National Direct Private Lender for Real Estate Investors

RCN Capital® is a nationwide, direct private lender. Established in 2010, we provide short-term and long-term hard money loans to real estate investors. As a direct private lender, RCN Capital takes a common sense approach to underwriting, with all approvals made in-house, and we are dedicated to providing a quick response to time-sensitive loans. We offer speed unmatched by conventional lenders and can close in as few as 10 business days.

Please note: We do not offer loans for land, ground-up construction or owner-occupied homes.

 

Property Geographic Area Details

Nationwide except 7 states: AK, MN, ND, OR, SD, VT, NV. We consider urban and suburban areas only.

Loan Amounts

$55,000 to $3,000,000

Interest Rates

7% to 12%

Max Loan-To-Value

65.00%

Max Loan-To-Cost

75.00%

Origination Fees

2% to 5%

Loan Terms

12 months to 360 months

Lien Position

  • 1st

Loan Purpose

  • Investment Acquisition
  • Investment Refinance
  • Use Equity to Invest in Another Property

Property Occupancy

  • Vacant
  • Tenant Occupied 100%

Property Types and Loan Types

Collateral Types

  • Residential Property
  • Commercial Property

Property Types

  • 2-4 Units Residential
  • Condominium
  • Mixed-Use
  • Multifamily
  • Single Family Residence

Loan Types

  • Private Money
  • Hard Money
  • Residential Bridge
  • Residential Fix and Flip
  • Residential Rehab and Rent
  • Residential Long-Term Rental

Specialty Loan Types

  • Condo Conversion
  • Residential Long-Term Rental

Purchase Loan

RCN Capital offers short-term bridge financing options for real estate investors for a multitude of non-owner occupied properties. Cross-collateralization options are available. A six-month extension is available for our 18-month bridge loan (a 2% fee will apply). This program has interest rates starting at 9.99%. $75K to $2M | 12 to 18 months | LTV up to 75% of purchase price, Refinance up to 65%, Cash Out up to 60% | 650 minimum FICO. Our Buy-to-Rent loan program offers a 24-month term, with a 12-month extension available, ensuring that our customers have rental property financing that goes the distance. This program has interest rates starting at 9.49%. $75K to $2M | 24 Months, extension available with additional fee | Purchase up to 70% loan-to-cost, Refinance up to 65% of as-is value, Cash Out up to 60% of as-is value | 650 minimum FICO | 1.33 Rent Coverage Ratio.

Max Loan-To-Purchase Price

75.00%

Borrower Must Have Property Under Contract

no

Will Provide Proof of Funds Letter

yes

Will Consider Lending on Purchase from Auction

yes

Allowed Source of Borrower’s Equity

  • Own Cash
  • Partner

Rehab Value Add Loan

RCN Capital’s After Repair Value program offers financing for up to 75% of the purchase price + up to 100% of the renovation costs, not to exceed 65% of the after repair value. Prior real estate investing experience is required. This program has interest rates starting at 9.99%. $75K to $2M. 12 Month term. 650 minimum FICO score.

Experience Required

yes

Minimum Number of Value-Add Projects Completed by Borrower

3

Will Provide Funds for Renovation Costs

yes

Max LTC for Renovation Costs

100.00%

Interest Charged for Renovation Costs

Only on Funds Drawn

Typical Number of Days for Funds Draw

5

Maximum After Repair Value

65.00%

Residential Long-Term Rental

The borrower needs to own at least one other rental property besides the subject property. Purchase up to 70% loan-to-cost, Refinance up to 65% of as-is value, Cash Out up to 60% of as-is value. 680 minimum FICO. The origination fee is 3 points for most of our long-term loans. It is possible to buy down the interest rate by paying more points at closing. There is no seasoning requirement; we do want to see long-term leases in place, but they don’t have to have started yet. The prepayment penalty is 5% of unpaid loan balance if paid off before end of year 1, 4% of unpaid loan balance if paid off before end of year 2, 3% of unpaid loan balance if paid off before end of year 3, 2% of unpaid loan balance if paid off before end of year 4, 1% of unpaid loan balance if paid off before end of year 5. Long-term loans can be secured by a single-family home, condo, townhome, duplex, triplex or fourplex.

