Hard Money Lenders in Lexington, KY | Capital Kings LLC
Capital Kings LLC · Non-QM Mortgage Broker

Hard Money Lenders inLexington, Kentucky

Fix and flip, DSCR rental and new construction financing for Lexington investors. We do not lend our own money, we shop your deal across a 400+ lender network and come back with real terms you can compare on total cost.

Get a term sheet →Price a Lexington deal

Prefer to talk it through? Call or text Micah at (281) 636-5682.

Reviewed by Micah Foster, Founder & CEO, September 2026

Price a Lexington deal right now

Prefilled with a realistic Lexington deal. Change any number and it reprices on the programs that lend in Kentucky, with the same math as our term sheets.

Sizing your flip on the same terms as the term sheet. Get a real term sheet →

Financing a deal in Lexington

Lexington flips like a supply-constrained college and hospital town, because that’s what it is. Fayette County has drawn a hard line around where the city can grow since the 1950s, the Urban Service Boundary, and the horse farms on the other side of it aren’t getting subdivided. That keeps the older housing inside the line in demand. The flippable stock is the brick ranches and Cape Cods of the 1940s through the 60s on the north and east side, and the bungalows closer to downtown.

The Lexington deal is decided by scarcity cutting both ways. Buyers compete for anything move-in ready under the city median, so a well-finished ranch in Castlewood, Meadowthorpe or Southland doesn’t sit long. But you’re competing for the purchase with every other investor who knows the same thing, and that squeezes the buy. The council approved a 2,800 acre expansion of the boundary in November 2023, and the new areas will take years to build out, so the pressure on the existing stock isn’t going away soon. Financing a first Lexington flip is possible, and a track record lowers the down payment. In Kentucky a first flip can be priced at 10% down with 660+ credit (from 9.99%) or 10% down with no credit minimum on the fastest-close program (from 11.99%). Programs that need completed flips: 15% down from 9.00% with 2+ flips; 7.5% down from 9.99% with 3+ flips; 5% down from 9.99% with 5+ flips; and 100% financing from 9.50% with 2+ flips when purchase plus rehab fits under 70% of ARV.

What a Lexington deal looks like on paper

Lexington example: $175,000 purchase, $50,000 rehab, $305,000 after repair value, 700 credit, 4+ completed flips. The engine puts that borrower on the 7.5% Down, 3+ Flips program at 9.99%. Think a 1950s brick ranch near Castlewood Park in 40505 with a dated kitchen, one bath, original windows and a tired HVAC system. Every number below is what the instant term sheet prints for that deal, so the picture cannot contradict the page.

Loan amount$208,125
Cash to close$31,829
Proof of funds to show$55,725
Where the $31,829 goes
  • Down payment (7.5% of purchase plus rehab)You$16,875
  • Origination (1.63%)Lender$3,382
  • Lender fees (flat)Lender$2,790
  • Broker fee (1%)Broker$2,081
  • Title and closing (estimate at Texas rates)Title$3,364
  • Prepaid interest (15 days)Lender$649
  • Property insuranceInsurer$2,138
  • AppraisalAppraiser$550

Interest while you rehab: $1,316 a month on the $158,125 funded at closing, $1,733 once every draw is out. Proof of funds is cash to close plus $13,500 of rehab reserve and $10,396 of interest reserve. Sample borrower, sample address; the sheet is issued by the same engine as the borrower’s instant term sheet.

Fix and flip programs in Lexington

Swipe the table for rates, credit and terms →

ProgramDown paymentMin creditExperienceRateOriginationMax loanTermClose
Experienced Investor Rate115% of purchase680+2+ completed flips9.00%0.75%75% of ARV12-24 months7-14 days
First Flip, 10% Down210% of purchase + rehab660+First flip OK9.99%2%75% of ARV12 months21-30 days
7.5% Down, 3+ Flips37.5% of purchase + rehab660+3+ completed flips9.99%1.5%75% of ARV12 months21-30 days
5% Down, 5+ Flips45% of purchase660+5+ completed flips9.99% to 10.99%2%75% of ARV9-24 months10-14 days
100% Financing, 2+ Flips50% (100% financing)620+2+ completed flips9.50% to 12.00%2.5%70% of ARV9 months7-14 days
Fastest Close (3 days)10% of purchaseNo minimumFirst flip OK11.99%2%75% of ARV6 months72 hours
  1. Rate and origination are the program floor; two completed projects in the last 36 months preferred.
  2. Rate 9.99% with 2% to 2.25% origination by credit; more origination buys the rate down as far as 8.99%. Loans under $150,000 add 0.5% to the rate and 0.5% to the origination, under $100,000 1.5% and 1%. Under 680 credit the loan caps at 87.5% of cost. Standard interest, charged only on funds drawn. The loan is capped at a share of purchase plus rehab, the full rehab held back for draws, and the ARV must be at least 1.25 times purchase plus rehab. Processing $500, legal $1,495 and underwriting $795.
  3. Rate 9.99% with 1.5% to 1.75% origination by credit; more origination buys the rate down as far as 8.99%. Loans under $150,000 add 0.5% to the rate and 0.5% to the origination, under $100,000 1.5% and 1%. Under 680 credit the loan caps at 90% of cost. Standard interest, charged only on funds drawn. The loan is capped at a share of purchase plus rehab, the full rehab held back for draws, and the ARV must be at least 1.25 times purchase plus rehab. Processing $500, legal $1,495 and underwriting $795.
  4. Rate is set per file from 9.99%; origination about 2% plus a $995 processing fee.
  5. Needs 2 completed flips in the last two years and about $75,000 in verified liquidity. Rate 9.5% to 12% with 2% to 3% origination, set per file. Purchase plus rehab must fit under 70% of ARV.

