Ready Capital Review 2026: Is It Legit? Loan Book, Losses, $6.83 Book Value and SBA 7(a) Volume
Quick Answer
Ready Capital Corporation (NYSE: RC, CIK 1527590) is a real, SEC-reporting lender, but its balance sheet has been shrinking under stress. As of June 30, 2026 (Form 10-Q filed August 7, 2026): book value was $6.83 a share, down from $15.20 at the end of 2022 (our arithmetic: -55.1%); $958 million, or 22.2%, of its loans were on non-accrual (it was $527 million, 6.3%, at the end of 2024); loans fell to $4.98 billion of unpaid principal from $6.27 billion six months earlier; and the dividend is $0.01 a quarter, down from $0.40 in late 2022. The filings contain no going-concern language, the company says it is in compliance with its debt covenants "as amended", and on September 28, 2026 it redeemed $350 million of 2026 notes using a new $225 million, 10.00% secured note due 2031. For borrowers: it is a licensed SBA lender with a large 7(a) book, but its SBA approvals from October 2025 to June 2026 were $325 million, 68% below the same months a year earlier (our arithmetic from the SBA's FOIA file).
Key Takeaways
- Book value per share: $15.20 (December 31, 2022), $14.10 (2023), $10.61 (2024), $8.79 (2025), $7.43 (March 31, 2026), $6.83 (June 30, 2026). Net loss from continuing operations was $412.0 million in 2024, $215.9 million in 2025 and $299.8 million in the first half of 2026 (our sum: $927.6 million).
- Loan book at December 31, 2025: $6.27 billion of unpaid principal across 8,931 loans, 57.3% bridge, 18.4% SBA 7(a), 11.4% fixed rate and 8.1% construction. By June 30, 2026 total unpaid principal was $4.98 billion after loan sales, runoff and securitization collapses in the repositioning plan.
- Non-accrual loans rose from $526.8 million (6.3% of loans, net) at December 31, 2024 to $1,327 million (25.5%) at December 31, 2025, then $957.9 million (22.2%) at June 30, 2026. In bridge loans the non-accrual share was 40.3% at year-end 2025 and 46.9% at June 30, 2026 (our arithmetic).
- Provision for loan losses: $7.2 million (2023), $292.8 million (2024), $87.0 million (2025), $92.5 million (first half of 2026). Broadmark, bought in 2023, specialized in construction loans; Ready Capital does not break out Broadmark loans, and its construction category had 18.8% of loans on non-accrual at June 30, 2026 (our arithmetic).
- Dividend declared per share: $1.66 (2022), $1.46 (2023), $1.10 (2024), $0.385 (2025). The quarterly dividend went $0.40, $0.30, $0.25, $0.125 and then $0.01 (declared December 15, 2025, repeated March 13 and June 15, 2026).
- Premise corrected: Broadmark's own 10-K describes a Seattle construction lender that went public in November 2019 through a business combination of four predecessor Broadmark lending companies with a SPAC (Trinity Merger Corp.). We found no Trez reference in the 2019 or 2022 Broadmark 10-Ks we read. UDF IV was also acquired, on March 13, 2025.
- SBA 7(a): Readycap Lending approved 3,137 loans and $1.17 billion in federal fiscal year 2025, fifth by gross approval among 1,336 lenders (our arithmetic). Of its 2025 approvals that were not cancelled, loans of $50,000 or less were 41% of the count but 4% of the dollars.
CSV · 119 rows
Ready Capital (NYSE: RC): book value, dividends, loan book, non-accrual loans, debt and SBA 7(a) volume
119 rows from Ready Capital's 10-Ks, 10-Qs, 8-Ks and earnings releases, Broadmark's filings and the SBA 7(a) FOIA loan file. Source and accession or URL on every row.
What Ready Capital is
Ready Capital describes itself as a multi-strategy real estate finance company that originates, acquires, finances and services lower-to-middle-market (LMM) commercial real estate loans, SBA loans and construction loans. Its loans "generally range in original principal amounts up to $40 million". It is externally managed by Waterfall, an SEC-registered investment adviser; Thomas Capasse is chairman and chief executive. It has two segments: LMM commercial real estate (bridge, construction, fixed rate and Freddie Mac small balance loans, mostly through ReadyCap Commercial) and small business lending (SBA 7(a) and USDA loans through ReadyCap Lending, plus Funding Circle's platform, bought July 1, 2024 for about $41.2 million).
