Albany's brick rowhouses near the Capitol were built as single homes and have been apartments for decades. State government, hospitals and colleges keep them rented, and five to eight unit buildings are common in Center Square, Hudson-Park and Pine Hills.
In short: LendingStreet finances 5 to 8 unit rental buildings in Albany with DSCR loans that qualify on the building's rent, with no W-2s or tax returns and LLC borrowers standard. Loans start at $150,000 with no stated maximum and the standard minimum DSCR is 1.0x. In Albany, budget for New York's mortgage recording tax, check the building's rental permit and plan for the city's tenant protection rules.
Center Square and Hudson-Park have 19th century brick rowhouses, often three or four stories, divided into five or more apartments close to the Capitol and Lark Street. The Mansion neighborhood and South End have similar buildings at lower prices. Pine Hills, near the University at Albany's downtown campus and Albany Medical Center, has larger houses divided into apartments.
Renters include state workers, legislative staff, hospital employees and students at the University at Albany, Albany Law School and Albany College of Pharmacy.
Many of these buildings sit in historic districts where exterior changes need review.
| Area | Typical 5-8 unit stock | What to check |
|---|---|---|
| Center Square, Hudson-Park | Brick rowhouse apartments | Historic district rules |
| Mansion, South End | Older rowhouses | Condition, code history |
| Pine Hills | Divided houses near the hospitals | Student lease cycle |
| Arbor Hill, West Hill | Rowhouses and multi-families | Prices vs rents |
Every unit's rent goes into one number, and that number is compared with the full payment, including taxes and insurance. If the rent covers the payment at 1.0x or better, the building clears the standard minimum. If it does not, a lower loan amount, a sub-1.0 program or a rent increase at turnover can close the gap.
Our programs treat buildings of 1 to 8 units as residential, so a five, six, seven or eight unit building qualifies the same way a single-family rental does: on rent, with no personal income documents. Maximum leverage is where 5-8 units differ. Purchase LTV can reach 80% on some programs but is often lower here and varies by program; cash-out goes up to 75%. Loans start at $150,000 with no stated maximum, terms run up to 30 years and the minimum score is 620. At nine units, the deal moves to commercial financing.
Albany's rents are steady rather than fast-growing, and tenant protections limit sharp increases. We underwrite the leases in place.
Albany property owners pay city, county and school taxes, and much of the city's land is tax-exempt state property, which keeps rates on taxable property high. Use the current bill.
New York charges a mortgage recording tax on the loan amount, paid by the borrower at closing. Outside New York City it is roughly 1% of the loan in many counties, so it adds real cash to your closing costs. The state transfer tax is customarily paid by the seller. Attorneys handle most New York closings.
Albany has been one of the upstate cities most active on good cause eviction rules. Under the 2024 state law, cities outside New York City can opt in, which limits evictions and non-renewals to specified causes and can make large rent increases harder to sustain. Confirm how the rules apply to your building with a local attorney.
The 2019 Housing Stability and Tenant Protection Act applies statewide. It limits security deposits to one month's rent and restricts application fees and late fees. It also lets cities opt into rent stabilization under the Emergency Tenant Protection Act for buildings with six or more units built before 1974, after declaring a housing emergency. A six, seven or eight unit pre-1974 building is exactly the kind of property that law reaches. The 2024 Good Cause Eviction law applies in New York City and lets other cities opt in.
Albany requires rental properties to have a residential occupancy permit, with periodic inspections. Ask the seller for the current permit.
This example is illustrative and not a quote. An investor buys a 6-unit brick rowhouse in Center Square for $720,000. The units rent for about $1,300 each, or $7,800 a month. Taxes are budgeted at $1,750 a month and insurance at $550.
At 75% LTV, the loan is $540,000. On a 30-year fixed, principal and interest is about $3,776, the full payment with taxes and insurance is about $6,076, and DSCR is about 1.28x. At 70% LTV, the loan is $504,000, principal and interest is about $3,524, the payment is about $5,824 and DSCR is about 1.34x.
Both loans clear 1.0x. Taxes take about a fifth of the rent. The 70% loan needs about $36,000 more at closing, and the mortgage recording tax is due on whichever loan you choose.
| Item | 75% LTV | 70% LTV |
|---|---|---|
| Gross monthly rent | $7,800 | $7,800 |
| Loan amount | $540,000 | $504,000 |
| Principal and interest | $3,776 | $3,524 |
| Property taxes | $1,750 | $1,750 |
| Insurance | $550 | $550 |
| Total monthly payment | $6,076 | $5,824 |
| DSCR | About 1.28x | About 1.34x |
Albany rowhouses share party walls, often have flat or low-slope roofs and many still run on older boilers. Fire code rules for multi-unit use and the occupancy permit inspection drive much of the repair budget.
The items below cover most of what we ask for on a building this size.
We lend on 5-8 unit rentals across Albany and the Capital Region, including Troy and Schenectady. Our investor loans are business-purpose loans on non-owner-occupied property.
Get a quote through the form below or call (877) 298-1001. Share the rent roll, the price or current value and your target loan amount, and we will run the ratio at a few loan sizes on realistic tax and insurance numbers. If the building is not yet stabilized, ask about bridge financing with a planned refinance into a DSCR loan.
Albany has been active on good cause rules, and state law now lets upstate cities opt in. Confirm with a local attorney how the current rules apply to your building.
Yes. Albany requires a residential occupancy permit for rentals, with periodic inspections.
A large share of land in the city is tax-exempt state and institutional property, so rates on taxable property are higher. Use the actual bill.
Residential. We treat buildings of 1 to 8 units as residential and finance them with DSCR loans that qualify on rent. Buildings with nine or more units move to commercial multifamily financing.
At least 20%, and often more. Purchases go up to 80% LTV on some programs, but maximum leverage on 5-8 units is often lower and varies by program, loan size and the building's ratio.
Yes. LLC borrowers are standard on our DSCR loans. The members usually sign for the loan personally, and we will ask for the LLC's formation documents and operating agreement.
No. Our investor loans are business-purpose loans on non-owner-occupied property, so the building you finance with us cannot be your home.
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