Ground-Up Construction Loan for Spec Home in Closter, New Jersey

Funded by RCN Capital


Deal Details

Private Loan Type

Residential Ground-Up Construction

Approx. Funding Date


Property Type
Single Family Residence
Property City


Property State


Loan Term (months)


Lien Type

1st Mortgage

Payment Type

Interest Only

Purchase Price


Loan-to-Purchase Price


Borrower's Contribution to Purchase


Construction Budget


Construction Budget Funded


Completed Value


Loan-to-Completed Value


Construction Project Scope


Location Type


Number of Units


Building Square Footage


Exit Strategy


Borrower Credit Rating


Interest Rate


Origination Points


Deal Highlights

Repeat Borrower looking to build luxury SFR in Closter, NJ.
Existing property is being demolished to make way for a 4300-square-foot new build.
Borrower has experience doing similar projects to this & has passed a contractor profile review.
Borrower is looking for $306k in delayed purchase funds & an additional $685,300 for rehab funds.
Loan is 75.6% LTC with an estimated ROI of 60.15%.
Borrower has a middle score of 680 and ample funds to complete the project.

Deal Summary

RCN Capital, a national direct private lender, funded a $991,300 1st lien position ground-up construction loan for a single-family residence in Closter, NJ. We funded 100% of the $685,300 construction budget and 52% of the $626,000 purchase price, while the Borrower contributed 48% to the purchase at closing. The existing property was being demolished to make way for a new build of approximately 4,300 square feet. The completed value was estimated at $2,100,000 so our loan-to-completed-value was 47.2%, projecting a solid return on investment of 57.89%. The Borrower plans to sell the property upon completion of the vertical construction. They had a mid-FICO of 684 and sufficient liquidity. The interest rate was 12.49%, and we charged 3% origination points. The loan term was set at 18 months. This SFR ground-up construction loan was funded in March 2023.

Funded By

RCN Capital

Direct Lender for Residential Fix & Flip, Long-Term Rental, Bridge Loans


Taylor Brawley

Loan Officer

Taylor Brawley, Loan Officer, joins RCN Capital in 2021. He enjoys creating new relationships with brokers and borrowers to ensure their professional goals are met. He works hard at communicating efficiently and effectively in order to achieve the best possible results. He uses his experience from his finance background by being detail-oriented and organized. Prior to joining RCN Capital, Taylor graduated from the University of North Carolina at Charlotte earning his Bachelor of Arts in Finance.

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