Rhode Island · Over $6 Million
Rhode Island Multifamily Loans
Select Commercial arranges Rhode Island multifamily loans, with rates as low as 6.22%, up to 80% LTV and non-recourse agency options. We compare Fannie Mae, Freddie Mac, FHA/HUD and CMBS. For loans under $6 million, see Rhode Island apartment loans. See current rates on every loan type we offer.
Get a Free QuoteFinancing Options in Rhode Island
Rhode Island apartment, multifamily and commercial properties each have dedicated financing. Pick the page that matches your property:
Financing more of the state? See Rhode Island apartment loans and Rhode Island commercial mortgages.
Financing in another state? Explore our apartment loans, multifamily loans and commercial mortgages nationwide.
Rhode Island Multifamily Loan Rates
Rates updated as of October 22, 2026
| Loan Type | Rate* | Max LTV |
|---|---|---|
| 5 Year Fixed | 6.22% | Up to 80% |
| 7 Year Fixed | 6.26% | Up to 80% |
| 10 Year Fixed | 6.35% | 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
Rhode Island Apartment Loans
For smaller apartment building loans, under $6 million
Rates last updated October 22, 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.
Rhode Island Apartment Building Loans
Not every Rhode Island apartment property is over $6 million, and we finance smaller buildings too. For 5+ unit Rhode Island apartment properties from $1,500,000 to $6 million, see our Rhode Island apartment loans page for Fannie Mae Small Loan, Freddie Mac SBL, bank and credit union options.
Compare Rhode Island Large-Balance Programs
As a broker we place your large-balance Rhode Island multifamily loan with the right capital source. Typical starting points for properties over $6 million:
| Program | Typical rate* | Max leverage | Best for |
|---|---|---|---|
| Fannie Mae DUS | 6.22% | Up to 80% | Non-recourse, fixed to 30 yrs |
| Freddie Mac | 6.26% | Up to 80% | Non-recourse large-balance |
| FHA / HUD | 6.83% | Up to 85% | Highest leverage, 35-yr amortization |
| CMBS / conduit | 7.00% | Up to 75% | Non-recourse, flexible underwriting |
Most large-balance lenders look for a debt-service-coverage ratio (DSCR) of at least 1.25x. For properties under $6 million, see our Rhode Island apartment loans.
Rates last updated October 22, 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.
2026 Rhode Island Multifamily Investment and Lending Outlook
Providence has the tightest apartment market and the highest rents of any metro in its peer group, and the local bank lending into it is shrinking its book.
Cushman & Wakefield reported second-quarter 2026 Providence whole-market vacancy of 4.6%, against 8.9% nationally, with asking rent at $2,162, above the $1,945 national figure, and rent growth of 3.5%. The construction pipeline stood at 1,580 units with net absorption of 247 in the quarter.
Lowest vacancy, highest rent, strongest rent growth and a modest pipeline is as clean a fundamentals story as any market in the Northeast, and because all four figures come from one report on one convention they are directly comparable to the metros they are being measured against.
The offsetting fact is on the capital side. Washington Trust Bancorp, headquartered in Westerly, carried $2.05 billion of commercial real estate loans at June 30, 2026, down about $134 million or 6.1% in six months, within a $5.10 billion total loan book where commercial real estate represents roughly 40%. Its filings define that category as commercial mortgages primarily secured by non-owner-occupied income-producing property, which is the right denominator for apartment lending.
So the largest Rhode Island bank lender to this asset class is contracting its exposure while the market tightens. For a borrower that means quoting agency execution alongside bank execution rather than assuming the local relationship will clear, and it means not treating a single bank term sheet as the market.
Neither a current Providence multifamily cap rate nor a price per unit is available from a source we would cite. Comparable sales for your specific submarket and unit count are the only reliable pricing input here, and unit count turns out to matter more in Rhode Island than anywhere else.
One More Unit Can Nearly Double Your Providence Tax Rate
Rhode Island draws its statutory property classification line at exactly five dwelling units, and Providence is released from the rule that stops every other city from exploiting it. For a lender whose product starts at five units, this is the most consequential fact in the state.
The classification line. Under Rhode Island General Laws § 44-5-11.8(b), Class 1 is residential real estate consisting of no more than five dwelling units, along with open space and certain mobile homes. Class 2 is commercial and industrial real estate and residential properties containing partial commercial or business uses. A five-unit building is Class 1. A six-unit building is not.
