FAQs

Onyx Capital Lending is headquartered in Providence, Rhode Island, with regional offices located in most states across the country. We have a network of funding experts ready to assist our clients, providing lending solutions in 48 states nationwide. Our extensive reach ensures that no matter where you are, we can offer the tailored financial services you need.

Onyx Capital Lending primarily serves a diverse range of clients, including:

1. Real Estate Investors: These clients include individuals or groups investing in residential, commercial, or industrial properties. Onyx Capital Lending helps with short-term and long-term financing for property acquisition, development, renovation, or refinancing.

2. Real Estate Developers: Developers who need capital for large-scale projects such as residential communities, office buildings, or mixed-use developments rely on Onyx Capital Lending for construction loans and other funding needs.

3. Business Owners: Small and medium-sized businesses that need working capital or financing for expansion or equipment purchases can turn to Onyx Capital Lending for flexible, fast funding solutions.

4. Fix-and-Flip Investors: Those looking to purchase, renovate, and sell properties for profit are frequent clients, requiring short-term loans that are fast and adaptable to changing market conditions.

5. Borrowers in Need of Alternative Financing: Clients who may not qualify for traditional bank loans, whether due to credit challenges or the unconventional nature of their projects, are often served by Onyx Capital Lending, which provides more flexible and inclusive lending options.

6. High-Net-Worth Individuals: Investors with substantial capital who require personalized lending solutions for unique investment opportunities also rely on Onyx Capital Lending.

We are a unique home loan funder specializing exclusively in real estate investments. Unlike conventional lenders such as Quicken or Wells Fargo, we do not offer traditional home loans. Instead, we focus solely on meeting the distinctive and sometimes unconventional needs of real estate investors. Our expertise lies in understanding the specific challenges and opportunities investors face, and we tailor our funding solutions to support the success of their business ventures. Whether it’s fast funding for a flip, construction financing, or short-term bridge loans, we provide specialized services designed to help investors thrive.

A fix-and-flip loan is a short-term financing option designed for real estate investors who purchase properties with the intention of renovating or “fixing” them and then selling (“flipping”) them for a profit. These loans are typically used for distressed or undervalued properties that need repairs or updates before being resold.

Key Features of a Fix-and-Flip Loan:

1. Short-Term Loan: These loans are usually short-term, ranging from 6 months to 2 years, since the goal is to renovate and sell the property quickly.

2. Higher Interest Rates: Compared to traditional mortgages, fix-and-flip loans tend to have higher interest rates, reflecting the higher risk associated with these types of projects.

3. Fast Approval and Funding: These loans are designed for quick approval and fast funding, allowing investors to move quickly on properties that may be time-sensitive opportunities.

4. Property-Based: Lenders typically evaluate the property’s potential value after renovation (the ARV, or After Repair Value) rather than the borrower’s credit score. The goal is to ensure the investor can complete the project and sell for a profit.

5. Loan-to-Value (LTV) Ratio: Lenders usually offer a loan amount based on the property’s purchase price and estimated renovation costs, with a typical LTV ratio ranging from 70-90% of the combined cost of the property and repairs.

Fix-and-flip loans provide real estate investors with the capital needed to acquire and renovate properties quickly, making them ideal for those looking to capitalize on opportunities in the market that require speed and flexibility.

A fix-and-flip loan is typically required by real estate investors and individuals involved in the property renovation business. These loans are tailored for those who buy distressed or undervalued properties, renovate them, and then sell them for a profit. The key types of borrowers who require fix-and-flip loans include:

1. Real Estate Investors: Investors who specialize in purchasing homes or commercial properties that need repairs and renovations in order to resell them at a higher price. This includes both novice and experienced investors looking for quick capital to fund their projects.

2. House Flippers: Individuals or teams who purchase residential properties, fix them up, and sell them for a profit. Flippers often rely on short-term loans to finance the purchase price, renovation costs, and carrying costs of the property until it’s sold.

3. Contractors and Builders: Contractors or builders who work with real estate investors to renovate or construct properties may seek fix-and-flip loans to fund the purchase and necessary repairs before the property is resold.

4. Developers: Developers working on larger-scale residential or commercial renovations may use fix-and-flip loans to finance the acquisition and renovation of properties, with the aim of selling once the project is complete.

5. Entrepreneurs and First-Time Investors: New or aspiring real estate investors who need fast access to capital to take advantage of investment opportunities in the property market. These loans allow them to renovate and sell properties without waiting for traditional financing.

6. Flipping Teams or Partnerships: Groups of investors or business partners who pool their resources together to purchase, renovate, and sell properties in a shorter time frame. Fix-and-flip loans help finance the cost of these joint ventures.

In essence, anyone looking to purchase, renovate, and resell a property for a profit—especially those who need quick, flexible funding options—will likely turn to a fix-and-flip loan to finance their project.

