Deal Details
Private Loan Type
Equity Cash Out
Approx. Funding Date
02/13/2023
Property Type
Property City
Tacoma
Property State
WA
Loan Term (months)
360
Lien Type
1st Mortgage
Payment Type
Amortized
Property Value
$858,000
Loan-to-Value
68.5%
Term
30 years
Rate Type
Fixed
Debt Service Coverage Ratio
1.10
Location Type
Suburban
Property Condition
Newly Renovated
Occupancy at Closing
All Units Occupied
Number of Units
2
Building Square Footage
3,220
Borrower's Plan
Continue Rental
Borrower Credit Rating
Good
Interest Rate
7.3%
Deal Summary
RCN Capital, a national direct private lender, funded a $588,026 1st lien position equity cash-out loan secured by a duplex in Tacoma, WA. The property value was estimated to be $858,000 so our loan-to-value was 68.5%. This new Client with RCN wanted to cash out on a free-and-clear duplex property which was purchased for $365,000 in February 2021 and completed about $260,000 in rehab. The property is now appraised at $858K As-Is (Collateral Desktop Analysis confirmed) and both units were leased for a total of $6,195/month, which is above the total market rent of $5,000/month. The subject property is approximately 3,220 square feet, and both units were occupied at closing. The Sponsor had good credit and liquidity to close this deal. The loan was structured at 68.5% loan-to-value presenting 1.10 DSCR. The Borrower plans to continue leasing the property. The interest rate was fixed at 7.3% with amortized payments. The loan term was set at 30 years. This DSCR equity cash-out loan was funded in February 2023.
Funded By
RCN Capital
Direct Lender for Residential Fix & Flip, Long-Term Rental, Bridge Loans
Dealmakers
Chris Conklin
Team Loan Officer
Chris Conklin, Team Loan Officer, began his relationship with RCN Capital as a Lead Development Specialist in Fall of 2021. He quickly made an impact, hitting the top LDS goal six months in a row at one point, while developing an understanding of the products and policies here at RCN Capital. He takes pride in providing the best customer service he can to his customers, brokers, and clients. Prior to joining RCN Capital, Chris graduated from Northeastern University with a Bachelor’s degree in Economics, while minoring in Chinese. He got a job at W.B. Mason after college, rising up to Corporate Purchasing Manager over the next 5 years.