It is not a crowdfunding platform and sells no securities to retail investors other than its NYSE-listed stock and notes. It is an SBA-licensed lender: the 10-K says it holds an SBA license as "one of only 16 non-bank Small Business Lending Companies" and has preferred lender status. As of February 27, 2026 it had 162,878,779 common shares outstanding.
Three acquisitions shaped the book. The table gives what the filings say about each.
| Deal | Closed | What was bought | Price and accounting |
|---|---|---|---|
| Broadmark Realty Capital | May 31, 2023 | Seattle-based construction lender: $764.4 million of loans and $153.5 million of real estate owned at fair value | Stock worth $637.2 million for net assets of $845.2 million; bargain purchase gain of $208.0 million booked in 2023 |
| Madison One and Funding Circle USA | June 5 and July 1, 2024 | SBA and USDA originator and servicer; online small business lender | About $32.9 million and $41.2 million in cash |
| United Development Funding IV (UDF IV) | March 13, 2025 | REIT lending to residential developers and regional homebuilders; loans of $169.3 million at fair value | Stock of $64.6 million plus contingent value rights; bargain purchase gain of $109.6 million |
For the UDF IV story (the 2016 FBI search, the convictions and what holders received) see what happened to United Development Funding.
Is Ready Capital legit?
Yes in the sense that matters for a counterparty check: it is an NYSE-listed company that files 10-Ks, 10-Qs and 8-Ks, its auditor is Deloitte & Touche (ratified by shareholders on July 17, 2026), and the SBA's own loan file lists it as a Preferred Lenders Program lender. Our searches of the FY2025 10-K and the first two 2026 10-Qs found no "going concern" or "substantial doubt" language.
"Legit" is not the same as "safe". The risk is credit and funding, not identity. The next sections show it.
The loan book by type
| Type | Dec 31, 2025 (millions) | Share of total | Notes |
|---|---|---|---|
| Bridge (LMM commercial real estate) | $3,592.0 | 57.3% | Mostly multi-family; floating rate |
| SBA 7(a) | $1,153.1 | 18.4% | Guaranteed portion often sold; company keeps the unguaranteed risk |
| Fixed rate | $712.1 | 11.4% | Match-funded in securitizations |
| Construction | $509.1 | 8.1% | Includes assets from Broadmark and the 2022 Mosaic funds, not separately disclosed |
| Other and Freddie Mac | $303.2 | 4.8% | (our sum of 283.0 and 20.2) |
| Total | $6,269.5 | 100% | 8,931 loans; carrying value $5,905.3 million |
At December 31, 2025, multi-family was 56.6% of loan unpaid principal, Texas 25.8% and California 12.7%. About 81% of loans were floating rate, so borrower stress follows the rate path. At June 30, 2026 the same measure (including loans held for sale and consolidated vehicles) was $4,976 million: a drop of $1,294 million, or 20.6% (our arithmetic), in six months. Bridge loans fell from $2,083 million of principal in the loans-net line to $1,754 million, and securitized bridge loans in consolidated vehicles went to zero as the last CLOs were collapsed.
Non-accrual and delinquent loans
A non-accrual loan has stopped earning interest income because collection is in doubt. This is the number to watch.
| Type | Dec 31, 2024 | Dec 31, 2025 | Jun 30, 2026 |
|---|---|---|---|
| Bridge | $366.9M of $5,101.7M (7.2%) | $1,151.0M of $2,858.5M (40.3%) | $776.5M of $1,656.2M (46.9%) |
| Construction | $60.0M of $733.3M (8.2%) | $62.4M of $388.0M (16.1%) | $76.0M of $404.3M (18.8%) |
| SBA 7(a) | $64.7M of $1,221.6M (5.3%) | $84.8M of $1,043.5M (8.1%) | $75.9M of $1,476.8M (5.1%) |
| All loans, net | $526.8M of $8,308.2M (6.3%) | $1,327.1M of $5,194.4M (25.5%) | $957.9M of $4,317.4M (22.2%) |
Percentages for individual types are our arithmetic; the all-loans percentages are the company's. Loans 60 or more days past due were 10.2% of loans, net at the end of 2025 and 15.0% at June 30, 2026. The company said in its first-quarter release that most of the rise in its 60-day delinquency measure "reflects" loan sales (it reported core CRE delinquencies of 14.8%), because it sold performing loans and kept the weaker ones. At December 31, 2025, 17.4% of bridge loans, net had a current loan-to-value above 100% (our arithmetic).