As experts in fix-and-flip funding, we specialize in providing comprehensive financial solutions that cover not only the purchase price of the property but also 100% of the rehabilitation costs. Our loans are designed to ensure that investors have the capital needed to cover both acquisition and repair expenses, enabling them to complete renovations without financial constraints. With our streamlined process and flexible terms, we make sure that funding is quickly processed so you can focus on bringing your project to life and achieving a profitable return on investment.

A rental loan, often referred to as a buy-and-hold loan, is a type of financing specifically designed for real estate investors who intend to purchase a property and hold it as a rental for income generation, rather than flipping it for a quick profit. This type of loan helps investors acquire properties that they plan to rent out long-term, whether for residential or commercial purposes.

Key Features of a Rental Loan:

1. Long-Term Financing: Unlike fix-and-flip loans, rental loans are generally long-term loans, often with terms ranging from 15 to 30 years. This allows investors to hold the property for an extended period while collecting rental income.

2. Stable Interest Rates: Rental loans typically offer more stable interest rates compared to short-term loans. Investors benefit from predictable monthly payments, especially if they opt for fixed-rate loans.

3. Property-Based Evaluation: Similar to other real estate loans, rental loans are primarily evaluated based on the property’s value and its income-producing potential (rental income), rather than the borrower’s creditworthiness alone.

4. Down Payment Requirements: Rental loans typically require a larger down payment compared to primary residence loans. Depending on the lender and the property type, this could range from 15% to 30% of the property’s purchase price.

5. Loan-to-Value (LTV) Ratio: Lenders usually offer rental loans with a loan-to-value ratio (LTV) of around 75-80%, meaning the borrower needs to contribute 20-25% as a down payment.

6. Cash Flow Consideration: Lenders often assess the property’s ability to generate rental income to ensure that it can cover the mortgage payments, taxes, insurance, and maintenance costs. Investors must demonstrate that the rental property will be profitable.

1. Real Estate Investors: Investors looking to build long-term rental property portfolios for consistent cash flow.

2. Buy-and-Hold Investors: Individuals who buy properties to rent them out over an extended period rather than selling them for profit.

3. Landlords: Those seeking financing to acquire additional rental properties or expand an existing rental portfolio.

4. Entrepreneurs: People entering the rental market and looking to purchase properties that generate ongoing income.

Rental loans are ideal for those who are focused on creating a steady stream of passive income from real estate investments, rather than flipping properties for short-term profits.

For Fix-and-Flip Loans:

Since fix-and-flip loans focus more on the property and project rather than the borrower’s financial history, the required documents typically include:

1. Loan Application – A completed form with borrower details, project scope, and financials.

2. Property Information – Address, purchase contract, and details on the property’s current condition.Scope of Work (SOW) – A detailed outline of planned renovations and estimated costs.

3. After-Repair Value (ARV) Estimate – An appraisal or comparative market analysis to show projected property value after improvements.

4. Proof of Funds – Bank statements or proof of financial reserves to cover additional costs.

5. Experience & Track Record – A list of past fix-and-flip projects (if applicable) to demonstrate investor experience.

6. Business Entity Documents – If borrowing under an LLC or corporation, lenders may require Articles of Incorporation, Operating Agreements, and an EIN.

For Rental Loans:

Rental loans require a more traditional approach since they involve long-term financing. Lenders typically request:

1. Loan Application – Basic borrower and loan request details.

2. Credit Report & Score – A review of creditworthiness (most lenders prefer a score of 660+).

3. Property Appraisal – A formal property valuation to confirm its worth.

4. Lease Agreement – If the property is already rented, lenders may request proof of rental income.

Yes – you can. We have different types of loans according to our clients requirement – either small or big, we work with everyone.

Yes! Onyx Capital Lending welcomes first-time investors and provides tailored financing solutions to help them succeed in the real estate market. Whether you’re looking to purchase your first fix-and-flip property or build a rental portfolio, we offer flexible loan programs designed to meet your needs.

How We Support First-Time Investors:

1. Flexible Loan Programs – We understand that first-time investors may not have a long track record, so we focus on the property’s value and potential rather than just experience.

2. 100% Rehab Financing – For fix-and-flip projects, we offer funding that covers both the purchase price and renovation costs.

3. Fast & Simple Approval – Our streamlined approval process makes it easier for new investors to secure financing without the complexities of traditional lenders.

4. Guidance & Support – Our team of experts provides valuable insights, market knowledge, and resources to help first-time investors navigate the process confidently.

5. No Experience Required – While prior investment experience is beneficial, it’s not a requirement. We assess the deal’s viability and structure financing accordingly.

Whether you’re interested in fix-and-flip loans, rental loans, or short-term bridge financing, we make it possible for first-time investors to access funding and grow their real estate portfolio. Ready to get started? Let’s discuss your investment goals today!

