Written & reviewed by Stephen A. Sobin, President of Select Commercial Funding LLC
Virginia
Virginia Apartment Loans
Select Commercial arranges Virginia apartment loans from $1,500,000, up to 80% LTV, with rates as low as 5.87%. We compare Fannie Mae, Freddie Mac, FHA, bank and bridge programs to fit your property. On larger balances, see multifamily loans. See current rates on every loan type we offer.
Get a Free QuoteFinancing Options in Virginia
Virginia apartment, multifamily and commercial properties each have dedicated financing. Pick the page that matches your property:
Financing more of the state? See Virginia commercial mortgages.
Financing in another state? Explore our apartment loans, multifamily loans and commercial mortgages nationwide.
Virginia Apartment Loan Rates
Rates updated as of September 10, 2026
| Loan Type | Rate* | Max LTV |
|---|---|---|
| 5 Year Fixed | 6.27% | Up to 80% |
| 7 Year Fixed | 6.33% | Up to 80% |
| 10 Year Fixed | 6.39% | Up to 80% |
| Loan Type | Rate* | Max LTV |
|---|---|---|
| 5 Year Fixed | 5.87% | Up to 80% |
| 7 Year Fixed | 5.94% | Up to 80% |
| 10 Year Fixed | 5.99% | Up to 80% |
- Streamlined underwriting for institutional multifamily
- Cash-out refinances are acceptable
- Interest-only and non-recourse options
- Minimum 1.25x debt-service-coverage ratio
Rates last updated September 10, 2026. Rates and maximum LTV shown represent our best-case pricing scenarios. Actual rates, LTV, and loan terms are subject to underwriting approval and may vary.
Compare Virginia Apartment Loan Programs
As a broker we compare every program for your best-fit Virginia apartment financing:
| Program | Typical rate* | Max leverage | Best for |
|---|---|---|---|
| Fannie Mae Small Loan | 6.20% | Up to 80% | Non-recourse, fixed to 30 yrs |
| Freddie Mac SBL | 6.31% | Up to 80% | $2M to $10M small balance |
| FHA / HUD | 6.40% | Up to 85% | Highest leverage, longest term |
| Bank / portfolio | 6.35% | Up to 75% | Flexible, value-add |
| Bridge | 9.00% | Up to 80% LTC | Reposition, lease-up |
Most apartment lenders look for a debt-service-coverage ratio (DSCR) of at least 1.25x.
2026 Virginia Apartment Loan Market
Virginia is running in two directions at once in 2026, and the split is unusually clean. Northern Virginia rents are falling. Hampton Roads rents are rising faster than almost anywhere in the mid-Atlantic. A lender reads those two halves of the state completely differently, and so should you.
Northern Virginia has softened. Measured across professionally managed buildings of fifty units and up as of August 2026, Arlington asking rents were down 0.35% over the year at about $2,713, Alexandria down 1.2% at $2,202, and Fairfax down 2.16% at $2,361. The wider Washington metro tells the same story from the demand side: absorption across the region in 2025 came to roughly 1,055 units against a five-year average above 12,300, and metro occupancy dipped below the national average in early 2026 for the first time in about three years. Federal employment is the obvious driver and it is not finished working through.
Hampton Roads is doing the opposite. Norfolk asking rents were up 6.14% over the year at about $1,640, Hampton up 6.18% at $1,569, Chesapeake up 4.84% at $1,829 and Virginia Beach up 4.73% at $1,813. Military, shipbuilding and port employment has held up where federal civilian employment has not, and supply has stayed modest. This is currently the strongest rent growth in the state by a wide margin.
Richmond sits between them and is the best documented. Vacancy ran 9.0% on an all-product basis in the second quarter of 2026, essentially flat over the year, but with an enormous submarket spread from 4.6% in Hanover to 17.2% in the Near West End. First-half absorption of 1,132 units slightly outpaced 1,008 units delivered, with 4,410 units still under construction. Sales volume of $369 million in the first half traded between roughly $148,000 and $191,000 a unit. Asking rents rose 3.45% to about $1,630.
Across Virginia we arrange apartment building loans from $1,500,000 through agency, bank, FHA and bridge programs. Rate and leverage follow the rent roll and the trailing twelve months of operating income, not your personal income.
Virginia Markets We Finance
Three regions with three different economies and, right now, three different directions. A Virginia apartment mortgage is structured to the region, and in Hampton Roads to the flood zone as well.
