FAQs

About RCN Capital

RCN Capital’s terms vary by loan program. Here is a basic breakdown of RCN’s most popular programs:

Short-Term Bridge

  • Term: 12 Month & 18 Month Loans
  • Loan Amount: $50k – $2.5M
  • Minimum Property Value: $75k
  • Rates: Starting at 7.99%
  • LTV for Purchase: Up to 85%
  • LTV for Refinance: Up to 70%
  • LTV for Cash-Out: Up to 65%
  • Property Types: Residential 1-4 Units; Condos; Townhomes; 5+ Unite Apartments; Mixed-Use Properties
  • Occupancy: Non-Owner Occupied
  • Minimum FICO: 600

After Repair Value (ARV) Loan Program

  • Term: 12 Months
  • Loan Amount: $50k – $2.5M
  • Minimum Property Value: $75k
  • Rates: Starting at 7.99%
  • LTV: Up to 75% of After Repair Value
  • LTC (Loan-to-Cost): Up to 85% of Purchase Price, Up to 100% of Rehab Costs
  • FICO: 600 Minimum Credit Score
  • Property Types: Residential 1-4 Units; Condos; Townhomes; 5+ Unite Apartments; Mixed-Use Properties
  • Occupancy: Non-Owner Occupied
  • Termination Fee: 1% After Month 9
  • No Pre-Pay Penalty
  • Prior Experience Preferred

Buy-to-Rent Loan Program

  • Term: 24 Months with 6-Month Extension Option
  • Loan Amount: $50k to 2.5M
  • Minimum Property Value: $75k
  • Rates: Starting at 7.99%
  • LTV for Purchase: Lesser of up to 75% of the As-Is Value or Up to 75% Loan-to-Cost
  • LTV for Refinance: Up to 70%
  • LTV for Cash-Out: Up to 65%
  • Property Types: Residential 1-4 Units; Condos; Townhomes; 5+ Unite Apartments; Mixed-Use Properties
  • Occupancy: Non-Owner Occupied
  • Pre-Pay Penalty: 5% Prior to Month 6
  • Extension Fee: 1% for 6 Months
  • Minimum FICO: 660

Long-Term Rental Loan Program

  • Term: 30 Years
  • Loan Amount: $75k to $5M
  • Minimum Property Value: $100k
  • Rates: Starting at 5.50%
  • LTV for Purchase: The Lesser of up to 80% of As-Is Value or up to 80% Loan-to-Cost
  • LTV for Refinance: Up to 80%
  • LTV for Cash-Out: Up to 75%
  • Property Types: Residential 1-4 Units; Condos; Townhomes; Planned Unit Development (PUD)
  • Pre-Pay Penalty: Prepays adjustable up to 5 years
  • Minimum FICO: 620

RCN Capital Contact Information

If you are a current RCN Capital client, please contact your loan officer directly with any questions.

If you are a new client, you can contact RCN Capital by phone through our general number: 860-432-5858 or by email: Info@RCNCapital.com.

 
 

Elite Commercial Servicing is RCN Capital’s loan servicing provider. 

For any loan servicing inquiries, please contact Elite Commercial Servicing:

P \ (860) 432-2549

For Draw Requests: Draws@elitecommercialservicing.com
For Pay Off Letters: Demands@elitecommercialservicing.com
For Billing Statements & General Questions: Servicing@elitecommercialservicing.com
For Modifications & Past Due Accounts: Collections@elitecommercialservicing.com

RCN Capital's Loan Programs

RCN Capital’s terms vary by loan program. Here is a basic breakdown of RCN’s most popular programs:

Short-Term Bridge

  • Term: 12 Month & 18 Month Loans
  • Loan Amount: $50k – $2.5M
  • Minimum Property Value: $75k
  • Rates: Starting at 7.99%
  • LTV for Purchase: Up to 85%
  • LTV for Refinance: Up to 70%
  • LTV for Cash-Out: Up to 65%
  • Property Types: Residential 1-4 Units; Condos; Townhomes; 5+ Unite Apartments; Mixed-Use Properties
  • Occupancy: Non-Owner Occupied
  • Minimum FICO: 600

After Repair Value (ARV) Loan Program

  • Term: 12 Months
  • Loan Amount: $50k – $2.5M
  • Minimum Property Value: $75k
  • Rates: Starting at 7.99%
  • LTV: Up to 75% of After Repair Value
  • LTC (Loan-to-Cost): Up to 85% of Purchase Price, Up to 100% of Rehab Costs
  • FICO: 600 Minimum Credit Score
  • Property Types: Residential 1-4 Units; Condos; Townhomes; 5+ Unite Apartments; Mixed-Use Properties
  • Occupancy: Non-Owner Occupied
  • Termination Fee: 1% After Month 9
  • No Pre-Pay Penalty
  • Prior Experience Preferred

Buy-to-Rent Loan Program

  • Term: 24 Months with 6-Month Extension Option
  • Loan Amount: $50k to 2.5M
  • Minimum Property Value: $75k
  • Rates: Starting at 7.99%
  • LTV for Purchase: Lesser of up to 75% of the As-Is Value or Up to 75% Loan-to-Cost
  • LTV for Refinance: Up to 70%
  • LTV for Cash-Out: Up to 65%
  • Property Types: Residential 1-4 Units; Condos; Townhomes; 5+ Unite Apartments; Mixed-Use Properties
  • Occupancy: Non-Owner Occupied
  • Pre-Pay Penalty: 5% Prior to Month 6
  • Extension Fee: 1% for 6 Months
  • Minimum FICO: 660

