A short overview
Choosing the right private lender can make or break a real estate deal. Lima One Capital is one of the most recognized names in the hard money space, offering products that range from fix and flip loans to DSCR rentals and ground-up construction. However name recognition alone is not a reason to borrow. This review breaks down exactly what Lima One offers, what borrowers actually experience, how their rates and fees stack up, and whether a faster, more flexible alternative might serve you better.
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What is Lima One Capital?
Lima One Capital is a private real estate lender founded in 2010 and headquartered in Greenville, South Carolina. The company focuses exclusively on investment property financing, meaning they do not originate owner-occupied mortgages. Since launching, Lima One has funded more than $2 billion in investor loans across the country, serving borrowers who are flipping houses, building rental portfolios, developing new construction, and acquiring multifamily properties.
Unlike a traditional bank, Lima One underwrites deals based on project economics rather than personal income. They look at the after-repair value (ARV), the borrower’s experience, the strength of the exit strategy, and the property’s income potential for rental deals. This investor-focused approach makes them accessible to borrowers who might not qualify through conventional channels, though their requirements are more structured than many smaller local lenders.
Lima One Capital Loan Programs
Lima One offers four core loan categories. Here is a breakdown of each.
Fix and flip loans
Fix and flip loans are short-term bridge loans designed for investors buying, renovating, and reselling residential properties. Loan amounts range from $75,000 to $5 million, with terms of 13, 19, or 24 months. Lima One will lend up to 90% of the loan-to-cost (LTC) and 75% of the loan-to-value (LTV), with 100% of the rehab budget covered in some scenarios. Interest-only payments are available, and there is no prepayment penalty on most structures.
New Construction loans
New construction loans are for builders working on shovel-ready lots or tear-down projects. Loan amounts start at $100,000 and go up to $5 million. Lima One will lend up to 85% LTC and 70% of the after-construction value, with interest accruing only on drawn funds. Terms run 13, 19, or 24 months, with an option to roll into a long-term rental loan at completion through their Build to Rent program.
Rental and DSCR loans
Rental and DSCR loans are long-term products for buy-and-hold investors. These loans are underwritten using the debt-service coverage ratio (DSCR), which measures whether the property’s rental income is sufficient to cover the debt payments. This means your personal W-2 income is not a primary qualifying factor. Loan amounts run from $75,000 to $2.5 million, with terms of 5, 10, or 30 years. Lima One offers both fixed and adjustable rate structures, and up to 80% LTV on purchase.
Multi-family loans
Multifamily loans cover both value-add bridge financing and longer-term holds for properties with 5 to 100 units. Maximum loan amounts reach $20 million for bridge deals. These loans are designed for investors repositioning older multifamily assets, stabilizing occupancy, or holding performing properties for cash flow.
Lima One Capital Interest Rates and Fees
Lima One’s interest rates vary significantly by product and borrower profile. Based on publicly available information and borrower-reported figures:
| Loan type | Interest rate range | Loan term | Max leverage |
|---|---|---|---|
| Fix & flip | 8% – 11.5% | 13, 19 or 24 months | 90% LTC / 75% LTV |
| Single rental / DSCR | 6% – 8% | 5, 10 or 30 years | 80% LTV purchase |
| New construction | 9% – 11% | 13, 19 or 24 months | 85% LTC / 70% ARV |
| Multifamily bridge | 7% – 9% | 24 – 36 months | 80% LTC/LTV |
| Bridge Plus | 8% – 10.5% | 13 or 19 months | 80% LTV |
In addition to interest, Lima One charges origination fees (typically 1.5% to 3% of the loan amount depending on the product), underwriting fees, appraisal costs, and in some cases construction draw fees. These costs add up and should be factored into your total deal analysis before comparing Lima One against alternatives.
Lima One Capital Requirements
Lima One does not publish hard minimums for all programs, but based on available data and investor-reported experiences, borrowers should expect the following general requirements.
A minimum FICO score of 600 is cited for some fix and flip products. Short-term rental DSCR loans typically require 700 or higher. Stronger credit improves both approval odds and pricing.
Most programs require 10% to 25% down depending on the loan type and leverage requested. Down payment funds may come from multiple sources including gifts, other leveraged properties, or personal liquidity.