Onyx Capital Lending provides funding in 48 States

Becoming eligible for a loan with Onyx Capital Lending depends on the type of financing you’re seeking—whether it’s a fix-and-flip loan, rental loan, or bridge loan. While we offer flexible lending options, here are the general eligibility criteria and steps to improve your chances of approval.

General Eligibility Requirements:

1. Property Type – We fund investment properties only (residential, multifamily, and commercial). We do not offer loans for owner-occupied properties.

2. Credit Score – While we offer flexibility, a credit score of 620+ is generally preferred. Some programs may require 680+ for better terms.

3. Down Payment – For most loans, expect to contribute 10-25% of the purchase price.

4. Experience (Optional for Some Loans) – While prior real estate experience can help, we also fund first-time investors based on deal strength.

5. After-Repair Value (ARV) & Loan-to-Value (LTV) Ratios – For fix-and-flip loans, we fund up to 70-90% of the total project cost, depending on the deal.

6. Debt-Service Coverage Ratio (DSCR) for Rental Loans – Your rental income should ideally cover your loan payments (1.0-1.2x DSCR).

7. Proof of Funds – Some loans require proof of financial reserves for additional expenses.

Steps to Become Eligible:

1. Choose the Right Loan Type – Determine if you need a fix-and-flip loan, rental loan, or short-term bridge financing.

2. Prepare Documentation – Gather your credit report, property details, renovation budget, lease agreements (for rentals), and business entity documents (if applicable).

3. Improve Your Credit (If Needed) – If your credit score is low, work on improving it by paying off debts and ensuring on-time payments.

4. Build a Strong Investment Plan – Lenders look for clear, profitable investment strategies with a solid exit plan.

5. Work with a Lending Specialist – Our team can guide you through the process and help structure financing that fits your goals.

Ready to Apply?

Onyx Capital Lending offers fast approvals and flexible terms to both experienced and first-time investors. Contact us today to discuss your deal and see how we can get you funded!

The minimum credit score required depends on the type of loan you’re applying for with Onyx Capital Lending:

Fix-and-Flip Loans:

1. Minimum credit score: 620 (Lower scores may be considered with higher down payments or experience.)

2. Higher scores (680+) may qualify for better interest rates and higher LTV financing.

Rental Loans (DSCR Loans):

1. Minimum credit score: 660 (Some lenders may allow lower scores with compensating factors like higher rental income or larger down payments.)

2. 700+ preferred for the best terms and lowest interest rates.

Bridge Loans:

Minimum credit score: 620-640 (May vary based on deal structure and exit strategy.)

Exceptions & Alternative Options:

1. Lower credit scores may still qualify with stronger property cash flow, experience, or additional assets.

2. We focus more on the deal’s strength and loan-to-value (LTV) rather than just credit.

If you’re unsure about your credit eligibility, reach out, and our team will evaluate your best financing options!

Onyx Capital Lending does offer up to 100% financing, but it depends on the loan type and deal structure. Here’s how it works:

Fix-and-Flip Loans (Up to 100% Rehab Financing)

1. We fund 100% of the rehab costs, meaning all renovation expenses can be covered.

2. For the purchase price, we typically finance up to 85-90% Loan-to-Cost (LTC).

3. If the After-Repair Value (ARV) is strong, we can finance up to 75% of ARV.

4. Full 100% financing may be available for experienced investors with multiple successful flips.

Rental Loans (Buy-and-Hold Financing)

1. Typically, we finance 75-80% Loan-to-Value (LTV) on rental properties.

2. 100% financing is not common unless backed by additional collateral or a portfolio loan.

Bridge Loans (Short-Term Financing)

1. We can provide 100% financing when additional collateral or cross-collateralization is used.

2. Strong borrowers with high-credit and equity in other properties may qualify.

How to Get 100% Financing?

1. Strong Deal Structure: A property with a low purchase price and high ARV increases the chance of full funding.

2. Experienced Investors: Repeat borrowers or investors with a solid track record may qualify.

3. Cross-Collateralization: If you own other properties, we may use them as additional security to fund 100%.

4. Partnerships & Joint Ventures: Investors working with partners or private equity may access full funding.

If you’re looking for 100% financing, let’s discuss your deal and see how we can structure the loan to meet your needs!

At Onyx Capital Lending, our minimum and maximum loan amounts depend on the type of loan:

Fix-and-Flip Loans:

1. Minimum Loan Amount: $20,000

2. Maximum Loan Amount: $10 million+ (Higher amounts available for large projects with strong financials.)

Rental Loans (Buy-and-Hold Loans):

1. Minimum Loan Amount: $55,000

2. Maximum Loan Amount: $5 million per property (Portfolio loans for multiple properties can go higher.)

Bridge Loans:

1. Minimum Loan Amount: $30,000

2. Maximum Loan Amount: $50 million+ (For large-scale commercial and multifamily projects.)

For larger loan requests, we offer custom financing solutions based on deal structure, property type, and borrower qualifications. If you have a specific deal in mind, we can discuss tailored options to fit your needs!