Northern Virginia
The most expensive apartment market in the state and currently the softest. Arlington around $2,713 a month and down slightly over the year, Alexandria $2,202 and down 1.2%, Fairfax $2,361 and down 2.16%. Newer, larger, higher-basis product than anywhere else in Virginia, with a demand base tied closely to federal and contractor employment that has been contracting. For a lender that means less weight on any rent growth assumption and more on documented in-place income and the strength of the sponsor. Reassessment here is annual, so the tax line moves every year rather than in steps.
Hampton Roads
The strongest rent growth in Virginia, with Norfolk up 6.14%, Hampton up 6.18%, Chesapeake up 4.84% and Virginia Beach up 4.73% over the year. Military, shipbuilding and port employment is the reason, and it is a demand base that does not move with the federal civilian cycle. The offsetting factor is water: much of the region sits at low elevation with genuine coastal flood exposure, and flood zone, elevation certificate and the wind deductible on the bound policy will drive the sizing on a Hampton Roads apartment building as much as the rent roll does. Bring the binder with the trailing twelve rather than after it.
Norfolk apartment loans · Norfolk commercial · Virginia Beach apartment loans · Virginia Beach commercial · Chesapeake · Newport News · Hampton
Richmond and central Virginia
The most balanced of the three and the best documented, at 9.0% vacancy with absorption slightly ahead of deliveries and 4,410 units still under construction. State government, healthcare, finance and university employment give Richmond a steadier base than either coast of the state. The submarket spread is the thing to watch: vacancy ranged from 4.6% in Hanover to 17.2% in the Near West End, so where the building sits matters far more here than the metro figure suggests. Recent trades ran roughly $148,000 to $191,000 a unit.
The Shenandoah Valley, Roanoke and the west
A much lower cost per unit, higher going-in yields and very little new construction competing with existing buildings. Charlottesville, Harrisonburg and Blacksburg run on university demand, Roanoke and Lynchburg on healthcare and manufacturing. These are regional bank, credit union and agency small-balance markets, and Virginia apartment loan rates out here are often sharper than borrowers expect because the lenders know the collateral directly.
Rent figures above are average asking rents across professionally managed buildings of fifty units and up as of August 2026. Where we do not yet have a dedicated apartment page for a Virginia city, the link goes to our commercial mortgage page for that market.
Virginia Rent Rules and the 2027 Payment Plan Requirement
Virginia has no rent control anywhere, and its localities cannot create one. Virginia is a Dillon Rule state, meaning a locality has only the powers the General Assembly has granted it, and no such grant exists for rent regulation. The Virginia Residential Landlord and Tenant Act reinforces the point directly: it applies to all jurisdictions in the Commonwealth, may not be waived or modified by the governing body of any locality, and expressly supersedes local ordinances concerning landlord and tenant relations and the leasing of residential property. For a lender projecting your income, there is no statutory ceiling to work against.
One change is coming that affects essentially every borrower we work with. Legislation enacted in the 2026 session and taking effect July 1, 2027 creates a category of larger landlord, defined as an owner of more than four rental dwelling units, or of more than a ten percent interest in more than four units. Since we finance buildings of five units and up, that captures the great majority of our clients. From that date, before terminating a tenancy for nonpayment where the arrears are no more than one month’s rent plus late fees, a larger landlord must offer the tenant a written payment plan in equal installments over the lesser of six months or the remaining lease term, once per tenancy, with no additional late fees charged while the tenant complies.
Nothing about that changes what a building is worth or what it will borrow. What it does change is the speed at which a delinquency can be resolved, which affects how you should think about bad debt assumptions and turnover timing on a Virginia apartment complex from mid-2027 onward. It is worth raising with your property manager now rather than in the month it takes effect. Current law, through June 2027, contains no such requirement.
Security deposits are capped statewide at two months’ rent, with forty-five days after termination to return the balance together with a written itemization of any deductions. That applies regardless of building size.
On reassessment, Virginia cities must reassess at least every two years and counties at least every four, but localities may opt into annual reassessment and the major urban ones generally have. Fairfax County and the City of Alexandria both reassess annually effective January 1, with Fairfax reporting an average residential increase near 4% for 2026. The practical consequence is that in these markets the tax line moves every single year rather than jumping in steps, so a lender will underwrite a forward tax figure rather than simply carrying your current one. Confirm your locality’s cycle directly, since practice varies.
