What is the Figure and Kiavi deal? On June 10, 2026, Figure Technology Solutions (Nasdaq: FIGR), a blockchain-native capital marketplace, announced a definitive agreement to acquire Kiavi, one of the largest AI-powered lenders to residential real estate investors, in a transaction valued at 717 million dollars. The deal is a clear signal that AI-driven, technology-first lending is consolidating, and it matters to anyone who finances deals with debt service coverage or short-term rehab loans. For the wider context, see our guide to AI CRE finance and capital markets. Updated July 2026.
Key Takeaways
- Figure agreed to acquire AI lending platform Kiavi for 717 million dollars, with a Figure and Sixth Street joint venture buying the loans off Kiavi's balance sheet.
- Kiavi has funded more than 30 billion dollars in loans and specializes in DSCR rental loans and short-term residential transition loans for investors.
- The deal signals that AI underwriting plus capital markets scale is becoming the model for lending to real estate investors.
- Sixth Street is contributing 179 million dollars and providing 3 billion dollars in forward purchase commitments, adding durable capital behind the platform.
- Borrowers should expect faster, more automated underwriting, but should still compare terms across lenders rather than assume one platform wins.
What Was Actually Announced
Figure announced a definitive agreement to acquire Kiavi in a 717 million dollar transaction, structured so that Figure takes the technology and operating platform while a joint venture between Figure and Sixth Street purchases the loans held on Kiavi's balance sheet. Sixth Street is contributing 179 million dollars and providing 3 billion dollars in forward purchase commitments, according to the deal announcement from Sixth Street.
Kiavi, founded as LendingHome in 2013, has funded more than 30 billion dollars in loans and generated more than 250 million dollars in revenue and more than 100 million dollars in EBITDA in 2025. Kiavi CEO Arvind Mohan is set to join Figure's executive team as Chief Business Officer after the deal closes, as reported by HousingWire.
Why Kiavi Matters to Real Estate Investors
Kiavi matters because it is a primary source of leverage for active investors, not a niche fintech. Its two core products are debt service coverage ratio loans for rental holds and residential transition loans for fix-and-flip and bridge situations, which are exactly the tools that let investors scale a portfolio without conventional income documentation.
A DSCR loan qualifies on the property's cash flow rather than the borrower's personal income, and DSCR is defined as net operating income divided by annual debt service, so a ratio above 1.0 means the property covers its own debt. Because Kiavi underwrites at volume using data and AI, it has been able to approve and fund faster than many traditional lenders. Our guide to AI DSCR analysis explains how that metric drives loan sizing.
What the Deal Signals About AI Lending
The strategic message is that AI underwriting alone is not the moat; AI underwriting plus deep capital markets access is. Figure runs a blockchain-based marketplace for originating and trading loans, and folding Kiavi's origination volume onto those rails is designed to move loans from balance sheet to investors more efficiently. In other words, the winners in investor lending are combining fast AI credit decisions with a reliable, low-cost way to sell the resulting loans.
For investors, that points to a near future where credit decisions are quicker and more automated, but also more standardized. When a platform underwrites with models at scale, edge cases and unusual deals can be harder to place. Comparing options still pays, which is why our guide to AI loan comparison tools is worth keeping in your workflow even as lenders consolidate. For firms that want to turn a consolidating lending market into an advantage, The AI Consulting Network specializes in building AI-ready financing processes.
The Tokenization Angle and Why It Matters
Part of what Figure is buying is a way to move Kiavi's loan volume onto its blockchain-based marketplace, where loans can be originated, funded, and traded as tokenized assets. Figure has said it accounts for a large majority of real-world asset tokenization activity, and Kiavi is expected to add billions of dollars in annual volume to those rails. For borrowers the plumbing is invisible, but it has a real effect: lenders that can sell loans quickly and cheaply can keep offering competitive rates and keep capital flowing even when banks pull back.
This is the deeper reason the deal matters to real estate investors. Liquidity for the lender translates into availability for the borrower. When traditional bank lending tightens, technology-first lenders with strong capital markets partners, like the Figure and Sixth Street venture, can keep funding DSCR and bridge loans. That resilience is a feature investors should weigh alongside speed when choosing where to finance a deal. It also raises a fair question about standardization, since loans built to trade efficiently tend to be underwritten to consistent boxes, which suits clean deals and challenges unusual ones. Our guide to AI CRE debt fund analysis covers how these capital sources evaluate deals.
What Investors Should Do Now
Treat consolidation as a prompt to sharpen your own financing process, not a reason to wait. First, keep your deal package clean and data-ready, because AI-driven lenders reward borrowers whose rent rolls, operating statements, and property data are organized enough for automated underwriting. Second, know your numbers cold: your DSCR, loan-to-value, and debt yield should be modeled before you apply, not discovered at term sheet.
Third, do not let a single platform define your options. Rate, leverage, and prepayment terms still vary across lenders, and a consolidating market can shift pricing quickly. CRE investors who want help building an AI-ready borrowing process can reach out to Avi Hacker, J.D. at The AI Consulting Network, which specializes in exactly this kind of implementation.
Finally, watch how the combined platform prices loans once the deal closes. Consolidation can bring efficiency and sharper rates, or it can thin out competition in a niche, and the only way to know is to keep quoting multiple lenders on live deals rather than defaulting to the biggest name.
Frequently Asked Questions
Q: How much is Figure paying for Kiavi?
A: The transaction is valued at 717 million dollars. Figure acquires Kiavi's technology and operating platform, while a joint venture between Figure and Sixth Street buys the loans held on Kiavi's balance sheet, with Sixth Street contributing 179 million dollars and 3 billion dollars in forward purchase commitments.
Q: What kind of loans does Kiavi make?
A: Kiavi specializes in loans for residential real estate investors, primarily debt service coverage ratio loans for rental properties and short-term residential transition loans for fix-and-flip and bridge deals. It has funded more than 30 billion dollars in loans since its founding as LendingHome in 2013.
Q: Will this deal change my loan terms as a borrower?
A: Not immediately. Existing loans are governed by their contracts. Over time, expect faster and more automated underwriting as AI origination scales, but also more standardization, which makes comparing lenders and knowing your DSCR and leverage metrics more important, not less.
Q: What does this mean for AI in real estate lending overall?
A: It signals that the durable advantage is AI underwriting combined with capital markets scale, not AI alone. Expect more consolidation as technology-first lenders pair automated credit decisions with efficient ways to fund and sell loans to investors.