Multifamily Loan Calculator
A multifamily loan calculator helps investors evaluate apartment financing and calculate payments. Calculate multifamily loan costs, cash flow analysis, and return on investment for apartment buildings, duplexes, and multifamily properties.
Multifamily Loan Calculator
Use this calculator for apartment loans, multifamily financing, and commercial real estate loans.
Results:
| Monthly Loan Payment | $6,428.00 |
| Net Operating Income | $6,840.00 |
| Cash Flow (Monthly) | $412.00 |
| Cash Flow (Annual) | $4,944.00 |
| Cash-on-Cash Return | 1.6% |
| Debt Service Coverage | 1.06x |
| Loan-to-Value Ratio | 75.0% |
| Cap Rate Analysis | Good Deal |
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| View Amortization Schedule | |
Multifamily Cash Flow Calculator
Calculate multifamily property cash flow analysis and investment returns for apartment buildings.
Results:
| Effective Gross Income | $136,800.00 |
| Total Operating Expenses | $58,944.00 |
| Net Operating Income | $77,856.00 |
| Before-Tax Cash Flow | $720.00 |
| After-Tax Cash Flow | $8,864.00 |
| Operating Expense Ratio | 43.1% |
| Debt Coverage Ratio | 1.01x |
| Cash Flow Per Unit | $1,108.00 |
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| View Cash Flow Analysis | |
Multifamily Investment Calculator
Calculate multifamily investment returns and analyze property investment performance metrics.
Results:
| Cap Rate | 6.8% |
| Cash-on-Cash Return | 1.4% |
| Total Cash Flow (10 years) | $49,440.00 |
| Property Value at Sale | $1,693,600.00 |
| Net Sale Proceeds | $592,400.00 |
| Total Return | $641,840.00 |
| Annualized Return | 6.3% |
| Investment Grade | Good |
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| View Investment Analysis | |
Understanding Multifamily Loans
Multifamily loans provide financing for apartment buildings and rental properties with multiple units. Understanding multifamily loan types, qualification requirements, and investment analysis helps make informed multifamily property investment decisions.
| Property Type | Typical Rate | Max LTV | Min DSCR | Best For |
|---|---|---|---|---|
| Duplex (2 units) | 6-8% | 80% | 1.20x | First-time investors |
| Small Apartment (5-20) | 5.5-7.5% | 75% | 1.25x | Experienced investors |
| Large Apartment (20+) | 5-7% | 80% | 1.30x | Commercial investors |
| Mixed Use | 6-9% | 70% | 1.35x | Diversified income |
Multifamily Investment Analysis
Multifamily properties require comprehensive financial analysis including cash flow, cap rates, and return metrics.
Key Investment Metrics
| Metric | Good Range | Excellent Range | Purpose |
|---|---|---|---|
| Cap Rate | 6-8% | 8-12% | Property valuation |
| Cash-on-Cash Return | 6-10% | 10-15% | Cash investment return |
| DSCR | 1.20-1.35x | 1.35x+ | Debt coverage ability |
| Operating Expense Ratio | 35-50% | 30-40% | Expense efficiency |
Multifamily Loan Qualification
Multifamily loans have specific qualification criteria based on property performance and borrower experience.
Qualification Requirements
| Factor | Minimum Requirement | Preferred | Impact on Terms |
|---|---|---|---|
| Down Payment | 20-25% | 25-30% | Rate and approval |
| DSCR | 1.20x | 1.35x+ | Rate and LTV |
| Experience | 1-2 properties | 5+ properties | Rate and terms |
| Reserves | 2-6 months PITI | 6+ months | Approval likelihood |
Multifamily Investment Benefits and Considerations
Multifamily properties offer unique advantages and considerations for real estate investors and rental property owners.
Benefits and Considerations
- Benefits: Multiple income streams, economies of scale, professional management, appreciation potential
- Investment Advantages: Cash flow stability, tax benefits, leverage opportunities, portfolio diversification
- Best For: Experienced investors, cash flow seekers, long-term wealth building, passive income
- Considerations: Higher capital requirements, management complexity, market risk, vacancy impact
- Property Types: Duplexes, triplexes, fourplexes, small apartments, large complexes, mixed-use
- Analysis Metrics: Cap rates, cash-on-cash returns, DSCR, NOI, operating ratios, appreciation