LOAN PROGRAMS

RCN Capital offers short-term and long-term financing options for real estate investors. Whether you or your clients are looking to fix & flip properties or hold properties for rental income, RCN has flexible options that suit your needs.

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

PARTNERS

RCN Capital values building strong partnerships with industry professionals because partnerships drive our success. Learn more about RCN Capital’s Wholesale Lending opportunities, including the Broker Referral Program and the Correspondent Lending Program.

ABOUT

RCN Capital is a nationwide private, direct lender. Established in 2010, we provide retail and wholesale lending options for short-term fix and flip financing, long-term DSCR financing, and ground-up construction financing for real estate investors.

Resources

RCN Capital provides a variety of resources that can help you on your lending journey. Find business partners that can help solve any investing problem, learn more about our processes and get answers to the most frequently asked questions.

Grow your Real Estate Portfolio with Vacation Rental Homes


Short-Term Rentals and Vacation Rentals are becoming an increasingly popular way to make solid returns with real estate. Investors choose them because of their high monthly revenue when compared to a typical long-term rental, although they do require more active management. Of course, experience with other types of real estate will be very helpful if you’re thinking about getting into vacation rentals. But even if you do consider yourself to be a seasoned investor, there are a few things you’ll want to know in order to get the most out of this specific type of investment. In this post, we go over the basics of short-term rental properties and the best ways to grow your real estate portfolio with vacation rentals.

Why choose vacation rental property?

You may be wondering why it’s worth investing in vacation rentals when you could flip a property for quick cash, or have consistent returns from a long-term rental. Mainly, vacation real estate can be a very profitable venture when done properly. In fact, you can generate the monthly income of a long-term rental in a single weekend with a vacation rental property. They do require more upkeep, however. You’ll need to make sure the property is well-maintained and stocked with things like clean towels for each stay, on top of managing bookings. You can always hire a property management company to take care of these tasks, effectively turning the property into passive income, but you will also need to consider the hit to your bottom line.

How to pick a good property

When it comes to choosing a home to purchase for a rental, there are a few criteria you should consider. While it doesn’t need to be the largest property, it should have enough amenities to make it desirable and worth renting for an extended stay. Ideally you will want a house with multiple bedrooms, or space that can be converted to spare bedrooms, since your nightly rate will increase with the more guests you can host at your property. More amenities will increase your nightly rate too though, with hot-tubs, pools, and decks being some of the most sought after additions to a home. You’ll find that vacation rentals usually fall into a certain category, and leaning into those themes with particular amenities can help attract more guests.

Types of vacation rentals

As mentioned, vacation rental properties tend to fall into a certain category. For some of those types, you can generate more demand for your property, and in turn see more revenue, if you complement the home with theme-specific amenities. Some popular themes for vacation rental properties include:

The Lake House

If the property is in a warm climate and close to a body of water, it will do well as a lake house. Beach houses in coastal areas will also fall into this category. Some great amenities to include with these properties are kayaks, pool floats, and surfboards. You may also want to keep outdoor items like lawn chairs and sports gear. If there is a beach available to guests, you’ll want to provide beach essentials like towels, blankets and umbrellas. As for the home itself, air conditioning will be an essential, and pools can be a great attraction despite their steep initial cost.

The Ski Cabin

Another great type of rental property to invest in is a ski cabin. These are homes found in colder climates, and will be in higher demand the closer they are to any ski resorts. For amenities, you can keep outdoor winter gear like sleds and tubes. You could also provide guests with extra blankets, board games, and candles for staying indoors. If the home has a fireplace, that can also be a great addition to the home’s décor. Nothing beats slipping into a hot tub after a long day on the slopes, and so properties that include this amenity will be in especially high-demand.

A Stay in the City

The final type of vacation rental we want to cover is an apartment within a major metropolitan area. Maximizing your revenue with this type of rental is simple, with renovated and well-maintained units fetching a higher nightly rate. These rentals are seen as an alternative to hotels for people looking to enjoy the attractions a city has to offer. For that reason, the closer the property is to the city center, the more in-demand it will be. Guests will want the property to be spacious and include a view, and even though those features will be hard to come by, they can set your property apart from others and generate great returns for you.

RCN Capital

RCN Capital lends to real estate professionals, commercial contractors, developers & small business owners across the nation. We provide short-term fix & flip financing, long-term rental financing, and vacation rental financing for real estate investors. If you’re looking to finance your next short-term rental property, RCN Capital has competitive loan options available. Connect with us today to discuss your next real estate investment.