Five to eight unit buildings are the step up for many Syracuse landlords who started with doubles. Here that usually means a big Victorian cut into apartments near the university, or a brick walk-up on the Near Eastside, each with its own mechanical and code questions.
In short: LendingStreet finances 5-8 unit residential buildings in Syracuse and Onondaga County 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, the standard minimum DSCR is 1.0x, and maximum LTV on 5-8 unit properties can be lower than on smaller rentals and varies by program. Buildings with 9 or more units are commercial; see our multifamily page for those.
University Hill, Westcott and the streets between them hold many large late-1800s and early-1900s houses that were split into five, six or more apartments decades ago. They lease mostly to students, graduate students and hospital staff. Elsewhere, the Near Eastside, the James Street corridor and parts of the Northside have small brick or frame apartment buildings built as multi-unit housing from the start.
In the suburbs, 5-8 unit buildings are less common and often sit in older village centers such as Solvay, Liverpool village or East Syracuse, where zoning allowed small apartment buildings before modern rules took hold.
For our programs, 1-8 units is residential, and a 5-8 unit building qualifies on rent the same way a double does. You do not need a commercial loan, commercial underwriting or personal income documents.
The difference is in the details. Leverage can be lower than on 1-4 units, reserve requirements can be higher, and the appraisal leans heavily on the income approach because there are fewer direct sales of comparable buildings in any one Syracuse neighborhood.
Older converted houses often have one boiler and one water meter for the whole building, so the owner pays heat and water. Converted Victorians may have separate electric meters added over the years but still share a heating system. Those costs do not go into the DSCR payment on most programs, but they come out of your cash flow every month.
In a Syracuse winter, heat is the line that surprises new owners. Ask for two years of utility bills before you make an offer.
| Owner expense (example building) | Monthly |
|---|---|
| Property taxes | $930 |
| Insurance | $390 |
| Water and sewer (owner-paid) | $210 |
| Heat for shared boiler | $450 |
| Common-area electric | $60 |
| Total owner-paid expenses | $2,040 |
This example is illustrative and not a quote. An investor buys a six-unit converted house near Westcott for $495,000. Each apartment rents for $925, so gross rent is $5,550 a month. Taxes are $930 and insurance is $390 a month.
At 75% LTV the loan is $371,250, estimated principal and interest is about $2,596, the payment including taxes and insurance is about $3,916 and DSCR is about 1.42x. If the program caps this building at 70% LTV, the loan is $346,500, the payment is about $3,743 and DSCR rises to about 1.48x. Either way, the owner still pays heat, water and common electric of about $720 a month out of cash flow.
Buildings with more apartments face more fire and life-safety requirements under New York's building and fire codes: smoke and carbon monoxide detection, fire separations, and safe exits from upper floors. Converted houses with third-floor units and a single interior stair deserve a close look.
The City of Syracuse rental registry ties into code inspections, including lead-paint checks on older properties. Ask for the registry status, inspection history and any open violations before you sign, and price any required work into your offer. Confirm the current requirements with the Division of Code Enforcement.
Buildings near the university often lease by the apartment to groups of students, with leases signed months in advance and turnover each summer. Rent can be strong, but so is wear, and the summer turnover window is short. Workforce buildings elsewhere in the city turn over less predictably but more evenly through the year.
For underwriting, signed leases and a rent roll carry the most weight, and many programs use the lower of actual rent and the appraiser's market rent. Occupancy limits in the city's zoning and code also cap how many unrelated tenants can share an apartment, so confirm the legal occupancy before you count bedrooms as rent.
A six-unit building carries a larger tax bill, and in New York the school levy is usually the biggest piece. Because the City of Syracuse and each suburban town set assessments separately, compare the current assessment with your purchase price and ask whether a reassessment could follow a sale. Building the full tax bill into your ratio from the start avoids a squeeze later.
Special charges can appear on city bills too, such as unpaid water or code enforcement fees that have been added to the tax roll. Your title search should catch them, but ask the seller about them early so they are cleared at closing.
If the building has nine or more apartments, or includes ground-floor commercial space, it falls outside our residential programs. Our multifamily loans page covers those properties.
Send LendingStreet the address, price, rent roll, two years of utility bills and the registry status. We will run the ratio at the leverage your building is likely to get and show you the options. For statewide context, see our New York 5-8 unit page and our general 5-8 unit DSCR guide.
Yes. We treat 1-8 units as residential, so a six-unit building qualifies on its combined rent without tax returns or W-2s.
It can be. Maximum LTV on 5-8 unit buildings is often lower than on 1-4 units and varies by program and loan size. Reserve requirements can be higher as well.
On most programs the ratio uses principal, interest, taxes, insurance and any HOA. Owner-paid heat and water still reduce your actual cash flow, so budget for them separately.
Mostly with the income approach, supported by sales of similar small multi-unit buildings. Expect the appraiser to look closely at rent levels and expenses.
Yes, if it is 5-8 units and its occupancy complies with city rules. Signed leases and a rent roll help support the rent.
Nine or more units is commercial and falls outside our residential DSCR programs. See our multifamily loans page for those properties.
Yes. Five or more rentals, each 1-8 units, can go under a blanket portfolio loan with one closing and one payment.
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