Lima One evaluates borrower experience carefully. Some programs, particularly new construction and Bridge Plus, strongly prefer borrowers with three to five completed projects. First-time investors may still be considered for fix and flip and rental products but should expect additional scrutiny.
For rental loans, the property’s monthly rental income typically needs to produce a DSCR of at least 1.00 to 1.20. A higher DSCR generally leads to better pricing. You can estimate your DSCR ahead of time using the New Silver DSCR calculator.
Expect to provide bank statements, entity formation documents, a detailed scope of work or construction budget, and property details including comps and rent estimates. Clean, organized documentation is the single biggest factor in how fast underwriting moves.
Lima One lends in most U.S. states, though availability and product selection can vary. Confirm state eligibility at the start of your conversation with a loan representative.
How The Application Process Works
The Lima One application process is straightforward once you understand what to expect. Most deals move through five stages.
Online application.
Submit basic property and borrower details through Lima One’s website. This takes roughly 15 to 30 minutes and initiates the file.
Loan representative call.
A specialist reviews your project, discusses the deal economics, and collects supporting documents.
Underwriting.
Lima One orders an appraisal or exterior valuation, runs a title search, and evaluates your experience, credit, and project financials. Standard underwriting takes 7 to 10 business days for fix and flip and rental deals; new construction files can take 10 to 14 days.
Approval and closing prep.
You receive a term sheet, review and approve loan documents, and coordinate with a title company for closing.
Closing and funding.
For fix and flip and construction loans, funds are disbursed in draws as work is completed. DSCR and rental loans are typically funded in a single disbursement at closing.
Bridge Plus deals can move faster, sometimes closing within a week for well-prepared borrowers. If your deal is time-sensitive, being upfront about your timeline from the first call will help your representative prioritize accordingly.
Lima One Capital reviews: what borrowers say
Investor sentiment on Lima One is genuinely mixed, and it is worth understanding why rather than simply averaging the star ratings.
What borrowers consistently praise:
- Competitive rates and high leverage compared to many local hard money lenders
- Knowledgeable loan representatives who understand real estate investment
- Structured draw process for rehab and construction projects
- Nationwide availability, which helps investors scale across markets
- Investor-focused underwriting that does not penalize borrowers for lacking W-2 income
What borrowers consistently complain about:
- Slower-than-expected funding timelines, particularly during high-volume periods
- Last-minute documentation requests that delay closings
- Fees that were higher than initially communicated
- Inconsistent communication between team members on a single file
- Appraisal delays creating bottlenecks
Across the Better Business Bureau, Google Reviews, and investor forums including BiggerPockets, Lima One holds an A+ BBB rating with a moderate volume of resolved complaints, most of which center on communication and timeline expectations rather than fraudulent or predatory behavior. The picture that emerges is a legitimate, established lender whose process works well for organized, experienced investors and can feel frustrating for those working under tight deadlines or navigating their first few deals.
Pros and cons of Lima One Capital
Real-world Loan Example: Fix and Flip
Here is how a typical Lima One fix and flip deal might look in practice.
Scenario: You find a distressed single-family home listed at $180,000. After renovation, comparable homes in the area are selling for $285,000. Your contractor bids $45,000 in repairs.
- Total project cost: $225,000
- Lima One loan at 90% LTC: $202,500
- Your cash required at closing: approximately $22,500 plus closing costs
- Loan term: 13 months at roughly 10% interest (interest-only)
- Monthly interest payment: approximately $1,688
- Origination fee (2%): $4,050
- Estimated profit at sale (after loan payoff, carrying costs, agent fees): $35,000 to $50,000 depending on timeline and market
This kind of leverage can work well when your deal analysis is tight. The risk is that cost overruns, appraisal issues, or a longer-than-expected sale timeline eat directly into that margin. Use the New Silver house flipping calculator to stress-test the numbers on your own deal before committing to any lender.
Who should use Lima One Capital?
Lima One is a strong fit for a specific type of investor, and being honest about that is more useful than generic praise.