Origination has a $2,000 minimum on most programs (a few lenders set a higher one, noted above) and our broker fee is 1% with a $2,000 minimum and a $10,000 maximum. These are the numbers our term sheets use as of October 2026. Strong credit, cash and a track record can price lower through specific lenders in the network.

Where Lexington prices sit right now

Before we price a Lexington flip, we look at where sales in the city sit today. Your block can run well above or below these numbers, so treat them as the starting point, not the answer.

Redfin puts the Lexington median sale price at $365,000 for the three months ending August 2026, up 4.2% from a year earlier, with homes selling in about 34 days. Zillow’s home value index for the city is $333,115, up 3.4%. In 40505 on the north and east side, where our example sits, Redfin’s median is $259,000, up 7.1%.

Median sale price, Lexington (Redfin, 3 months to Aug 2026)$365,000
Days on market, Lexington (Redfin)34
Zillow home value index, Lexington (Aug 2026)$333,115
Median sale price, 40505 (Redfin)$259,000

Sources: Redfin, Lexington housing market, Zillow, Lexington home values, Redfin, 40505 housing market, CivicLex, the Urban Service Boundary

How a Lexington file actually gets priced

Appraisers in Lexington price by neighborhood identity more than by ZIP, and the lines are sharp. Kenwick and Bell Court carry a premium over blocks a few streets east, and the campus-adjacent streets behave like a rental market rather than an owner-occupant one. We want comps from the same named neighborhood, closed in the last 90 days, with matching bedroom count and basement or no basement. The finished ranch with a second full bath is the product that appraises cleanly; a two-bedroom, one-bath with no parking has a lower ceiling than its square footage suggests.

Lexington sits on the Inner Bluegrass limestone, and that karst ground means sinkholes and settling show up in inspections more than people expect, so look hard at the foundation and the yard grade. Most of the flip stock predates 1978, so plan for lead-safe practices, and the 1950s houses often still have original galvanized supply lines. Structural, electrical, plumbing and HVAC work goes through the Lexington-Fayette Urban County Government’s building inspection division. In the H-1 historic overlay neighborhoods, Bell Court, South Hill, Northside and Gratz Park among them, exterior changes like windows, siding and porches need Board of Architectural Review sign-off first.

Who buys your finished Lexington deal

The finished Lexington house sells to University of Kentucky and UK HealthCare staff, the Toyota plant commute up in Georgetown, and a steady stream of first-time buyers priced out of the south-end subdivisions. Owner-occupants pay for a second bath, a fenced yard and off-street parking. Near campus, the buyer is often a landlord, and the price is set by what it rents for, so those houses are usually better held. Pricing both exits before you pick a scope keeps you from over-building a rental.

What happens after you apply

Apply once and the whole Lexington loan lives in the borrower portal: the term sheet you can accept and sign in the browser, where the loan stands, one place for documents, and the list of what the lender is still waiting on. These are real screens from the portal.

Capital Kings borrower portal: Welcome to your file
Welcome to your fileSign in and the term sheet is waiting, with every fee and who it goes to.
Capital Kings borrower portal: Where the loan stands
Where the loan standsApplication, appraisal, title, underwriting, clear to close.
Capital Kings borrower portal: Run the deal again
Run the deal againThe analyzer priced off your real numbers, before and after the appraisal.
Capital Kings borrower portal: What the lender still needs
What the lender still needsEvery open condition, what clears it, and who it is waiting on.

The full walkthrough is on how it works, and you can tour the borrower portal before you apply.

What we fund in Lexington

Fix and flip

10%down on a first flip
Rates
from 9.00% at 680+ credit with 2+ completed flips
With experience
0% down with 2+ completed flips, purchase plus rehab under 70% of ARV
Rehab
100% funded, paid in draws
Fix and flip loans in Kentucky →

Rental (DSCR)

7.00%rates from, 30-year fixed
Qualify on
the rent, no W-2s or tax returns
Down
from 20% at 700+ credit
Good for
buy-and-hold, and the refinance when a flip becomes a rental
DSCR loans in Kentucky →

New construction

95%of cost with a financed interest reserve, after 1 completed build
Rates
from 8.49% with 5+ completed builds
First build
85% of cost with a GC who has 5+ builds
Builds
single family to small multifamily
New construction loans in Kentucky →

Where we lend in Lexington

We broker deals across the whole Lexington market. The submarkets investors ask us about most are North Limestone and Castlewood (40505 / 40508), Eastland and Winburn (40505 / 40511), Meadowthorpe (40511), Kenwick and Bell Court (40502), Southland (40503), Cardinal Valley and Gardenside (40504) and Tates Creek (40517).

