Hard Money Lender in West Hartford, CT
Rates Starting at 10%
West Forest Capital is a West Hartford hard money lender, providing investment financing up to $3 million for real estate ventures. We have earned a reputation as the fastest hard money lender in West Hartford because we recognise how critical timely action is in West Hartford’s competitive property market.
- We are a direct lender, not a broker
- Same day pre-approval
- Funding in 3-5 days, although 1 day is possible
- Loan amounts up to $5 million
Property Types
- Multi-family
- Single-family Investment Properties
- Condominiums
- Apartments
- Co-ops
- Retail
- Small Office Buildings
- Industrial & Warehouse
- Duplex
- Triplex
- Quadplex
- Mixed-Use
Lending Parameters
| Loan Size | $100,000 to $5,000,000 |
| LTC | Up to 80% of purchase price |
| Rehab Funding | 100% |
| LTV | Up to 70% of the ARV |
| Term | Standard is 12 months. 24-36 months is available |
| Lien | First lien; second lien as additional collateral only |
| Interest Rate | 10%–12.5% |
| Points | 1.5–2% of the loan amount |
Counties Covered
West Forest Capital lends in the following locations within West Hartford:
- Downtown West Hartford
- Blue Black Square
- West Hartford Center
- Elizabeth Park
- Fernridge Park
Recently Funded Hard Money Loans
Jersey City, NJ
Newark, NJ
Elizabeth, NJ
Recently Funded Hard Money Loans in West Hartford, CT
Bloomfield, CT
- Location: Bloomfield, CT
- Purchase Price: $425,000
- Rehab Budget: $0
- Loan Amount: $350,000
- ARV: $550,000
- Exit Strategy: Construction Loan
- Investor Capital: $75,000
- Equity Created: $125,000
- Investor Return on Capital: 167%
Our client has been accumulating several homes and lots on the same block for the last several years with the plan to construct a large 50-unit multi-family building on the combined lots. A Connecticut hard money loan in Bloomfield was used to acquire this home, the 8th and final property. After the acquisition, our client has been working with the town to obtain permits, and with an architect to create plans for the proposed conversion. Our client will next secure a permanent construction loan to move forward with the project.
New Britain, CT
- Location: New Britain, CT
- Purchase Price: $350,000
- Rehab Budget: $35,000
- Loan Amount: $245,000 at Closing
+ $35,000 Rehab = $280,000 - ARV: $430,000
- Exit Strategy: Rent & Refinance
- Investor Capital: $105,000
- Equity Created: $45,000
- Investor Return on Capital: 43%
Our client needed a fast Connecticut hard money loan in New Britain to close on a contact which had been in place for several months. This is a strong cashflow mixed-use property which contains two commercial units on the ground floor and four apartments on the second floor; the property needed only light rehab, which we also funded 100%. Given the time sensitive nature of this loan, we were able to close in under 1 week after getting the call, including the time needed to get an appraisal. Our client is currently in discussions for a permanent rental loan refinancing, a service which we are also able to offer.
East Hampton, CT
- Location: East Hampton, CT
- Purchase Price: $100,000
- Rehab Budget: $50,000
- Loan Amount: $50,000 at Closing
+ $50,000 Rehab = $100,000 - ARV: $275,000
- Exit Strategy: Sale
- Investor Capital: $50,000
- Equity Created: $125,000
- Investor Return on Capital: 150%
Our client was able to secure a purchase contact significantly under market value. In addition, because our client wanted to minimize the interest rate on this Connecticut hard money, they elected to only borrow 50% of the purchase price. Although our minimum loan amount is usually $100,000, in this case we were comfortable releasing the rehab very quickly due to the value in the property. Our client used the rehab funds to quickly finish the rehab and put the property up for sale only 3 months later, paying off the loan a month thereafter. A month after that our client became a repeat borrower, taking out another hard money loan with us.
Why Use a Hard Money Loan
- If you need funding fast. Banks may take a considerable amount of time to review applications, sometimes months. West Forest Capital can approve hard money loans on the same day and typically provide funding within three to five days. In urgent situations, funding may be available in just twenty-four hours.
- If the property isn’t stabilized. Some properties do not qualify for bank financing, such as those needing major rehab, lacking a Certificate of Occupancy, or without a consistent rental history. Hard money lenders like West Forest Capital can fund these properties when banks cannot.
