Vermont Multifamily Loan Rates
| VT Multifamily Loan Rates More Than $6 Million | Free Loan Quote | ||
|---|---|---|---|
| Loan Type | Rate* | LTV | |
| Multifamily Loan 5 Yr Fixed | 5.30% | Up to 80% | |
| Multifamily Loan 7 Yr Fixed | 5.34% | Up to 80% | |
| Multifamily Loan 10 Yr Fixed | 5.40% | Up to 80% | |
*Rates start as low as shown and are based on underwriting criteria, borrower experience, and property strength.
Ready to get started? Click here to request a customized loan quote for your Vermont multifamily property.
Need a loan under $6 million? Visit our Vermont apartment loan page. For other commercial property types, explore our Vermont commercial mortgage options. To compare all rates nationwide, see commercial mortgage rates.
Why Choose Select Commercial for Multifamily Loans
What sets Select Commercial apart from traditional lenders and large banks? In this short video, we highlight the key reasons multifamily building investors choose to work with us for Vermont multifamily loans over $6 million. We also actively finance apartment building loans below $6 million.
Here’s what the video touches on:
- No upfront application or processing fees
- Fast written pre-approvals often within 24 hours
- Access to a wide range of multifamily lenders, not just one bank
- Loan structures tailored to your property and investment goals
2026 Vermont Multifamily Loan Market Overview
Entering 2026, Vermont presents one of the most supply-constrained environments in the country for Vermont multifamily loans. Limited new development, geographic constraints, and steady population trends continue to support strong renter demand across the state, particularly in and around Burlington. For borrowers evaluating multifamily financing, this creates a market defined by stability, high occupancy, and durable income performance rather than rapid expansion.
Development activity across Vermont remains minimal compared to larger regional markets, largely due to regulatory limitations and land availability. As a result, vacancy remains tight across most submarkets. For Vermont multifamily lenders, this creates an underwriting profile focused on supply constraints, tenant retention, and long-term income stability rather than aggressive growth assumptions.
Burlington Anchors Vermont Multifamily Loans
Burlington remains the primary driver of multifamily activity across Vermont. In 2026, the market is expected to maintain vacancy near 4.5% with average effective rent around $1,800 per month. While large-scale employment and construction data are more limited than in major metros, Burlington continues to benefit from university presence, healthcare employment, and regional demand patterns.
For borrowers seeking a multifamily loan, Burlington stands out as one of the most supply-constrained rental markets in the Northeast, supporting long-term occupancy and stable rent collections.
South Burlington Provides Suburban Stability
South Burlington offers a suburban multifamily market supported by proximity to Burlington and strong household income levels. The city has a population of approximately 21,000, median household income near $85,000, median rent around $1,750, and median home value near $500,000. These fundamentals support stable occupancy and consistent rental demand.
This positions South Burlington as a reliable option for borrowers focused on stabilized multifamily assets with predictable cash flow.
Rutland Adds Workforce Housing Demand
Rutland contributes a smaller multifamily market supported by local employment and regional demand. The city has a population of approximately 16,000, median household income near $50,000, median rent around $1,200, and median home value near $250,000. This supports workforce housing strategies and steady renter demand.
For investors, Rutland offers opportunities tied to affordability and stable tenant demand rather than rapid rent growth.
Rent Levels Reflect Supply Constraints
Vermont maintains elevated rent levels relative to its size due to limited supply and consistent demand. Burlington is projected near $1,800 per month, with smaller markets like Rutland lower depending on local conditions. This allows borrowers to structure multifamily commercial real estate loans around stable, income-producing assets with limited competitive supply.
2026 Vermont Multifamily Loan Market Forecast
- Employment: Supported by healthcare, education, and regional demand.
- Construction: Limited new supply across the state.
- Vacancy: Vacancy remains tight near 4.5% in core markets.
- Rent: Average effective rent near $1,800 per month in Burlington.