How long does a Lexington loan take to fund?

You send the address, purchase price, rehab budget and your ARV, which takes about five minutes and no credit pull. We take it to the lenders in our network that fit it and are licensed in Kentucky, and the rate, origination, leverage and cash to close come back side by side. As little as 72 hours on the fastest program, 7-30 days on the others. We stay on title and the lender through funding.

Lexington hard money FAQ

Do you lend hard money in Lexington?
Yes. Capital Kings is a broker, not a direct lender, so we shop your Lexington scenario across a 400+ lender network and bring back real terms instead of one lender’s rate sheet. The programs on this page are the ones whose lenders are licensed in Kentucky, and the numbers come from the same engine that prices our instant term sheet.
Which fix and flip programs apply in Lexington?
As of October 2026: Experienced Investor Rate (15% down, from 9.00%, 2+ completed flips); First Flip, 10% Down (10% down, from 9.99%); 7.5% Down, 3+ Flips (7.5% down, from 9.99%, 3+ completed flips); 5% Down, 5+ Flips (5% down, from 9.99%, 5+ completed flips); 100% Financing, 2+ Flips (100% financing when purchase plus rehab fits under 70% of ARV, from 9.50%, 2+ completed flips); Fastest Close (3 days) (10% down, from 11.99%). Rehab is funded 100 percent in draws on every one of them, and we shop the file against the rest of the network before anything is signed.
How fast can a Lexington hard money loan close?
As little as 72 hours on the fastest-close program, which has no credit minimum. In Kentucky, once the file is complete, the programs for investors with completed flips close in 7-14 days (10-14 on 5% down with 5+ flips, 21-30 on 7.5% down with 3+ flips) and a first flip on the 10% down program closes in 21-30 days. The biggest delays are usually title issues or missing borrower documents, so getting those started early makes a big difference.
How much do I need to bring to close on a Lexington flip?
The worked example on this page is a $175,000 Lexington purchase with a $50,000 rehab and a $305,000 after repair value at 700 credit, 4+ completed flips: $16,875 down (7.5% of purchase plus rehab) and $31,829 total cash to close, with $55,725 of proof of funds to show the lender. Investors with a track record can go to 0% down (100% financing) from 9.50% at 620+ credit with 2+ completed flips, when purchase plus rehab fits under 70% of ARV, and you still bring the closing costs in cash. Rehab is funded 100 percent through draws in every case. Run your own numbers in the calculator above, or send us the deal and we will price it.
Do you fund the rehab budget in Lexington?
Yes, 100 percent of the rehab is funded, but it is a holdback released in draws rather than cash at closing. You pay for each phase, request a draw, an inspector verifies the work, and the lender reimburses. That means you need working capital to float the first phase, which is the single most common thing new investors miss on their first deal.
What credit score do I need for a Lexington fix and flip loan?
One Lexington program has no credit floor at all, it is priced on speed rather than credit. The lowest rate here, 9.00%, needs 680+ credit and 2+ completed flips. Depending on the program, origination steps down at 700 and 740. Credit matters less here than on a conventional loan because the deal carries the file, but it moves your rate and your leverage, so know where you stand before you make offers.
Can I refinance a Lexington flip into a rental loan?
Yes. That is the BRRRR exit, and it is the most common way a Lexington flip becomes a hold. A DSCR loan qualifies on the property’s rental income rather than your W-2, so once the rehab is done and it is leased, you refinance out of the short-term hard money loan into 30-year financing. Worth deciding before you start, because it changes what finish level makes sense.
Why does the Lexington example assume I’ve done flips before?
Because it shows the lower down payment an investor with four to ten finished flips gets. You don’t need that track record to be financed here. In Kentucky a first flip can be priced at 10% down with 660+ credit (from 9.99%) or 10% down with no credit minimum on the fastest-close program (from 11.99%). The calculator lets you change your experience and reprices the deal on the program that applies.
Does the Urban Service Boundary change how I should flip in Lexington?
It changes how you buy more than how you rehab. Land for new homes is limited, so existing houses inside the boundary hold their buyers, and you won’t be competing with a flood of new construction the way you would in a sprawling metro. That also means more investors chasing the same dated ranches. Expect to pay closer to market for the purchase and win on scope and speed rather than on a steep discount.
Micah Foster
Micah Foster
Founder & CEO, Capital Kings LLC
Micah brokers Non-QM and hard money loans for real estate investors across 38 states from his base in Texas. He founded Capital Kings to give investors a broker who shops the market on their behalf instead of pitching one lender product.

What to read before you sign a term sheet

Hard money near Lexington: Louisville and Cincinnati. More Kentucky city guides: Bowling Green, Covington and Owensboro. Or see everything we fund in Kentucky.

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