Minimum Loan Amount

$75,000

Maximum Loan Amount

$1,000,000

Minimum Interest Rate

7.00%

Maximum Interest Rate

9%

Minimum Origination Fee

3%

Maximum Origination Fee

4%

Minimum Loan Term

360 months

Maximum Loan Term

360 months

Maximum Loan-To-Value

75.00%

Maximum Loan-To-Purchase

80.00%

Minimum Debt Service Coverage Ratio

1.25

Will Lend on a Portfolio of Rentals

No

Minimum Property Value

$100,000

Maximum Property Value

$2,000,000

Details and Requirements

Typical Closing Time (Days)

15

Fastest Closing Time (Days)

10

Works With

  • Brokers
  • Borrowers

Payment Structure

  • Interest Only
  • Amortized
  • Interest Reserve

Payment Structure Details

There are no prepayment penalties on our fix and flip programs. Only on 18 month bridge, Buy to Rent, and Long Term Rental.

Pre Payment Penalty

yes

There are no prepayments on our fix and flip programs. Our programs longer than 18 months do have prepayment penalties. For our 18 month bridge, there is a prepayment penalty before month 9. For our 24-36 month Buy to Rent Program, there is a prepayment penalty before month 6. For our 30 year Long Term Rental Program, there is a step down prepayment penalty.

Will lend to a foreign national

yes

We will lend to foreign nationals at reduced LTV.

Will Allow Junior Position Mortgage(s) Behind Our Senior Mortgage

no

Will Consider Collateralizing Multiple Properties in One Loan

no

Will Consider Equity Joint Venture

no

Borrower Entity Types Considered

  • LLC
  • Trust
  • Corporation

Documentation Required

  • Credit Report
  • Bank Statements
  • Loan Application

Personal Guaranty (Recourse) Required

Always

Credit Check Required

yes

Minimum Credit Score Required

650

Credit Check Description

Our 12 month bridge, 18 month bridge, and ARV program and Buy to Rent program all have minimum credit scores of 650. Our Long Term Rental has minimum credit scores of 680.

Appraisal Required for Residential Property

Always Before Funding

Appraisal Required for Commercial Property

Always Before Funding

Broker Price Opinion (BPO) Accepted for Residential Property

Never

Broker Price Opinion (BPO) Accepted for Commercial Property

Never

Fees

Deposit Required

$0 to $0

6 months interest reserve on purchase 12 months interest reserve on refinances

Legal Fee

$995 legal fee due at closing on all loans NY: $995+.25% of total loan amount

Inspection Fee

$200 inspection fee per draw request. This amount is NOT paid out of pocket; it is taken out of the renovation budget.

Credit Report Fee

$25 is charged for RCN to pull a credit report

Background Check Fee

$25 for a background check

Extension Fee

Our Buy to Rent Program has an extension fee for months 25-36 of 1%.

Appraisal Fee

Cost of ordering an appraisal. If there is renovation, it will be an appraisal of both as-is and after repair value. Usually in the range of $600-1500, buy may be higher, especially for larger multi-family or mixed use properties

Renovation Construction Draw Fee

$200 inspection fee per draw request. This amount is NOT paid out of pocket; it is taken out of the renovation budget.