For investors comparing Vermont multifamily loans, 2026 reflects a market defined by limited supply and stable demand. Burlington provides the primary investment focus, while South Burlington and Rutland offer complementary opportunities across suburban and workforce housing segments.
2026 Burlington Vermont Multifamily Loan Market Overview
Burlington is the core multifamily market in Vermont and supports strong demand for multifamily loans.
Burlington Vermont Multifamily Loan Rates and Financing in 2026
Financing remains active for stabilized assets in supply-constrained environments with strong renter demand.
Trends in the Burlington Vermont Multifamily Loan Market
University presence and healthcare employment continue to support leasing activity and long-term renter demand.
Burlington Vermont Multifamily Loan Rent Levels in 2026
Average rent is projected near $1,800.
Burlington Vermont Multifamily Loan Supply and Demand
Supply remains constrained with strong occupancy across most submarkets.
Opportunities for Multifamily Investment in Burlington Vermont
Investors focus on stable income, limited supply competition, and long-term demand fundamentals.
2026 South Burlington Vermont Multifamily Loan Market Overview
South Burlington provides a stable suburban multifamily market with strong renter demand and high income levels.
South Burlington Vermont Multifamily Loan Rates and Financing in 2026
Financing remains favorable for stabilized, income-focused multifamily assets.
Trends in the South Burlington Vermont Multifamily Loan Market
Proximity to Burlington and strong household incomes support consistent leasing activity.
South Burlington Vermont Multifamily Loan Rent Levels in 2026
Median rent is approximately $1,750.
South Burlington Vermont Multifamily Loan Supply and Demand
Supply remains limited with stable occupancy across most submarkets.
Opportunities for Multifamily Investment in South Burlington Vermont
Investors focus on stable income and long-term suburban demand fundamentals.
2026 Rutland Vermont Multifamily Loan Market Overview
Rutland supports workforce housing demand in a smaller, stable multifamily market environment.
Rutland Vermont Multifamily Loan Rates and Financing in 2026
Financing remains favorable for workforce housing and income-focused assets.
Trends in the Rutland Vermont Multifamily Loan Market
Local employment and affordability continue to support leasing activity.
Rutland Vermont Multifamily Loan Rent Levels in 2026
Median rent is approximately $1,200.
Rutland Vermont Multifamily Loan Supply and Demand
Supply remains limited with stable occupancy trends.
Opportunities for Multifamily Investment in Rutland Vermont
Investors focus on stable income and workforce-driven demand.
What Lenders Look for in a Vermont Multifamily Loan
What Lenders Look For
Before you apply for a Vermont Multifamily loan, it helps to understand what lenders are actually evaluating. In this short video, Select Commercial President Stephen Sobin outlines the key borrower and property qualifications that influence approval.
Watch to learn:
- What makes a loan request stand out or get rejected
- The importance of cash flow, occupancy, and borrower experience
- Which documents lenders require to issue a pre-approval
Understanding Your Multifamily Loan Options
Multifamily Loan Lending Options
Not all multifamily loans are created equal. In this short video, Stephen Sobin explains the most common types of multifamily loan programs and when each one makes the most sense for Vermont borrowers.
- Bank vs. agency vs. private multifamily lenders
- Short-term vs. long-term fixed-rate options
- How to structure your loan based on your property and investment goals
Our Vermont Multifamily Loan Process
We make applying for a Vermont multifamily loan fast, transparent, and cost-effective. Our process is designed for borrowers seeking large balance multifamily financing backed by experienced multifamily lenders. Below is a step-by-step overview of what to expect when working with Select Commercial:
Step 1: Initial Screening
During an introductory call or email, we gather the basics of your transaction. If the request doesn’t meet multifamily loan guidelines, we’ll let you know right away.
Step 2: Document Request
If eligible, we’ll send a short checklist to review your financials, credit, and property cash flow. This helps us evaluate your multifamily commercial real estate loan scenario.
Step 3: Underwriter Review
Once documents are received, underwriting begins. If your multifamily loan qualifies, we issue a written pre-approval. If not, we’ll explain why.