Refinancing a Virginia Apartment Building
The right approach in Virginia depends heavily on which half of the state you are in, because the two are moving in opposite directions.
In Northern Virginia, be realistic about the trend. With rents down over the year and regional absorption well below its long-run average, an underwriter is going to size on in-place income and give very little credit to a recovery assumption. That is not a reason to avoid refinancing, but it is a reason to have the valuation conversation before the appraisal is ordered rather than after, and to consider whether a shorter-term structure now leaves you better placed than a long fixed term locked against a soft operating statement.
In Hampton Roads, the file usually turns on insurance rather than income. Rents are growing, which helps, but flood zone, elevation and the wind deductible on the bound policy will decide how much of that income the lender lets you keep. Send the current binder alongside the rent roll, and if you have completed elevation or mitigation work, document it, because it can move the premium and therefore the loan amount.
Everywhere, start with the rent roll and the trailing twelve, and then check the tax line. In the annually reassessed localities your taxes have very likely moved since your last financing, and the lender will use the current figure rather than the one in your model. Then read the note: confirm maturity and whether prepayment is yield maintenance, a step-down or open, and begin six to nine months ahead of a balloon so there is room to shop more than one lender.
Send the rent roll and the trailing twelve and we will underwrite the building the way the lender will, then come back with written options inside 48 hours at no cost. Virginia apartment loans start at $1,500,000, whether it is a twelve-unit building in Norfolk or a garden complex outside Richmond.
Virginia Multifamily Financing
Apartment loan and multifamily loan are two names for the same debt: financing on a building with five or more residential units. We arrange it across Virginia, from a small Tidewater walk-up to an institutional Northern Virginia portfolio, and the terminology does not affect the underwriting.
Loan size decides the bidder list. Smaller Virginia balances usually price best with regional banks, credit unions and the agency small-balance programs, where local knowledge and a clean rent roll carry the file. Larger balances open the field to Fannie Mae, Freddie Mac, FHA, life companies and CMBS, and multifamily loan rates there are often tighter because the loan is big enough to securitize, at the cost of a heavier package: full appraisal, property condition report, environmental review, and sizing driven by net operating income, debt service coverage and debt yield.
Virginia multifamily lenders are watching two things closely at the moment: federal employment exposure in the north, and flood and wind exposure on the coast. Whichever applies to your building, document it before you apply. Send the rent roll and the trailing twelve months and we will tell you which multifamily lenders are sharpest on your property, and what multifamily financing looks like at that size.
Virginia Apartment Loan Types We Serve
We arrange financing across Virginia for:
- Urban high-rise apartment buildings
- Suburban garden apartment complexes
- Small apartment buildings with 5+ units
- Underlying cooperative apartment loans
- Portfolios of small apartment and rental properties
- Mixed-use and other multifamily property
Apartment Loans Across Virginia
We arrange apartment loans throughout Virginia, not only in the three big regions. Charlottesville, Roanoke, Lynchburg, Harrisonburg, Fredericksburg and the Shenandoah Valley are financed through the same agency, bank and credit union programs, and a well-occupied building outside the Washington orbit often supports more leverage than its owner expects.
For larger balances see our Virginia multifamily loans. For office, retail, industrial and owner-occupied property see Virginia commercial mortgages, and nationwide we lend in most major U.S. cities.
Recent Apartment Loan Closings
A sample of apartment and multifamily loans we have arranged for investors nationwide.
Other Property & Loan Types We Finance in Virginia
As a full-service commercial mortgage broker, we arrange Virginia financing across every major property and loan type:
We consider commercial loan requests of all sizes, beginning at $1,500,000.
What Our Clients Say
“I am a veterinarian who purchased an existing practice. I was surprised to find a company that offered 100% financing at a good rate, with great terms and rates for medical office financing.”
Carol K. · Chicago, IL“I spoke to several commercial lenders before finding Select Commercial. They got me a lower rate and their service was exceptional. If you need a multifamily loan, you need to talk to Stephen.”
Nathan B. · Philadelphia, PA“Select Commercial was very helpful with my multifamily mortgage. Stephen went over several options and we came up with the best lender to meet my needs. I got the funds and also lowered my payments.”
Gary M. · Portland, OR“Select Commercial offered 100% financing for my medical practice when my bank would have required 20% down. They delivered something my bank could not, and handled everything professionally.”
John C. · Boston, MAGet Your Virginia Apartment Loan Quote
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