Fees which are mandatory for all new borrower clients

  • Deposit
  • Legal Fee
  • Appraisal Fee
  • Credit Report Fee
  • Background Check Fee
  • Renovation or Construction Funds Draw Fee

Fees which are charged upfront prior to loan closing

  • Deposit
  • Appraisal Fee
  • Credit Report Fee
  • Environmental Report Fee

Fees which are paid to a third party company

  • Appraisal Fee
  • Credit Report Fee
  • Background Check Fee

Legal Disclaimer

RCN Capital, LLC is licensed as a California Finance Lender under Department of Business Oversight license number 60DBO-46258. Arizona Mortgage Banker License BK-0932325. Oregon Mortgage Lending License: ML-5571. NMLS Company ID: 1045656.

Fix & Flip Projects / ARV Loans

Short-term financing for the purchase & rehab of non-owner occupied properties.

  • Collateral: Non-Owner Occupied 1-4 Family Real Estate; Condos; Townhomes: 5+ Unit Apartments; Mixed-Use Properties
  • LTV: Up to 85% of the Purchase Price + 100% of the Renovation Cost
    • Investors with less experience will need to contribute more to the purchase
  • LTARV: Not to Exceed 70% of the ARV (max 65% for new investors)
  • Term: 12 Months (6-Month Extension Available)
  • Minimum As-Is Property Value:
    • $60k for Single-Family
    • $40k per Unit for 2-4 Family
    • $40k per Unit for Multi-Family (5+)/Mixed-Use
  • Loan Amount:
    • $50k – $2M for 1-4 Family, Condos, & Townhomes
    • $250k – $3M for Multi-Family (5+)/Mixed-Use
  • Minimum FICO Score: 650
  • Interest Rates: As Low As 8.75% for very experienced investors
    • (Interest Only Charged on Outstanding Balance)
  • Pre-Payment Penalty: N/A

INVESTOR EXPERIENCE LEVELS

  • New Investor: Completed up to 2 Flips or Owned up to 2 Rentals in the last 3 years
    • Interest Rates Starting at 10.49%
    • 30% cash down payment required for purchase
  • Intermediate Investor: Completed Between 3 & 15 Flips or Owned Between 3 & 15 Rentals in the Last 3 Years
    • Interest Rates Starting at 9.49%
    • 25% cash down payment required for purchase
  • Experienced Investor: Owned 15 or More Investment Properties (Flips and/or Rentals) in the Last 3 Years
    • Interest Rates Starting at 8.75%
    • 15% cash down payment required for purchase

Buy-to-Rent Loans

Short-term financing for the purchase and refinance of non-owner occupied rental properties.

  • Collateral: Non-Owner Occupied 1-4 Family & Multi-Family Real Estate; Condos; Townhomes: 5+ Unit Apartments; Mixed-Use Properties
  • LTV:
    • Purchase: The lesser of Up to 75% of the As-Is Value or Up to 75% Loan-to-Cost
    • Refinance: Up to 70% of the As Is Value
    • Cash-Out: Up to 60% of the As Is Value
  • Term: 24 Months (12 month extension available with additional fee)
  • Minimum As-Is Property Value:
    • $75k for Single-Family
    • $50k per Unit for 2-4 Family
    • $50k per Unit for Multi-Family (5+)/Mixed-Use
  • Loan Amount:
    • $50k – $2M for 1-4 Family, Condos, & Townhomes
    • $250k – $3M for Multi-Family (5+)/Mixed-Use
  • Minimum FICO Score: 650
  • Interest Rates: As Low As 8.75% for very experienced investors
  • Rent Coverage Ratio (Monthly Rent/Monthly Debt Service): 1.15

BUY-TO-RENT LOAN PROGRAM TYPICAL LEVERAGE

Moderate Credit 650-679 FICO

  • Purchase: Lesser of Up to 65% of the As-Is Value or 65% of the Loan-to-Cost
  • Refinance: Up to 60% of the As-Is Value
  • Cash-Out: Up to 55% of the As-Is Value

Good Credit 680-699 FICO

  • Purchase: Lesser of Up to 70% of the As-Is Value or 70% of the Loan-to-Cost
  • Refinance: Up to 65% of the As-Is Value
  • Cash-Out: Up to 60% of the As-Is Value

Excellent Credit 700+ FICO

  • Purchase: Lesser of Up to 75% of the As-Is Value or 75% of the Loan-to-Cost
  • Refinance: Up to 70% of the As-Is Value
  • Cash-Out: Up to 60% of the As-Is Value

Long-Term Rental Loans

Long term financing for the purchase and refinance of non-owner occupied rental properties.

