2024 · Connecticut

How investors finance real estate in Connecticut

In 2024, 4,595 investment-property loans worth $1.5B were originated on single-family 1-4 unit homes in Connecticut. Here's how those terms compared to the rest of the country.

Investor rate premium

100 bps

U.S. median: 88 bps

Denial rate

20.2%

U.S. median: 17.2%

DSCR / business-purpose

82%

U.S. median: 69%

Median LTV

75%

U.S. median: 75%

What the numbers say

Investors in Connecticut borrowed at a median rate of 7.625%, versus 6.625% for owner-occupants — a 100 bps premium that ranks 14th of 51 states.

Their applications were denied 20.2% of the time. The leading reasons for denial were collateral, other, debt-to-income ratio.

82% of investor loans were business- or commercial-purpose — the category that includes DSCR and LLC-held loans — and 25% were cash-out refinances. The typical loan-to-value was 75%, implying about 25% down.

ProInvestorHubInvestor rate premium: Connecticut vs the nationExtra basis points investors pay over owner-occupantsConnecticut100 bpsU.S. median88 bpsHighest (Mississippi)163 bpsSource: CFPB HMDA 2024 · proinvestorhub.comProInvestorHub

Frequently asked questions

How much more do investors pay for a mortgage in Connecticut?

In 2024, the median investment-property loan in Connecticut carried a rate of 7.625% versus 6.625% for an owner-occupant — a premium of 100 bps. That ranks 14th of 51 states (1 = highest premium).

What share of investor loan applications are denied in Connecticut?

20.2% of investment-property applications were denied in Connecticut in 2024, the 12th-highest denial rate among the 51 states. The most common denial reasons were collateral, other, debt-to-income ratio.

How common are DSCR and business-purpose investor loans in Connecticut?

82% of investor loans in Connecticut were flagged as primarily business or commercial purpose — the bucket that includes DSCR and LLC-held loans (2nd of 51). The median loan-to-value was 75%.

Source: CFPB / FFIEC HMDA Data Browser (loan-level public dataset), 2024. Single-family 1-4 unit, site-built loans; financed purchases only.