SBA 7(a) is the steadier line. Non-accrual SBA loans were 5.1% of that book at June 30, 2026, and the SBA guarantees part of each loan, whose guaranteed portion can be sold; the company can retain the credit risk on the non-guaranteed portion of such loans.
Provisions, losses and the Q4 2025 reset
| Item | 2023 | 2024 | 2025 | First half 2026 |
|---|---|---|---|---|
| Provision for loan losses | $7.2M | $292.8M | $87.0M | $92.5M |
| Valuation allowance, loans held for sale | none | $124.9M | recovery of $15.4M | $4.1M |
| Net realized loss on financial instruments and real estate owned | gain of $65.0M | $54.0M loss | $142.1M loss | $82.3M loss |
| Gain on bargain purchase | $208.0M (Broadmark) | $13.9M | $109.5M (UDF IV) | none |
| Net income (loss), continuing operations | not shown here | $(412.0)M | $(215.9)M | $(299.8)M |
In the fourth quarter of 2025 management began what it calls a balance sheet repositioning: sell loans, collapse securitizations and repay debt. By September 17, 2026 it said the plan would have generated about $2.3 billion of cash, repaid $1.7 billion of asset-level financing and retired $549 million of corporate debt. The cost was book value: it fell $1.36 in the first quarter of 2026 and $0.60 in the second.
The bargain purchase gains deserve a note. In 2023 and 2025, accounting rules let Ready Capital book a gain because the fair value of what it received (Broadmark, UDF IV) exceeded the stock and other consideration it paid. Those gains were income on paper; the loans underneath are the ones now on the non-accrual and sale lists.
The Broadmark legacy construction loans
Broadmark Realty Capital was a Seattle lender of short-term first deed of trust construction loans. Its 2019 10-K says it started trading on the NYSE on November 15, 2019 after a business combination among the registrant, Trinity Merger Corp. and the "predecessor Broadmark lending companies". The four predecessor entities were named PBRELF I, BRELF II, BRELF III and BRELF IV.
A premise we checked and could not support. We were asked to verify that Broadmark descended from the Trez crowdfunded construction lenders. The Broadmark 10-Ks for 2019 and 2022 that we read never mention Trez; they trace the company to its own predecessor funds. Treat the Trez link as unsupported until a filing says it.
Broadmark was already under stress when Ready Capital bought it. Its own 10-K for 2022 said that at December 31, 2022 a total of 40 loans were in contractual default, "totaling $250.4 million in principal outstanding, or 26.9% of our aggregate principal outstanding". Ready Capital closed the merger on May 31, 2023, at an exchange ratio of 0.47233 Ready Capital shares per Broadmark share.
What happened to those loans is not broken out. Ready Capital's 10-K says the assets from Broadmark and the Mosaic funds "consisted in large part of construction loans" and that certain construction loans pay interest in kind, meaning interest is added to principal rather than paid in cash. The only visible trace is the construction line: principal of $874.6 million at December 31, 2024 (plus $77.5 million held for sale), $509.1 million at December 31, 2025 and $525.2 million at June 30, 2026. In 2025 the construction allowance went from $140.1 million to $84.4 million after $178.3 million of charge-offs and sales. Because the construction line also holds Mosaic and other loans, we do not attribute those figures to Broadmark alone.
Broadmark also brought lawsuits. Former Broadmark shareholders sued Ready Capital and some officers in King County, Washington on May 8 and May 14, 2025 under the Securities Act, alleging misleading statements about the performance of the loan portfolio. The court denied motions to dismiss and to stay on February 19, 2026, discovery has begun, and the defendants opposed class certification on July 1, 2026. A related federal case was stayed on June 3, 2026. A Baltimore case against former Broadmark directors names Ready Capital only through indemnification obligations. Separate shareholder class actions over Ready Capital's own disclosures were filed in New York in March and April 2025; briefing on the motion to dismiss finished February 9, 2026 and the filings we read disclose no ruling. These are allegations; the company says it intends to defend.
