Hard Money Lender in Shelton, CT
Rates Starting at 10%
West Forest Capital is a Shelton hard money lender, offering financing solutions for real estate investments up to $3 million. Our reputation as the fastest hard money lender in Shelton is built on our knowledge of how crucial every day can be in Shelton’s competitive real estate sector.
- 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 |
Locations Covered
West Forest Capital lends in the following locations in Shelton:
- Fairfield County
- Downtown Shelton
- Indian Well State Park
- Long Hill Green
- Great Hill
Recently Funded Hard Money Loans
Jersey City, NJ
Newark, NJ
Elizabeth, NJ
Recently Funded Hard Money Loans in Shelton, 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. When time is of the essence, banks may take weeks or months to process and approve loans. West Forest Capital can approve hard money loans on the same day, with funding typically available within three to five days. In emergencies, we can fund the loan in only one day.
- If the property isn’t stabilized. Certain properties may not meet bank lending requirements, including those that require rehabilitation, lack a Certificate of Occupancy, or do not have sufficient rental history. Hard money lenders like West Forest Capital can fund these properties when banks will not.
- If you have poor credit. Credit challenges can arise unexpectedly, and West Forest Capital understands this. Our primary focus is on the property’s value rather than credit scores or debt-to-income ratios when approving loans.
- If you don’t want to take a loan in your personal name. Banks generally require personal ownership of the property. Investors who prefer an LLC structure or have multiple properties may find that hard money loans provide the solution they need.
Why Choose A Shelton Hard Money Lender
With years of experience as a hard money lender in the tri-state area, we have learned Connecticut well, giving our borrowers a significant advantage. Why? Because unlike lenders who only operate in New York or New Jersey, we understand the value of real estate throughout Connecticut and do not limit our focus to one region. Whether your investment is in Shelton, Bridgeport, or Norwalk, we offer hard money loans throughout the entire state.
Financing your Shelton Investment Property
While Connecticut does not have a central urban hub, its population is distributed to create a considerable area of economic activity relative to its size. In Shelton and nearby areas, insurance is the leading industry with a $16 billion payroll, more than $3.5 billion above the next largest industry. Bioscience, media, and manufacturing also contribute to the state’s economic strength. Periods of real estate stagnation have opened opportunities to purchase properties at below-market rates while increasing potential margins on rehab projects.
Asset-backed Lender Focused on Customized Solutions
Leveraging our expertise in the Connecticut fix and flip market, West Forest Capital can structure creative financing solutions that satisfy your hard money lending needs. Loans are based on the property’s value, and in certain cases, we have successfully financed more than 100 percent of the purchase and rehab costs.
West Forest Capital also provides the longest hard money loans on the market, with three-year terms, which is ideal for buy and hold investors in Shelton and nearby towns.
Contact us today or apply for a loan to begin financing your real estate investment in Shelton.
Frequently Asked Questions about Shelton Hard Money Loans
Shelton and the surrounding Connecticut real estate market have shown an increase in promising investment opportunities in rental properties. Discover why real estate investors in Shelton may benefit from using asset-based lenders instead of relying on traditional mortgages or bank financing.
What are hard money lenders?
Hard money lending, sometimes called private money lending, offers an alternative approach to financing real estate, where the property serves as collateral for the loan. Unlike traditional loans, which rely heavily on credit scores, income verification, debt-to-income ratios, and other criteria to determine approval, hard money lenders evaluate the property’s value as the primary factor. In situations where the borrower defaults on a private money loan, the lender is entitled to seize the property to satisfy the debt owed.
How do hard money loans work?
Hard money loans are usually designed as short-term financing arrangements for borrowers who need quick access to capital to close real estate deals. These loans are particularly useful for investment properties, whether residential or commercial, in markets where competition is high and speed is critical.
Approval and funding for hard money loans often happen within days, a much faster process than with conventional banks, which may take several weeks or months to complete a similar loan.
The loan is secured by the property itself, with repayment terms that are often shorter than those of traditional mortgages. Many hard money lenders offer flexible repayment options, sometimes with or without prepayment penalties, allowing borrowers to repay the loan sooner if desired.
What do hard money lenders look for?
The key focus for hard money lenders is the value of the property the borrower intends to purchase, with less emphasis on the borrower’s credit score. Although credit is reviewed, it is not the primary factor in loan approval. Unlike traditional mortgage lenders, hard money loans rely on the property’s potential value and the borrower’s exit plan. These loans frequently serve as bridge financing for borrowers who intend to refinance through a conventional lender or sell the property. Shorter loan terms mean repayment occurs more quickly than with standard bank loans.
What is hard money used for?
A hard money loan is commonly applied to residential or commercial property deals and in some cases serves as temporary financing until another investor or source of funding steps in.
In Shelton, developers frequently work with hard money lenders to secure construction loans, while investors use private lenders to purchase properties that require major renovation or repair.
Is a down payment required?
Most hard money loans will have a down payment requirement, although the exact figure varies according to the type of property involved. Unlike conventional mortgages or other traditional financing, hard money lenders generally ask borrowers to invest some personal funds at the start. This strategy reduces risk for the lender and indicates the borrower’s dedication to the project. The size of the down payment is usually determined by factors such as the property’s current market value, its physical condition, and the borrower’s experience handling comparable investments.