- If you have poor credit. We understand that temporary credit issues can occur, so our primary focus is the value of the property rather than the borrower’s FICO score or debt-to-income ratio.
- If you don’t want to take a loan in your personal name. Banks typically require individual ownership. If your investment involves holding property in an LLC or managing multiple properties, a hard money loan can be a flexible alternative.
Why Choose A West Hartford Hard Money Lender
With extensive experience as a hard money lender in the tri-state area, we have become very knowledgeable about Connecticut, which benefits our borrowers significantly. Why? Because unlike national lenders or those limited to the New York and New Jersey markets, we understand the value of properties throughout Connecticut and do not restrict our focus to one city or region. Whether your investment is in West Hartford, Hartford, or New Britain, our hard money loans are available statewide.
Financing your West Hartford Investment Property
Although Connecticut does not have one large dominating city, the population is well spread, resulting in a significant area of economic activity for the state’s size. In West Hartford and surrounding regions, insurance is the top industry with a $16 billion payroll, surpassing the next-largest sector by more than $3.5 billion. Bioscience, media, and manufacturing remain key contributors to Connecticut’s economy. Some periods of real estate stagnation have created opportunities to acquire properties below market value while increasing potential returns on rehab projects.
Asset-backed Lender Focused on Customized Solutions
With our knowledge of the Connecticut fix and flip market, West Forest Capital structures creative transactions to meet your hard money financing requirements. Loans are based on the value of the asset, and in certain cases, we have been able to finance more than 100 percent of the acquisition and rehab costs.
West Forest Capital also offers the longest hard money loan available, with terms up to three years, which is ideal for buy and hold investors in West Hartford and surrounding regions.
Give us a call or apply for a loan today to take advantage of our financing options for your real estate projects in West Hartford.
Frequently Asked Questions about West Hartford Hard Money Loans
West Hartford and Connecticut’s real estate market have seen an expansion in potentially profitable investment opportunities in rental properties. Learn why asset-based lenders can be a better alternative to traditional bank loans or mortgages for investors in West Hartford.
What are hard money lenders?
Hard money lending, also known as private money lending, is an alternative form of financing for real estate investors in which the loan is backed by the property in the transaction. Traditional loans rely on credit scores, income verification, debt-to-income ratios, and additional qualifying criteria to determine whether a borrower is approved. Hard money lenders make decisions primarily based on the assessed value of the property itself. Should a borrower default on the loan, the lender may take possession of the property to recoup the amount owed.
How do hard money loans work?
Hard money loans are typically short-term financing options that help borrowers secure funds quickly for real estate deals. Borrowers often rely on these loans to acquire residential or commercial investment properties in competitive markets, where acting promptly is critical.
The approval and funding process for hard money loans can often be completed in days, while conventional banks and financial institutions may take weeks or months to process similar loans.
Property value is used to secure the loan, and repayment schedules are often much shorter than conventional loans. Depending on the lender, prepayment penalties may apply, but in many cases borrowers can repay the loan earlier than the official contract term.
What do hard money lenders look for?
When assessing a hard money loan, lenders give priority to the value of the property rather than the borrower’s credit score. Creditworthiness may still influence the decision, but it is not the central consideration. Unlike traditional mortgage lending, hard money loans focus on the property’s potential and the borrower’s intended exit strategy. Many borrowers use these loans as bridge financing to refinance with a conventional lender or sell the property. Loan terms are generally shorter than typical bank loans, which requires repayment within a quicker timeframe.
What is hard money used for?
A hard money loan is typically applied to residential or commercial real estate transactions and occasionally serves as temporary financing until another funding option or investor replaces it.
In West Hartford, developers often use hard money lenders to fund construction projects, while investors turn to private lenders to acquire properties that need significant renovation or repair work.
Is a down payment required?
Most hard money loans come with a down payment requirement, although the precise amount depends on the specific property being financed. Unlike conventional mortgages or bank loans, hard money lenders typically require borrowers to invest some of their own capital at the outset. This reduces the lender’s risk and shows the borrower’s commitment to the project. The amount of the down payment is generally influenced by the property’s market value, its condition, and the borrower’s history and experience with similar real estate investments.