Dividends and book value over time
| Period end | Book value per share | Dividend declared in the year | Quarterly dividend then |
|---|---|---|---|
| Dec 31, 2021 | $15.36 | $1.66 | not shown |
| Dec 31, 2022 | $15.20 | $1.66 | $0.40 |
| Dec 31, 2023 | $14.10 | $1.46 | $0.30 |
| Dec 31, 2024 | $10.61 | $1.10 | $0.25 |
| Sep 30, 2025 | $10.28 | 2025 total $0.385 | $0.125 |
| Dec 31, 2025 | $8.79 | $0.385 | $0.01 |
| Mar 31, 2026 | $7.43 | $0.01 | |
| Jun 30, 2026 | $6.83 | $0.02 in the first half | $0.01 |
The cut from $0.125 to $0.01 came in the dividend declared on December 15, 2025. A REIT must distribute at least 90% of its taxable income, so a $0.01 payout sits alongside the reported losses.
Debt, covenants and the September 2026 refinancing
At December 31, 2025 about $550 million of senior secured notes and corporate debt matured in 2026, against roughly $200 million of cash and $700 million of unencumbered assets. By June 30, 2026 that was about $450 million against $124 million of cash and $690 million of unencumbered assets. The company retired its 5.75% notes in February and its 6.20% notes in April 2026.
On September 17, 2026 it priced $225 million of 10.00% senior secured notes due 2031, sold at 99.5% of principal in a private placement to institutional accredited investors, and on September 28 it closed the offering and redeemed the $350 million of 4.50% senior secured notes due 2026 at par. That leaves one 2026 corporate maturity, $100 million due in November 2026, which it says it expects to repay from cash on hand. Its CEO said in August the company would "remain focused on meeting our fourth quarter debt maturities".
On covenants: the Q2 10-Q says the company was in compliance with all debt and financial covenants, "as amended", and that certain counterparties' covenant calculations had been amended to exclude the PPPLF (a Federal Reserve facility for SBA loans). On September 18, 2026, with the consent of a majority of holders, it amended the indenture for its $100 million 7.375% notes due 2027 to allow a recourse debt to equity ratio of up to 2.0 to 1.0 and to set a minimum consolidated net asset value of $1.2 billion plus the greater of zero and 75% of net equity capital activity. That is loosened covenant language, agreed by noteholders, not a default.
What the SBA's loan data says about its SBA 7(a) lending
The SBA publishes loan-level 7(a) approvals in its FOIA file (as of June 30, 2026). The lender is listed as Readycap Lending, LLC. Our totals below are sums of that file (our arithmetic), by SBA fiscal year (October to September).
| Fiscal year | Approvals | Gross approval | SBA-guaranteed | Rank by gross approval |
|---|---|---|---|---|
| FY2022 | 807 | $408.7M | $308.7M | 6th of 1,436 |
| FY2023 | 999 | $573.0M | $433.0M | 4th of 1,391 |
| FY2024 | 3,571 | $1,042.9M | $792.8M | 4th of 1,341 |
| FY2025 | 3,137 | $1,170.4M | $884.7M | 5th of 1,336 |
| FY2026 to Jun 30, 2026 (9 months) | 1,167 | $325.1M | $241.3M | 11th of 1,094 |
In the same nine months a year earlier (October 1, 2024 to June 30, 2025) the file shows 2,809 approvals and $1,015 million, so the current window is 68% lower (our arithmetic). Ready Capital's 10-K notes that a government shutdown began in October 2025 and can halt SBA approvals, and its releases report SBA 7(a) originations of $110 million in the first quarter and $82.1 million in the second quarter of 2026. The company says it wants to restart growth in SBA 7(a). The data say it has not yet done so.
For borrowers, the file shows what the loans look like. Among FY2025 approvals not later cancelled (2,639 loans), the median initial interest rate was 14.0% on loans of $50,000 or less, 10.75% on $50,001 to $150,000, 10.25% on $150,001 to $1 million and 9.75% above $1 million; 99.8% of its approvals were variable rate. Loans of $50,000 or less were 1,075 loans (41%) but $46.0 million of $1,041.3 million (4%); loans above $350,000 were 877 loans and 82% of the dollars. Borrowers were in 50 state codes, led by California (470 approvals), Florida (377), New York (315), Texas (267) and Georgia (125). Charge-offs among older approvals, as of June 30, 2026: 4 of 429 FY2021 loans, 57 of 747 FY2022 loans and 25 of 881 FY2023 loans; recent years have had little time to default.
