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Deal Details
Private Loan Type
Residential Fix and Flip
Approx. Funding Date
02/26/2024
Property Type
Property City
Bronxville
Property State
NY
Loan Term (months)
12
Payment Type
Interest Only
Purchase Price
$1,350,000
Loan-to-Purchase Price
75%
Borrower's Contribution to Purchase
25%
Renovation Budget
$350,000
Renovation Budget Funded
100%
Borrower's Contribution to Budget
0%
After-Repair Value
$1,950,000
Loan-to-After-Repair Value
70%
Renovation Project Scope
Light Rehab
Location Type
Suburban
Property Condition
Excellent
Occupancy at Closing
Vacant
Number of Units
1
Building Square Footage
2,920
Borrower's Plan
Rehab and Sell
Exit Strategy
Sale
Borrower Credit Rating
Excellent
Interest Rate
11.49%
Origination Points
.5%
Deal Summary
RCN Capital, a national direct private lender, funded a $1,365,000 1st lien position fix and flip loan for a single-family home in Bronxville, Westchester County, NY. We funded 100% of the $350,000 renovation budget and 75% of the $1,350,000 purchase price, while the Borrower contributed 25% cash to the purchase at closing. This new Borrower was an experienced investor (3+ verified completed projects). The after-repair value (ARV) of $1,950,000.00 evidenced a return of investment for the Borrower of just over 12.03%. The total loan amount was 70% of the ARV. The Sponsor on the loan had good credit and bank statements that evidenced sufficient assets/liquidity. The initial advance was 75.2% loan-to-value (LTV) and 75.2% loan-to-cost (LTC). The subject property is approximately 2,920 square feet. The Borrower plans to sell the property as an exit strategy. The interest rate was 11.49% and we charged 0.5% origination points. The loan term was set at 12 months. This SFR fix and flip loan was funded in February 2024.
Funded By
RCN Capital
Direct Lender for Residential Fix & Flip, Long-Term Rental, Bridge Loans
Dealmakers
Nick Cottone
Loan Officer
Nick Cottone, Loan Officer, joined RCN late in 2020. Through superior attention to detail and a passion for solving problems, Nick is looking to build effective and long-lasting relationships with brokers and direct customers alike. He has experience in many different areas of the lending process, and also holds his MA Real Estate Salesperson License. Nick earned his Bachelor’s Degree in Finance from Central Connecticut State University in 2017.