Spokane was one of the first cities in Washington to open its residential zones to duplexes, triplexes and fourplexes. Combined with a deep stock of older converted houses and mid-century fourplexes, that makes small multifamily one of the city's most active rental segments.
In short: LendingStreet finances Spokane duplexes, triplexes and fourplexes with DSCR loans that qualify on the combined rent of all units, with no W-2s or tax returns. Loans start at $150,000 with no stated maximum, purchases go up to 80% LTV, cash-out refinances up to 75%, the minimum credit score is 620 and LLC borrowers are standard. Spokane's rent-to-price ratios are stronger than Seattle's, so many 2-4 unit buildings here clear 1.0x at 75% LTV.
Browne's Addition, just west of downtown, is known for large early-1900s mansions and homes that were divided into apartments decades ago. Logan, near Gonzaga, and the lower South Hill have converted houses and older duplexes. North Spokane, the Shadle and Northwest areas and Spokane Valley have purpose-built duplexes and fourplexes from the 1960s and 1970s, often on larger lots with parking.
| Building type | Where | What to check |
|---|---|---|
| Converted older house, 2-4 units | Browne's Addition, Logan, lower South Hill | Legal unit count, egress, fire separation |
| 1960s-1970s fourplex | North Spokane, Northwest, Spokane Valley | Roof, siding, shared systems |
| Side-by-side duplex | Hillyard, Garland, Spokane Valley | Separate meters and entrances |
| New infill duplex to fourplex | Neighborhoods across the city | Certificate of occupancy; one parcel or unit lots |
In 2022, Spokane adopted rules known as Building Opportunity and Choices for All, which allowed duplexes, triplexes and fourplexes in residential zones that had been limited to single-family homes. Statewide middle housing law passed in 2023 pushed in the same direction. As a result, new small multifamily buildings are appearing on infill lots across the city.
For financing, the loan is based on what exists and is permitted today. A new building needs its certificate of occupancy and leases or market rent estimates. If you are building, a construction loan comes first, followed by a DSCR refinance once the units are leased. Spokane Valley and Liberty Lake have their own zoning codes.
Units near Gonzaga rent to students and young professionals, often on 12-month leases that start in summer. Browne's Addition and the South Hill draw downtown and hospital workers. North Spokane and Spokane Valley fourplexes rent mostly to families and working tenants. Rents have risen in recent years, but so have prices, so check current comparable rents rather than relying on a seller's projection.
Student leases deserve a closer look. Some Logan landlords rent by the bedroom, with separate leases for each tenant in a unit. Lenders generally underwrite on unit-level rent, so ask how the program treats by-the-room leases and whether the appraiser's market rent will be used instead. Summer turnover near campus also means a building bought in spring may have several units changing tenants at once.
Browne's Addition units tend to be smaller, often studios and one-bedrooms in older buildings, with lower rents per unit but steady demand from downtown workers. North side fourplexes usually have two-bedroom units with on-site parking, which families value.
This example is illustrative and not a quote. An investor buys a 1970s fourplex in north Spokane for $560,000. Each unit rents for $1,150, a combined $4,600 a month. Taxes are about $450 and insurance about $200.
At 75% LTV the loan is $420,000. Estimated principal and interest on a 30-year loan is about $2,937, for a total payment near $3,587. The DSCR is about 1.28x.
| Item | Fourplex | Logan duplex |
|---|---|---|
| Purchase price | $560,000 | $395,000 |
| Loan at 75% LTV | $420,000 | $296,250 |
| Combined rent | $4,600 | $2,550 |
| Estimated principal and interest | $2,937 | $2,071 |
| Taxes and insurance | $650 | $470 |
| Total monthly payment | $3,587 | $2,541 |
| DSCR | About 1.28x | About 1.00x |
A duplex near Gonzaga bought for $395,000 with units renting for $1,300 and $1,250 has a 75% LTV loan of $296,250, estimated principal and interest near $2,071 and a total payment near $2,541 with taxes and insurance. Its DSCR is about 1.00x, which shows why duplexes often run tighter than fourplexes: the building costs more per unit. This example is also illustrative and not a quote.
Spokane County revalues property each year, so use the current tax statement and expect changes after a sale. Washington's real estate excise tax is graduated and paid by the seller, with a local portion added.
Owner-paid utilities can be significant in older converted houses with one boiler or one water meter. Spokane winters add snow removal, roof and ice dam costs. None of these change the DSCR formula, but they change your actual cash flow.
Washington's landlord-tenant act sets notice requirements for rent increases and evictions, and a 2025 state law caps annual rent increases for many residential rentals, with exemptions including newer buildings. The City of Spokane has additional local rules. If you buy a building with below-market rents, plan for gradual increases.
Buildings with five to eight units are still residential for our programs, though maximum LTV can be lower and varies by program; see our Spokane 5-8 unit DSCR page. For other Washington cities, see our Washington 2-4 unit rental loan page.
If you already own several Spokane duplexes and fourplexes, a blanket portfolio loan can put five or more of them under one loan once you reach that size. If a building needs significant work before it can be leased at market rents, a bridge or fix and flip loan can fund the purchase and renovation first, followed by a DSCR refinance when the units are stabilized.
Our investor loans are business-purpose loans on non-owner-occupied property. Use the form below or call (877) 298-1001 with the property details, current rents and what you want to accomplish, and we will size the loan against the cash flow and walk you through the options.
Spokane's 2022 zoning changes allowed duplexes through fourplexes in many residential zones. Confirm the rules for your lot; a construction loan would come before a DSCR loan.
The combined rent of both units, from leases or the appraiser's market rent estimate, compared with the full monthly payment.
Yes, if the unit count is legal and the building is a 1-8 unit investment property. Unpermitted units may not count.
Up to 80% on a purchase and 75% on a cash-out refinance, as long as the rent supports the payment at 1.0x or the program minimum.
Yes. Student-occupied duplexes and triplexes are common, and the loan qualifies on the lease rent.
No. The loan qualifies on rent. LLC borrowers are standard and the minimum credit score is 620.
Yes. We finance 2-4 unit rentals throughout Spokane County, including Spokane Valley and Liberty Lake.
Programs differ. Many underwrite on unit-level rent or the appraiser's market rent estimate rather than adding up individual room leases, so ask before you buy.
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