Recently Funded Multifamily DSCR Loan In Jersey City, NJ

Loan Scenario:

American Heritage Lending funded a DSCR Rental Loan for the purchase of 6-unit multifamily in Jersey City, NJ. The sponsor—an experienced investor with four existing properties—acquired the asset for $965,000, supported by an appraised value of $1,032,000. We provided a $628,000, 30-year fixed DSCR loan at 61% LTV, underwritten to in-place leases with a final DSCR of 1.10 based on in-place rents. The loan delivers simple, asset-based qualification and long-term payment certainty, giving the borrower predictable debt service and the flexibility to focus on operations, unit turns, and incremental rent growth. Terms include a 3 year fixed prepayment penalty, offering clarity around exit timing while keeping the structure straightforward for a small-multifamily asset.

Jersey City’s small-multifamily market benefits from NYC-adjacent demand, PATH access to Manhattan, and steady household formation, which together support healthy leasing velocity and rent durability across neighborhoods like Journal Square, The Heights, and Greenville. Limited inventory turnover in 2–10 unit buildings and a deep renter pool create a favorable backdrop for value-add execution, while diversified employment in Hudson County helps smooth seasonal volatility.