing properties in Vermont:
New market deals require a general contractor agreement or letter of explanation
Transactions with price run-ups or wholesale deals need thorough documentation
Significant rehab or condo projects require architect or engineer letters or permits
Complete loan file submissions including purchase contracts, settlement statements, and track record documentation are mandatory
Insurance Guidelines for Vermont Hard Money Loans
Insuring your Vermont investment is crucial. Hard money loan insurance, often called Builders Risk or Fix and Flip insurance, covers property risks during renovation.
Coverage and Limits
| Coverage Type | Limit | Required |
|---|---|---|
| Dwelling | Replacement cost or loan amount | Yes |
| Liability | $1M per occurrence / $2M aggregate | Yes |
| Builders Risk | Included | Yes |
| Flood | $250,000 or loan balance if in FEMA flood zone | Conditional |
Coverage Details for Vermont Properties
| Coverage Item | Requirement |
|---|---|
| AM Best Rating | A- VIII or better |
| Policy Type | Special form (all risk) |
| Deductible | $1,000 to $5,000 |
| Lender Designation | Mortgagee and additional insured |
| Exclusions | No windstorm, hail, or named storm exclusions |
| Cancellation | 30-day notice required |
Pro Tip: Install smoke detectors, locks, and security cameras immediately upon ownership to comply with insurance and reduce denied claims risk.
Frequently Asked Questions About Vermont Hard Money Loans
What states does OfferMarket fund hard money loans in?
OfferMarket proudly funds hard money loans across most US states, including Vermont. Here’s a complete list of states where our hard money loan program is available:
Alabama
Arkansas
California
Colorado
Connecticut
Delaware
Florida
Georgia
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Mississippi
Missouri
Montana
Nebraska
New Hampshire
New Jersey
New Mexico
New York
North Carolina
Ohio
Oklahoma
Pennsylvania
Rhode Island
South Carolina
Tennessee
Texas
Virginia
Washington
Washington DC
West Virginia
Wisconsin
Wyoming
Vermont
There are a few states where we do not directly fund hard money loans due to licensing or regulatory reasons. These states include:
Alaska
Arizona*
Hawaii
Minnesota*
North Dakota*
Nevada*
Oregon
South Dakota*
Utah
(*) In these states, where we don’t hold a direct lending license or NMLS license is required for business-purpose loans, OfferMarket operates as a rate shopping service and refers your loan to licensed capital providers.
Can I apply for more than one hard money loan at a time in Vermont?
Absolutely. It’s common for Vermont investors to have multiple hard money loans active simultaneously. However, we prioritize risk management and may limit loans if your liquidity or project pace suggests increased risk.
Are hard money loans considered commercial loans?
Yes. Because these loans are made to business entities such as LLCs or corporations, they are classified as commercial or business-purpose loans.
What is the minimum loan amount for Vermont hard money loans?
The minimum loan amount is $25,000.
Which property types are eligible for hard money loans in Vermont?
Eligible properties include non-owner occupied 1-4 unit residential homes, such as single-family houses, duplexes, triplexes, fourplexes, townhomes, and warrantable condos.
How do you calculate Loan-to-Value (LTV) for Vermont properties?
For Vermont hard money loans, LTV typically refers to Loan-to-After-Repair Value (LTARV). The initial advance is based on the lower of the contract purchase price or the property’s as-is appraisal value. LTARV is calculated as the total loan amount (initial advance plus construction holdback) divided by the after-repair value determined by appraisal or in-house valuation.
What credit score do I need to qualify for a Vermont hard money loan?
A minimum FICO credit score of 680 is generally required. Borrowers with credit scores between 660 and 679 may be considered on a case-by-case basis. We evaluate the credit scores of all members personally guaranteeing the loan.
Is prior experience required to get a hard money loan in Vermont?
Experience is not mandatory but having verifiable rehab project experience can increase your leverage and loan terms. Our tiered experience system rewards borrowers with proven track records in Vermont or similar markets.
Does being a wholesaler count as experience for Vermont loans?
No. Wholesaling does not count toward experience because it does not involve financial responsibility for the rehab or successful project completion.
What documentation is required to apply for a Vermont hard money loan?