  • Collateral: Non-Owner Occupied 1-4 Family Real Estate; Condos; Townhomes; Planned Unit Development (PUD)
  • LTV:
    • Purchase: Lesser of up to 75% of the As-Is Value or Up to 75% Loan-to-Cost
    • Refinance: Up to 75% of the As Is Value
    • Cash-Out: Up to 70% of the As Is Value
  • Term: 30 Years
  • Property Values: “As Is” Appraised Value Must Be $100k or Greater (Geographical Restrictions May Apply)
  • Loan Amount: $55k – $1M
  • Minimum FICO Score: 680
  • Interest Rates: Starting at 6.25%
  • Debt Service Coverage Ratio (DSCR):
    • For Property Values < $150k: 1.33 or Greater
    • For Property Values $150k+: 1.25 or Greater

Mulit-Family Loans

Short-term financing for 5+ unit apartments and mixed-use properties.

  • Collateral: Multi-Family Apartment Buildings (5+ Units); Mixed-Use Properties (Residential Space is Great than 50% of Square Footage)
  • LTV: Stabilized Bridge
    • Purchase: Up to 65% of the As is Value
    • Refinance: Up to 60% of the As is Value
    • Cash-Out: Up to 55% of the As-Is Value
  • Fix & Flip – Light Rehab only

    • Purchase: Up to 70% of the Purchase Price + 100% of Renovation Costs
    • Refinance: Up to 60% of the As-Is Value + 100% of Renovation Costs
    • Cash-Out: Up to 55% of the As-Is Value + 100% of Renovation Costs
  • Term: 12 Months (6-Month Extension Available)
  • Minimum Property Value: $50k per Door (Subject to Increase Based on Location)
  • Loan Amount: $250k – $3M ($1M Max per unit)
  • Minimum FICO Score: 650

Final loan terms may vary based on loan types, verification of application information, and other risk-based factors.

RCN Capital® is a nationwide, direct private lender. Established in 2010, we provide short-term and long-term hard money loans ranging from $50K to $2.5M+ to fund the purchase of non-owner occupied residential and commercial properties, provide bridge loans, and finance real estate-backed lines of credit. RCN Capital lends to real estate investors, commercial contractors, developers and small business owners throughout the country, regardless of level of experience. As a direct private lender, RCN Capital takes a common sense approach to underwriting, with all approvals made in-house, and we are dedicated to providing a quick response to time-sensitive loans. We offer speed unmatched by conventional lenders and can close in as few as 10 business days.

License

NMLS ID 1045656, CFL 60DBO-46258, Arizona BK-0932325, Oregon ML-5571

Company Size (Number of Employees)

64

Year Established

2010

Associations

  • American Association of Private Lenders
  • Asian Real Estate Association of America
  • National Association of Mortgage Brokers
  • National Alliance of Commercial Loan Brokers
  • Asian Real Estate Association of America

Office Locations

75 Gerber Road East, South Windsor, Connecticut 06074

Primary Capital Source

  • Own Funds

Loan Structure for Majority of Loans

  • Own Balance Sheet

Percentage of company’s lending business focused on private mortgage

95%

Percentage of Loans Secured by Commercial Property

5%

Percentage of Loans Secured by Residential Property

95%

Percentage of Residential Property Loans Which are Fix and Flip

90%

Percentage of Residential Property Loans Which are Buy and Hold

10%

Percentage of Residential Property Loans Which are Long-Term Rental (5+ years)

