Multi-family Financing

Market rate

Affordable: LIHTC / HAP

9% credit equity covers roughly 55-70% of total development cost; 4% covers only 25-35%, with the remainder filled by soft debt, HOME, AHP and deferred developer fee, usually four to five sources. Credit pricing runs roughly $0.84-$0.92 per dollar of tax credit as of Q1 2026. An unresolved gap-financing line is not a deal.

Workforce, market rate with AMI cap, no LIHTC

1-4 residential, business purpose / investor

Business-purpose and investor properties only; we do not arrange consumer mortgages or owner-occupied home loans.

The affordable stack is not one loan.

Perm at 35-45% of cost isn't low leverage, it's what's left after tax-credit equity and soft debt fill the rest of the stack. Sponsors who treat it as a leverage problem, pushing to raise the senior amount, are solving the wrong thing. The real work is closing the gap between what the senior will fund and what the project costs, and that gap is filled by four or five separate sources, not one bigger loan.

A 9% credit deal and a 4% bond deal look nothing alike once you net out the equity: 9% can cover 55-70% of cost and sometimes needs no soft debt at all; 4% covers only 25-35% and requires a fundamentally different, more heavily layered stack. An unresolved gap-financing line is not a deal, no matter how strong the senior terms look.

Debt yield governs more multi-family than LTV does.

An 80% LTV ceiling reads like the constraint, but in a meaningful share of the files we size, the 7 to 8% debt yield floor binds first, especially at lower cap-rate markets where the LTV math would otherwise support more proceeds than the lender's minimum yield allows. Knowing which one governs before you go to market changes what you tell a sponsor to expect.

This is exactly the kind of output our scoped sizer surfaces on every quote, not just the proceeds number, but which test actually produced it.

Business-purpose residential is a different underwrite.

DSCR rental, fix & flip and spec build sit inside one asset class, but each is governed by a different test. DSCR rental clears on rent-to-PITIA with no income documentation at all; fix & flip clears on after-repair value, a forward-looking number a borrower's own numbers usually overstate; spec build clears on sell-out and release pricing, closer to a development underwrite than a rental one.

Sponsors who've only done one of these three bring the wrong file to the wrong conversation more often than any other asset class we see.

Run the deal through the desk.

Underwriting and real options at no cost. A senior originator, not a queue.