Purchase Transaction Documentation
| Document Type | Description |
|---|---|
| Purchase Contract | Fully executed by buyer and seller for the Vermont property |
| Credit Report | Soft tri-merge credit report for each guarantor within 120 days |
| Background Report | Background check for each guarantor |
| Track Record | Documentation of completed rehab projects |
| ID Verification | Government-issued photo ID (driver’s license, passport, or Green Card) |
| Borrowing Entity Docs | Articles of Organization/Incorporation, Operating Agreement/Bylaws, Certificate of Good Standing, W-9 |
| Scope of Work | Detailed rehab budget and work plan for the property |
| Appraisal Report | Ordered by OfferMarket; supports purchase price and ARV |
| Bank Statements | Two most recent statements for each guarantor showing liquidity |
| Letter of Explanation | Required if applicable (large deposits, credit issues, late payments) |
Refinance Transaction Documentation
| Document Type | Description |
|---|---|
| Settlement Statement | Fully executed settlement statement from prior purchase or refinance |
| Credit Report | Soft tri-merge credit report for each guarantor within 120 days |
| Background Report | Background check for each guarantor |
| Track Record | Documentation of completed rehab projects |
| ID Verification | Government-issued photo ID (driver’s license, passport, or Green Card) |
| Borrowing Entity Docs | Articles of Organization/Incorporation, Operating Agreement/Bylaws, Certificate of Good Standing, W-9 |
| Sunk Costs Documentation | Itemized list of expenses already incurred on the property |
| Scope of Work | Detailed rehab budget and plan for completion |
| Appraisal Report | Ordered by OfferMarket; supports as-is value and ARV |
| Bank Statements | Two most recent statements for each guarantor showing liquidity |
| Letter of Explanation | Required if applicable (large deposits, credit issues, late payments) |
Are there special requirements for Vermont hard money loans Over $1 million?
Larger loans in Vermont—those exceeding $1 million and up to our $2 million maximum—are subject to enhanced underwriting guidelines to ensure project viability and borrower strength:
| Criteria | Explanation |
|---|---|
| Experience | Minimum of 3 verifiable rehab projects preferred, ideally with similar or higher price points |
| Market Liquidity | At least 3 comparable sales within a 2-mile radius on the MLS in the last 6 months |
| Credit Score | Minimum credit score of 680 with at least 5 trade lines and 24 months of payment history |
| Rural Designation | Properties designated rural by CFPB or USDA, or flagged in appraisal reports, are ineligible |
| Track Record | Detailed track record documentation required for each guarantor involved |
Glossary of Key Terms
| Term | Definition |
|---|---|
| ADU | Accessory Dwelling Unit. A secondary, self-contained housing unit located on the same tax parcel as the main Utah single-family home. |
| Arms-length | A transaction between independent parties with no special relationship, ensuring fair market value. |
| Non Arms-length | A transaction influenced by personal, financial, or business relationships that may affect terms or pricing. |
| Initial Advance | Portion of total loan wired to title company at closing for the purchase price. |
| Construction Holdback | Portion of total loan reserved for property rehab and disbursed via draws based on progress. |
| Interest Reserves | Funds collected at closing and held in escrow to cover interest payments during the rehab period. |
| LOE | Letter of Explanation, a document clarifying credit or background issues, deposits, or other concerns. |
| LTC | Loan to Cost. Ratio of loan amount to purchase price plus rehab costs. |
| LTFC | Loan to Full Cost. Ratio of total loan amount to total project cost including purchase and rehab. |
| LTV | Loan to Value. Ratio of loan amount to property’s As-Is value. |
| LTARV | Loan to After Repair Value. Ratio of loan amount to property’s estimated value after rehab completion. |
| As Disbursed Interest | Interest charged only on the amount of loan funds actually disbursed (initial advance plus drawn rehab funds). |
| Full Boat Interest | Interest charged on the entire loan amount including undrawn rehab funds. |
| Lopsided Deal | When rehab budget exceeds As-Is value or purchase price, triggering LTFC limits. |
| GC Agreement | Contract with a general contractor outlining project responsibilities and management. |
| DSCR | Debt Service Coverage Ratio. Rent income divided by debt service obligations; used for refinancing evaluations. |
Instant Hard Money Loan Quote for Vermont Investors
OfferMarket Capital LLC is proud to be a leading private lender specializing in hard money loans and DSCR loans for Vermont’s 1-4 unit residential real estate investors. Our mission is to empower you to build wealth through Vermont real estate, and we are eager to partner with you on your next transaction.
Thousands of real estate investors across Vermont and the nation benefit from OfferMarket’s streamlined platform every month. Membership is completely free and includes exclusive access to:
💰 Private lending ☂️ Insurance rate shopping 🏚️ Off market properties 💡 Market insights