The cap that normally limits the damage. Section 44-5-11.8(a)(2) provides that the effective tax rate applicable to any class may not exceed by fifty percent the rate applicable to any other class, a maximum ratio of 1.5 to 1, with rate changes applied proportionally across classes. Except, in the words of the statute, in the city of Providence and the towns of Glocester and East Greenwich. And § 44-5-11.8(l) grants Providence affirmative authority: its city council may by ordinance provide for and adopt a tax rate on various classes as they shall deem appropriate.
What Providence did with that authority. The Rhode Island Division of Municipal Finance publishes the city’s fiscal 2026 schedule, assessed as of December 31, 2024. Providence taxes real property at six different rates per $1,000 of assessed value:
Residential single family owner-occupied, $8.40. Residential two to five family owner-occupied, $7.55. Residential single family non-owner-occupied, $14.60. Residential two to five family non-owner-occupied, $14.00. Six to ten dwelling units, $26.00. Eleven or more dwelling units, $28.50.
Work the cliffs. Going from five units to six, non-owner-occupied, moves the rate from $14.00 to $26.00, an increase of about 86% for one additional unit. The eleven-plus rate of $28.50 is roughly twice the two-to-five family non-owner-occupied rate and nearly four times the two-to-five family owner-occupied rate. That the eleven-plus tier is real and legislatively recognized is confirmed elsewhere in the statute: § 44-5-2(d) lists, among the exceptions permitting a municipality to exceed its levy cap, Providence Class 2B revenue above $28.80 per $1,000.
Three practical consequences.
Confirm the unit count the assessor has on file, not the one on the rent roll. A ten-unit building reclassified to eleven after a basement or attic conversion moves from $26.00 to $28.50. A five-unit converted to six nearly doubles. And the new rate applies to the entire assessed value, not only to the added units, so a value-add plan that adds units can raise the tax line faster than it raises income. A conventional per-unit tax assumption will understate a Providence property badly.
Never import a tax assumption across municipal lines in this state. West Warwick inverts Providence entirely: its published schedule taxes apartments with six or more units at $14.29, its lowest rate, below one-family residences at $22.62. The same hundred-unit asset carries roughly double the millage in Providence that it carries in West Warwick. Comparable-based tax underwriting across Rhode Island municipalities is simply invalid.
In Providence there is no statutory ceiling to appeal to. Because § 44-5-11.8(a)(2) exempts the city and § 44-5-11.8(l) lets its council set class rates as it deems appropriate, the 1.5 to 1 cap that protects an apartment owner in Pawtucket or Cranston does not apply here. The practical restraint is the levy cap at § 44-5-2, which limits a city or town to a levy not more than four percent above the prior year’s total and requires a four-fifths vote of the full membership of the governing body plus a statutory ground to exceed it. That constrains the city’s total levy, not the apartment class’s share of it. Stress the tax line accordingly.
The principal offset is a tax stabilization agreement. Under § 44-3-9 a municipality may stabilize taxes for a term not exceeding twenty years on property that has undergone environmental remediation, is historically preserved, or is used for affordable housing, manufacturing, commercial or residential purposes, subject to statutory findings that the exemption will inure to the benefit of the city or town. Providence has specific extensions: § 44-3-9(h) permits a ten-year extension beyond twenty for a designated Westminster Street property, and § 44-3-9(i) permits agreements of up to thirty years for designated parcels.
A twenty-year agreement spans an entire loan term plus a refinance, which makes stabilization status a first-order underwriting input in Providence rather than a nice-to-have. Confirm whether an agreement exists, its remaining term, and whether it survives transfer, before anyone quotes proceeds.
On closing costs, the base conveyance tax under § 44-25-1(a) is $3.75 per $500 of consideration, or 0.75%, where consideration exceeds $100. Note that § 44-25-1(b) imposes an additional charge of the same amount on consideration above a threshold, indexed annually for inflation beginning January 1, 2026, for residential property. Whether a five-or-more-unit apartment building falls within that definition is a six-figure question on a large trade and should be confirmed with the Division of Taxation before you fix a closing estimate.
Rhode Island Multifamily Loan Programs
As a broker, we compare every large-balance program to find your best fit:
Recent Multifamily Loan Closings
A sample of apartment and multifamily loans we have arranged for investors nationwide.
Rhode Island Multifamily Markets We Serve
We arrange large-balance multifamily loans throughout Rhode Island, including:
Other Property & Loan Types We Finance in Rhode Island
As a full-service commercial mortgage broker, we arrange Rhode Island 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
“As a real estate attorney, I trust that Select Commercial will deliver commercial mortgages in a timely manner. My clients are always handled professionally, and the rates and terms are excellent. I heartily recommend them.”
David S. · New York City“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 Rhode Island Multifamily Loan Quote
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- For 5+ unit and commercial properties, $1.5M and up