Step 4: Pre-Approval Letter
If approved, we send a detailed pre-approval letter outlining preliminary terms and any additional documentation needed.
Step 5: Third-Party Reports
Once pre-approved, the underwriter orders the appraisal and other required third-party reports. A good faith deposit is collected to cover these costs.
Step 6: Final Submission
Once all documentation and reports are in, underwriting is finalized and a formal multifamily loan commitment is issued.
Step 7: Legal & Closing
Our legal team prepares the closing checklist and any final conditions. Once satisfied, we move forward with closing.
Step 8: Timeline
Most multifamily loans close within 30 to 60 days, depending on deal complexity and how quickly documents are submitted.
Multifamily Property Types We Finance in Vermont
At Select Commercial, we provide multifamily financing for a broad range of Vermont multifamily properties, from stabilized 5+ unit buildings to large-scale portfolios. Whether your asset is urban, suburban, or mixed-use, we tailor each multifamily commercial real estate loan to match your investment strategy and property type.
- Urban mid-rise and high-rise multifamily buildings
- Suburban garden-style multifamily complexes
- Small multifamily buildings with 5+ units
- Mixed-use properties with residential and limited commercial space
- Underlying co-op building loans
- Portfolios of small multifamily or single-family rental properties
- Stabilized properties with solid cash flow and rent history
If you're unsure whether your property qualifies for a multifamily loan, contact us for a free quote and we'll review your deal within 24 hours.
Recent Multifamily Loan Closings
Our Reviews
Latest Expert Insights from Stephen A. Sobin
Stephen A. Sobin, the president of Select Commercial Funding LLC, is a renowned expert in the field of multifamily financing. His insights and perspectives are regularly sought by leading industry publications. Here are his latest contributions that highlight his deep understanding of the multifamily financing landscape and his commitment to providing clear, insightful analysis on key industry issues.
Navigating Opportunity, Risk as 2025 Winds Down
In an article for Commercial Property Executive titled "Navigating Opportunity, Risk as 2025 Winds Down", Sobin explains as we head into the final stretch of 2025, the commercial real estate industry stands at a pivotal moment. After several years of upheaval—from pandemic disruptions to aggressive Federal Reserve rate hikes and lasting shifts in how people live and work—the sector is entering a new phase.
Why Lower Rates Haven't Fixed Commercial Real Estate
In an article for Wealth Management titled "Why Lower Rates Haven't Fixed Commercial Real Estate", Sobin explains that even as the Federal Reserve has begun cutting rates and borrowing costs should be falling, the commercial real estate sector remains locked in a frustrating stalemate. For high-net-worth investors trying to time the market, he emphasizes that understanding this disconnect requires looking beyond the headlines.
Why the Fed Rate Cut’s a Game Changer for CRE
In an article featured in Multi-Housing News, Stephen Sobin highlighted that after months of speculation and market anticipation, the Federal Reserve finally pulled the trigger last week, cutting the federal funds rate by 25 basis points to 4.00 to 4.25 percent. read the full article.
Inflation's Current Impact on Apartment
In an article featured in Multi-Housing News, Sobin explains how commercial mortgage rates continue to challenge investors, with elevated inflation depressing real estate market activity. Read the full article.
Will the July Jobs Report Pressure the Fed to Act?
Sobin noted in Multi-Housing News that unemployment hit a three-year high and job creation slowed significantly, factors that could push the Fed to reconsider future rate hikes. Read the full article.
Persistent Inflation and Its Effects on CRE
In an article featured in Multi-Housing News, Stephen Sobin highlighted that while inflation is still a challenge for the Federal Reserve, there are many positive signs for the commercial real estate industry. The headline Consumer Price Index rose 3.2 percent for the year ended Feb. 29, a figure 20 basis points lower than the Dec. 31, 2023, rate. read the full article.
Commercial Spotlight: Mid-Atlantic Region In this four-state powerhouse, smaller metros are thriving.