Lima One works well for:
- Experienced fix and flip investors with multiple completed projects who want high leverage and structured draw management
- Buy-and-hold investors qualifying through DSCR who want long-term financing without income documentation
- Builders working on new construction or Build to Rent projects in markets where Lima One is active
- Portfolio investors managing multiple rentals who want a single lender with national reach
- Borrowers with solid credit and liquidity who can move through underwriting cleanly
Lima One is likely not the right fit if:
- You are a first-time investor with no renovation or rental history
- Your deal needs to close in under a week
- You want the lowest possible total cost of borrowing
- Your project involves an unusual property type or a rural market where appraisals are difficult
- Your credit score is below 640 and your deal economics are not exceptional
How Does Lima One Compare To Alternatives?
| Lender | Loan types | Rates from | Max loan | Funding speed | Best for |
|---|---|---|---|---|---|
| Lima One Capital | Fix & flip, DSCR, new construction, bridge, multifamily | ~6% (rental) ~8% (flip) |
$5M+ | ~2 weeks | Experienced investors |
| New Silver | Fix & flip, DSCR, ground-up construction | From 9% (flip) From 6% (rental) |
$5M | 5 days | Fast closings & all experience levels |
| Kiavi | Fix & flip, bridge, rental DSCR | From ~6.95% | $2M | Under 10 days | Tech-driven flippers |
| RCN Capital | Fix & flip, DSCR, bridge, rental portfolios | ~7.5%+ | $5M | 10–14 days | Large balance deals |
| ABL | Fix & flip, new construction, rental | From ~6.5% | $5M | ~20 days | Regional investors (24 states) |
Who Should Consider New Silver Instead?
If any of the following applies to your situation, New Silver may be a better starting point than Lima One:
- You want to close in under a week
- You want a fully online process without extended phone-based underwriting
- You are in one of the 40-plus states New Silver operates in and want competitive DSCR terms
New Silver also provides tools that go beyond the loan itself, including the ARV calculator, BRRRR calculator, and hard money loan calculator. The FlipScout platform also lets you search for investment properties with built-in deal analysis.
FAQs
Yes. Lima One Capital has been in operation since 2010, holds an A+ rating with the Better Business Bureau, and has funded more than $2 billion in investor loans. Complaints on record mostly relate to communication and timeline issues rather than fraud or deceptive practices.
Lima One does not publish a universal minimum, but most products require a FICO score of at least 600. Short-term rental and DSCR products typically require 700 or higher. A stronger credit score generally leads to better pricing and fewer conditions.
Fix and flip deals typically close in two to three weeks from application. New construction can take three to four weeks. Bridge Plus deals, for experienced borrowers with clean files, can close in under a week. Appraisal scheduling is often the biggest variable.
Most Lima One products do not carry prepayment penalties, but you should confirm this for the specific product you are applying for. Bridge Plus loans are advertised as penalty-free.
Lima One lends in most U.S. states, but availability varies by product and local regulations. Investors should confirm eligibility directly with a loan representative during the initial call.
A denial from Lima One does not mean you cannot get the deal funded. Reasons for denial often include deal economics that fall outside their guidelines, insufficient experience for the program requested, or a credit or liquidity issue. Getting feedback on the reason helps you either address it before reapplying or identify a better-matched lender. New Silver’s hard money loan programs are worth exploring as an alternative, particularly for investors who are newer to real estate.
Rental loans, particularly 30-year DSCR products, may include prepayment step-down penalties in the early years of the loan. This is standard across most long-term DSCR products in the industry. Review the full loan terms before signing.
Final Verdict: Is Lima One Capital Worth It?
Lima One Capital is a solid, legitimate private lender with a comprehensive product menu and a track record that spans over a decade. For experienced investors who are well-organized, have strong credit and liquidity, and are not working under extreme time pressure, Lima One delivers competitive leverage, structured support, and the ability to finance deals across multiple states through a single relationship.
The limitations are real. Rates are on the higher end of the hard money loan spectrum. Underwriting takes longer than faster fintech-oriented lenders. Fees require careful scrutiny before you commit. And borrower reviews suggest the experience varies depending on the representative and how busy Lima One is at any given time.
If you are evaluating Lima One as part of a broader lender comparison, make sure you also weigh what you are giving up in speed and cost, and whether a lender like New Silver might give you a comparable or better result with less friction. Speed, transparency, and ease of process are not small things when a deal window is closing.