Long-Term Rental Loan Program

  • Term: 30 Years
  • Loan Amount: $75k to $5M
  • Minimum Property Value: $100k
  • Rates: Starting at 5.50%
  • LTV for Purchase: The Lesser of up to 80% of As-Is Value or up to 80% Loan-to-Cost
  • LTV for Refinance: Up to 80%
  • LTV for Cash-Out: Up to 75%
  • Property Types: Residential 1-4 Units; Condos; Townhomes; Planned Unit Development (PUD)
  • Pre-Pay Penalty: Prepays adjustable up to 5 years
  • Minimum FICO: 620

RCN Capital is an asset-based lender and loan amounts are based on the value of the real estate asset that is being pledged as collateral. Max loan-to-value varies by loan program. Please refer to the “Loan Programs” tab of RCN’s website for more details.

RCN Capital is able to lend to most states in the U.S. with the exception of Oregon, North Dakota, South Dakota, Minnesota and Vermont.

RCN requires basic documentation to underwrite the borrower and the property. This includes an application; authorization to run a credit report and background check; copies of bank statements (proof of funds); property appraisal; copies of leases, if appropriate; renovation estimates; and documentation on the business entity.

RCN Capital’s bridge loans and After-Repair Value loan program have a minimum FICO requirement of 600. RCN’s Buy-to-Rent loan program has a minimum FICO of 660. The Long-Term Rental loan program have a minimum FICO of 620.

With all loans at RCN, the borrower’s credit score is taken into consideration when underwriting the loan. RCN reviews the individual’s history to determine if there is a repeating pattern of poor financial management or if an isolated incident affected the individual’s credit. We also look at the borrower’s credit in terms of the exit strategy. If the borrower intends to buy and hold rather than fix and flip the property, we will pay closer attention to FICO scores.

 

RCN does not charge any upfront fees during the pre-approval and approval process such as an application fee. However, the borrower is responsible for third party fees such as appraisals or project feasibility studies.

Unlike many of our competitors, RCN only charges interest on the current outstanding balance of an ARV loan. We do not charge interest on the hold back until the funds are drawn, saving you money.

RCN’s 18-month bridge loan has a 2% pre-payment penalty if the loan is repaid prior to month 9. RCN’s 24-month Buy-to-Rent loan has a 5% pre-payment penalty if the loan is repaid during the first 6 months of the loan term. RCN’s 30-year Long-Term Rental loan has adjustable prepayment options up to 5 years. There are no pre-payment penalties associated with RCN’s other loan programs.

For our Bridge Loans, After-Repair Value loan program and Buy-to-Rent loan program, RCN will consider non-owner occupied 1-4 family & multi-family real estate, condos, townhomes, 5+ unit apartments & mixed-use properties as potential collateral. For our Long-Term Rental loan program,  RCN will consider non-owner occupied 1-4 family real estate, condos, townhomes, and planned unit developments (PUDs) as collateral.

RCN Capital offers an After Repair Value loan program for non-owner occupied 1-4 family & multi-family real estate, condos, townhomes, 5+ unit apartments, & mixed-use properties. RCN will lend up to 85% of the purchase price and up to 100% of the renovation costs, not to exceed to 75% of the after repair value.

RCN Capital is an ARV Lender. Our ARV Loan Program provides up to 85% of the purchase price with an LTV not exceeding 75% of the After Repair Value.

RCN Capital is a commercial lender meaning our loans are used for business purposes, rather than individual or personal interests. We do not provide funding for the purchase of any owner occupied residential properties. Our loans are strictly backed by non-owner occupied residential and commercial properties, and are issued to a business entity.

RCN Capital's Loan Process

RCN requires basic documentation to underwrite the borrower and the property. This includes an application; authorization to run a credit report and background check; copies of bank statements (proof of funds); property appraisal; copies of leases, if appropriate; renovation estimates; and documentation on the business entity.

Broker Referral Program

RCN Capital will gladly compensate you for a referral that results in a closed loan, pursuant to local rules and regulations. It is up to you to determine whether you are legally able to accept a referral fee.

If you are interested in receiving more information about RCN Capital’s Broker Program, please fill out the contact form on the “Brokers” tab on our website and you will receive RCN’s Broker Registration Package. Once you complete these forms via DocuSign, you can start referring deals immediately.

Broker fees are disclosed upfront on the commitment letter, in a transaction specific agreement with RCN Capital and on the HUD. A check is sent directly to the broker at closing.

Industry Terms

Hard money loans are a specific type of asset-based loan that is typically secured by real estate. At RCN Capital, loans are backed by non-owner occupied residential real estate or small balance commercial real estate. In some cases, multiple non-owner occupied properties are cross-collateralized in order to secure the needed loan amount.

Commercial loans are used for business purposes, rather than individual or personal interests. At RCN Capital, we only make commercial loans that are secured by non-owner occupied residential and commercial real estate.

A bridge loan is typically interim alternative financing used by a business until more conventional financing is secured. The bridge loan may also be used to cover short-term cash-flow issues.

A line of credit can be used for a variety of purposes, such as the funding of construction phases, specific business purchases or addressing cash flow needs.