How Do Multifamily Loans Work? A Guide for Real Estate Investors
Multifamily loans finance apartment properties with five or more units, and they work differently from a single-family mortgage: the lender underwrites the building’s income, not just the borrower. The property’s net operating income (NOI) and debt service coverage ratio (DSCR) decide how much it can borrow, which is why a well-run apartment building can support […]