5%

Total Number of Loans Funded to Date

3800

Total Loan Volume Funded to Date

$800,000,000

2017 Number of Loans Funded

800

2017 Loan Volume Funded

$170,000,000

2018 Number of Loans Funded

1,070

2018 Loan Volume Funded

$267,000,000

Stephen Ballard

Senior Business Development Coordinator

Stephen Ballard, Senior Business Development Coordinator, specializes in building and maintaining customer relationships, finding and expanding business partnerships, and educating potential clients on RCN Capital’s diverse product line. Joining the company in the summer of 2017, Stephen’s mission is to expand RCN’s saturation in local and national markets. Stephen graduated from the University of Connecticut Business School, with a degree in Finance.

Natasha Nikulina

Business Development Coordinator

Natasha Nikulina, Business Development Coordinator, is committed to building and maintaining customer relationships, as well as educating potential clients on RCN Capital’s diverse product line. Joining the company in the summer of 2018, Natasha’s mission is to create open communication that benefits both the company and its clients. Her previous customer service experience will be used extensively at RCN Capital to assist clients with their needs. Natasha graduated from the University of Massachusetts Amherst, with an honors degree in Marketing.

Completed Transactions

RCN Capital

Private Loan Funding
Haiku, HI
$997,286
Single Family Residence

Residential Fix and Flip

RCN Capital

Private Loan Funding
Los Angeles, CA
$1,402,000
Multifamily

Residential Rehab

RCN Capital

Private Loan Funding
Century, FL
$115,500
Single Family Residence

Residential Fix and Flip

RCN Capital

Private Loan Funding
Atlanta, GA
$190,000
Single Family Residence

Equity Cash Out

RCN Capital

Private Loan Funding
Briarcliff Manor, NY
$307,500
Single Family Residence

Residential Fix and Flip

RCN Capital

Private Loan Funding
Coyle, OK
$90,000
Single Family Residence

Residential Fix and Flip

RCN Capital

Private Loan Funding
Bluffton, SC
$95,000
Single Family Residence

Equity Cash Out

RCN Capital

Private Loan Funding
Anchorage, AK
$156,000
Single Family Residence

Residential Fix and Flip

RCN Capital

Private Loan Funding
Wailuku, HI
$490,000
Single Family Residence

Residential Fix and Flip

Before You Contact Us

Our Minimum Loan Amount Is

$55,000

What We Do

  • Residential & Multifamily Properties Only
  • 15%+ Cash Required for Flip Purchase
  • 25%+ Cash Required for Rental Purchase
  • Short-Term and Long-Term Financing
  • 650+ FICO Score Required

Not Available

  • NO 100% Financing
  • NO Junior Liens or Gap Funding
  • NO Owner-Occupied Homes
  • NO Land Loans
  • NO Ground-Up Construction

Loan Request

Short Description of your Loan Request or Property Address

This information is about yourself, not the subject property.

$
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months

At the end of the form you can enter the additional properties.

(temp use, storage, billboard, parking, etc.)

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If Borrower is not seeking additional funds for the renovation, change the Loan Type to Purchase or Acquisition.

$
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$
$
%

(temp use, storage, billboard, parking, etc.)

$
$
$
$
$
$
$
%

If Borrower is not seeking additional funds for the renovation, change the Loan Type to Purchase or Acquisition.

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how will the loan be paid off?

acres

Add links to photos here.

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acres

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Add links to documents, photos, etc.

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Before You Contact Us

Our Minimum Loan Amount Is

$55,000

What We Do

  • Residential & Multifamily Properties Only
  • 15%+ Cash Required for Flip Purchase
  • 25%+ Cash Required for Rental Purchase
  • Short-Term and Long-Term Financing
  • 650+ FICO Score Required

Not Available

  • NO 100% Financing
  • NO Junior Liens or Gap Funding
  • NO Owner-Occupied Homes
  • NO Land Loans
  • NO Ground-Up Construction