Small multifamily on the Grand Strand comes in two very different forms: side-by-side beach duplexes built for weekly renters, and inland duplexes and fourplexes leased by the year. The loan math is different for each.
In short: LendingStreet finances duplexes, triplexes and fourplexes across the Myrtle Beach area with DSCR loans that qualify on the combined rent of all units, with no W-2s or tax returns and LLC borrowers allowed. Loans start at $150,000, purchases go up to 80% LTV and cash-out refinances up to 75% LTV, and the standard minimum DSCR is 1.0x. Long-term leases are the usual basis; nightly rental income can count on some programs where local rules allow it.
North Myrtle Beach has one of the larger concentrations of beach duplexes on the coast: two side-by-side or up-and-down units on one lot, often a block or two from the sand in Cherry Grove, Ocean Drive and Windy Hill. Many are run as weekly vacation rentals, with each side booked separately.
Inland, the long-term stock is older and more scattered. Myrtle Beach has duplexes and small apartment houses near downtown and the Withers Swash area, Socastee and Forestbrook have duplexes along their older streets, and Conway has duplexes and triplexes near Coastal Carolina University and the historic downtown. Newer townhome-style duplexes have also gone up in Carolina Forest and around Little River.
Fourplexes are less common than duplexes here, and many date from the 1970s and 1980s, so condition and roof age deserve attention. Because supply is thin, good buildings often trade privately between local investors, and buyers who already have financing lined up tend to get the first call. Getting a DSCR quote before you start making offers helps you move when one comes up, and it shows you in advance how much rent a building needs to support your target loan amount.
How you plan to rent the building drives the numbers and the paperwork.
| Item | Long-term duplex or fourplex | Beach duplex rented weekly |
|---|---|---|
| Typical areas | Conway, Socastee, Myrtle Beach interior, Carolina Forest | North Myrtle Beach, Surfside Beach, Garden City |
| Rent basis | Signed leases or appraiser's market rent | Projected short-term revenue on some programs |
| Local rules | Zoning for two or more units | STR zoning, business license, accommodations tax |
| Insurance | Standard hazard; flood if mapped | Wind and flood often significant |
| Income pattern | Steady monthly | Concentrated in summer |
Each city in Horry County writes its own zoning code, and the county zones unincorporated areas. Some districts allow two-family homes by right, while others limit a lot to one dwelling. Before you buy, confirm that the number of units matches what the zoning allows and what the county records show, especially on older properties where a unit may have been added without permits.
If a unit is not legal, the appraiser may not count its rent, and the ratio falls. Ask the seller for permits and certificates of occupancy, and check the zoning with the city or county planning office.
This example is illustrative and not a quote. An investor buys a 1980s fourplex in the Socastee area for $620,000. The four two-bedroom units rent for a combined $5,450 a month on annual leases.
At 75% LTV, the loan is $465,000 and estimated principal and interest is about $3,251 a month. Property taxes are budgeted at $360 a month and insurance at $420, for a total payment of about $4,031. DSCR is about 1.35x.
At the 80% purchase maximum, the loan rises to $496,000 and the payment to about $4,248, which puts DSCR at about 1.28x. The investor keeps 75% leverage for the margin.
| Item | 75% LTV | 80% LTV |
|---|---|---|
| Loan amount | $465,000 | $496,000 |
| Estimated principal and interest | $3,251 | $3,468 |
| Taxes | $360 | $360 |
| Insurance | $420 | $420 |
| Total payment | $4,031 | $4,248 |
| Combined rent (4 units) | $5,450 | $5,450 |
| DSCR | About 1.35x | About 1.28x |
Grand Strand rents are driven by a hospitality and service workforce, retirees and Coastal Carolina students and staff. Two-bedroom units in older inland buildings tend to rent for less than newer Carolina Forest product, so rely on recent leases in the same area rather than county averages.
South Carolina assesses rental property at a 6% assessment ratio, compared with 4% for a legal residence. If the seller lived in one unit and claimed the legal residence ratio, your bill will be higher after the sale. Budget the 6% figure from the start.
Salt air and storms are hard on small buildings. Look closely at the items below before you set your price.
A North Myrtle Beach duplex can produce strong summer revenue, but it also comes with higher insurance, seasonal swings, furnishing costs and a property manager's fee, plus city license and accommodations tax filings. Its value is tied closely to its distance from the ocean and its rental history.
An inland Conway or Socastee duplex is usually cheaper to buy and insure, and its rent arrives monthly from year-round tenants. Its upside is slower, but the loan file is simpler because it rests on signed leases.
Some investors own both: inland buildings for steady cash flow and one beach duplex for growth. If you are building toward five or more properties, a blanket loan may later combine them. Whichever you choose, run the ratio on realistic insurance figures before you set your offer, since insurance is often the line that separates a deal that clears 1.0x from one that does not.
A small apartment building with five to eight units is still residential for DSCR purposes, though maximum LTV can be lower and varies by program. Our Myrtle Beach 5-8 unit page covers those buildings. Nine or more units is commercial financing.
Our investor loans are business-purpose loans on non-owner-occupied property. Send the address, unit mix and rents through the form below, or call (877) 298-1001. We will run the ratio on your actual leases and realistic taxes and insurance. For statewide guidance, see our South Carolina 2-4 unit page.
Yes. The loan qualifies on the combined rent of every legal unit in the building.
On some programs, projected short-term revenue can qualify the loan, as long as the property can legally operate as a vacation rental.
The appraiser may not count that unit's rent. Confirm unit count with the zoning office and county records before you buy.
Purchases go up to 80% LTV, but the rent still has to clear the minimum ratio at the payment, so many buyers use somewhat less.
Rentals are assessed at a 6% assessment ratio, while an owner's legal residence is assessed at 4%.
It can be, if the leases support the ratio. Student-oriented rentals should have leases that match the academic year and realistic vacancy.
Yes. LLC borrowers are standard on our DSCR loans.
No. Our investor loans are business-purpose loans on non-owner-occupied property.
2-3 competing quotes from 30+ capital sources. No credit pull. No commitment.
By clicking, you provide express written consent to be contacted by LendingStreet (NMLS #1734316) via SMS, phone, or email, possibly using automated technology, regarding your loan inquiry. Reply STOP to opt out. Consent is not required to obtain services. See our Privacy Policy and Terms.