Ready Capital's website lists construction, commercial bridge, multi-family bridge, Freddie Mac small balance and fixed-rate real estate loans and SBA 7(a), USDA and franchise loans for businesses. On the pages we read on October 8, 2026 we found no published rate sheet for the real estate products, so ask for a term sheet. For comparison, see RCN Capital and Velocity Financial and our guide to hard money loan rates.
What a borrower can do with this
- Ask who will own and service the loan. Ready Capital sold 48 CRE loans with $1.0 billion of principal in the first quarter of 2026 and started a sale process for up to $1.2 billion more. A bridge loan can change hands.
- Ask about funding. Floating-rate bridge loans depend on the lender's financing; the company has been repaying asset-level financing and says it will deploy capital into current market-yielding originations.
- For SBA 7(a), the rate cap and guarantee follow SBA rules, so compare the same loan across SBA lenders; for loans of $50,000 or less the median initial rate in the file was 14.0%.
- Get at least two quotes for investor bridge or rental loans. The lenders below are the ones we most often see for investor loans; this is not an endorsement of any of them.
What a shareholder can read from this
Book value per share, not the share price, is what the filings measure, and it is falling at a slowing rate (-$1.36 then -$0.60). The company says the large portfolio sales that drove the decline are winding down. What the filings do not show is a return to earnings: the quarterly loss from continuing operations was $99.7 million in the second quarter of 2026. We make no price call. This is analysis of public documents, not investment, legal or tax advice.
Filing alert · free
An email when Ready Capital files with the SEC
When Ready Capital files: what changed, the one number that matters, and the accession number to check it yourself.
FAQ
Frequently Asked Questions
Sources, read on October 8, 2026: Ready Capital Corporation Form 10-K for 2025 (accession 0001628280-26-013256), 2024 (0001628280-25-009464), 2023 (0001558370-24-002034) and 2022 (0001558370-23-002422); Forms 10-Q for the quarters ended September 30, 2025 (0001628280-25-050686), March 31, 2026 (0001628280-26-032982) and June 30, 2026 (0001628280-26-054850); earnings releases of February 26, May 7 and August 6, 2026 (0001628280-26-012348, -032299, -054466); Forms 8-K of May 31, 2023 (0001104659-23-066654), March 23, July 17, September 17, 18 and 28, 2026; Broadmark Realty Capital Form 10-Ks for 2019 (0001104659-20-034181) and 2022 (0000950170-23-005481); SBA 7(a) FOIA loan data as of June 30, 2026 (data.sba.gov/dataset/7a-504-foia). Product list from readycapital.com. Our arithmetic is labelled. Ready Capital is an SEC filer; we have no affiliation with it.
Keep reading.
- 0120 min read
Rise48 Equity Review 2026: 64 Form D Issuers, $1.1 Billion Sold, Lawsuits and What the Records Show
Rise48 Equity (Scottsdale, Arizona) on EDGAR as of October 8, 2026: 105 Form D and D/A filings by 64 entities, $1,117,846,569 sold across 81 offerings, 16 older deals that raised again in 2025, 76 of 81 offerings with non-accredited investors, and the only federal cases found, where Rise48 is the plaintiff.
- 0227 min read
Sharestates Review 2026: Is It Legit? Loan Terms, SEC Filings, Lawsuits and What Happened to Investor Notes
Records as of Oct 8, 2026: Sharestates (Great Neck, New York) cites 4,206 loans and $3.73B closed, but its performance page stops at 2023, five SEC Form Ds show $0 sold, a 2025 bankruptcy petition was dismissed, and a fund flagged 38.8% of its Sharestates loan principal past due in 2023.
- 0316 min read
AcreTrader Review (2026): 173 Farm Offerings, $344.7 Million Raised, and What the SEC Filings Never Show
We read the Form D of every AcreTrader farm company on SEC EDGAR: 173 offerings from February 2019 to September 2026, $344,728,626 sold to 12,365 investor positions, all under Rule 506(c) for accredited investors, a $15,000 minimum, and an average ticket that jumped to $47,201 in 2026. Plus the broker-dealers behind the sales, AcreTrader Financial's audited balance sheet, and what no filing discloses: rents, fees, distributions and exits.