A friend of mine’s son had the same reaction to RH last year. The son really liked it, but the parents weren’t thrilled with it, mostly because of the size and lack of diversity. In the end the son ended up choosing a different school.
I would say to just encourage your child to keep his or her options open and express your concerns about the financial aid/loan aspect. In the meantime, try to get them excited about multiple schools vs. one dream school and suggest that you wait until all acceptances and $$$ decisions are released. This way you can weigh all options that are on the table and make an informed decision from there.
Good luck!