In a feature in Scotsman Guide, the Mid-Atlantic Region's real estate dynamics are explored, highlighting its resilience and growth amidst the pandemic.
Stephen Sobin of Select Commercial Funding LLC shared insights on the New York market's allure and the challenges buyers face. He noted the shift from primary urban areas to tertiary markets due to evolving preferences and financial conditions. For a deeper dive into Sobin's analysis, read the full article.
What the New Jobs Report Means for CRE
In an article titled "What the New Jobs Report Means for CRE" in Commercial Property Executive, Stephen Sobin shared his perspective on the latest jobs report and its implications for the Commercial Real Estate (CRE) sector. He highlighted the challenges posed by high interest rates and the prevailing uncertainty in the market. Sobin remarked, "Sellers aren’t selling, buyers aren’t buying... Everyone is waiting because no one knows what to expect." For a detailed analysis and more of Sobin's insights, read the full article.
Decoding "Junk Fees" in Rental Housing
In another latest contribution to Multi-Housing News, Sobin provided expert commentary in an article titled "What's Next for Junk Fees? The Industry Weighs In". He clarified the difference between legitimate fees collected for various third-party services and so-called "junk fees". Sobin emphasized the importance of borrowers understanding their rights in negotiating all loan terms and the obligation of lenders to disclose all fees.
Understanding the Impact of Federal Reserve's Decisions
In a recent article titled "How the Fed's Pause on Interest Rates Impacts Multifamily" published by Multi-Housing News, Sobin shared his expert insights on the Federal Reserve's decision to pause interest rate hikes. He accurately predicted that the Fed would not raise rates in June, citing recent bank failures and lingering concerns about a potential recession.
Stay tuned for more expert insights from Stephen A. Sobin on the evolving multifamily financing landscape.
Frequently Asked Questions About Vermont Multifamily Loans
Multifamily loan rates in Vermont depend on several factors including loan size, property condition, borrower strength, and leverage. As of 2025, interest rates remain elevated due to persistent inflation, but high-quality borrowers with strong assets can still secure competitive terms. For other property types, view our latest commercial mortgage rates for updates.
Lenders generally require a DSCR of 1.25 or better, strong borrower credit, relevant experience, and post-closing liquidity. For large balance multifamily commercial real estate loans, loan-to-value ratios typically range from 65% to 80%, depending on cash flow.
Large balance multifamily financing requires tailored solutions. Select Commercial works with a wide range of capital sources, including banks, life companies, CMBS, agency, and private lenders, giving you access to more options, better terms, and higher certainty of execution.
The process begins with a review of property-level financials, including a current rent roll, trailing 12-month operating statement, borrower net worth, liquidity, and experience. Our team quickly assesses eligibility and provides a pre-approval when qualified. Start with a Free Quote today.
Select Commercial also specializes in loans under $6 million. If you're refinancing a smaller apartment loan, we can help structure multifamily financing with competitive rates and flexible terms. Visit our Vermont apartment loan page for details.
Agency Large‑Balance Multifamily Loan Programs (Over $6 Million)
Select Commercial connects borrowers with premier agency-backed large-balance multifamily loan programs, perfect for financing institutional-scale properties across Vermont and beyond.
- Fannie Mae® Multifamily (DUS® platform) – Large‑balance non‑recourse multifamily financing, including fixed, floating, hybrid‑ARM, and interest‑only options
- Freddie Mac® Multifamily – Comprehensive large‑balance multifamily financing (fixed and floating) with up to $250 M in loan capacity
These agency programs offer non‑recourse structures, competitive fixed or floating rates, strong leverage (typically up to ~80 % LTV), and streamlined execution, ideal for experienced investors pursuing well‑performing multifamily assets.
Looking for loans under $6 million? Visit our dedicated Vermont apartment loan page for smaller-balance financing options.
Vermont Multifamily Financing
Select Commercial provides multifamily loans and Vermont commercial mortgages throughout the state of Vermont including but not limited to the areas below.