1st Advantage MortgageBlacksburg, VA DSCR loans work like they do elsewhere: the lender divides the property's rent by its full monthly payment. The local inputs are a median gross rent of $1,359, median real estate taxes of $3,460 and a renter share of 64%.
What the numbers say about Blacksburg
Citywide, Blacksburg renters pay a median $1,359 in gross rent (rent plus utilities), about 14% below the Virginia median of $1,579, and owner-occupied homes have a median value of $446,300, about 16% above the Virginia median of $383,700. Dividing a year of median rent by the median home value gives a gross rent-to-value ratio of 3.7%, a lean ratio that leaves little room for taxes, insurance and dues. It mixes apartments and houses, so treat it as a compass and not as the number for any one property.
| Indicator | Virginia | Blacksburg | Difference |
|---|---|---|---|
| Annual property tax bill, median | $2,790 | $3,460 | +24% |
| Household income, median | $93,170 | $50,182 | -46% |
| Typical owner-occupied value | $383,700 | $446,300 | +16% |
| Typical monthly rent | $1,579 | $1,359 | -14% |
| Persons per household | 2.52 | 2.54 | |
| Share in 2-4 unit buildings | 4.5% | 9.6% | +113% |
| Share of homes detached | 61.3% | 37.4% | -39% |
| Long commuters, 45 min plus | 17.6% | 4.2% | -76% |
| Renters paying 30%+ of income | 48.5% | 63.0% | +30% |
| Units sitting vacant | 8.7% | 18.7% | +116% |
| Typical construction year | 1984 | 1985 | |
| Annual rent divided by value | 4.9% | 3.7% | -26% |
| Households that rent | 32.7% | 64.2% | +97% |
| Tax as a share of home value | 0.73% | 0.78% | +7% |
| Residents (Census estimate) | 8,705,170 | 45,446 |
Tenure leans toward renters here, at 64.2% of occupied housing (well above the Virginia median of 33%), which supports a durable pool of prospective tenants. Incomes matter for rent growth: the median household earns $50,182, well below the Virginia median of $93,170, and 63% of renters are already cost-burdened at 30 percent of income or more.
What Blacksburg investors are buying
Only 37% of units in Blacksburg are detached houses. The rest is townhomes, duplexes and apartments, with two to four unit buildings at 10% of the total. The median structure went up in 1985, so request ages for the roof, HVAC and water heater on any rental you consider.
Vacancy is a quiet driver of rent. 19% of homes are vacant citywide and 4.7% of the rental inventory was listed for rent when the Census surveyed.
Investor takeaways for Blacksburg
Blacksburg's 3.7% rent-to-value ratio is on the lean side, so expect lenders to ask for more cash down on a typical single-family purchase and to scrutinize insurance and tax estimates closely. Mid-aged stock (median built 1985) means many roofs and HVAC units are near the end of their lives, so ask for installation dates. Because 64% of households rent, vacancies tend to refill, and the pricing question is how much to charge relative to nearby units.
Insurance, tax and flood context for Blacksburg
Real estate taxes are a line the rent has to cover. The median owner in Blacksburg pays $3,460 a year (about 24% above the Virginia median of $2,790), which is about 0.78% of the median home value. Set beside the median rent, the tax alone consumes about 21% of annual rent.
The federal National Risk Index scores Montgomery County relatively low for overall risk, led by landslides (relatively moderate), cold waves (relatively moderate) and winter weather (relatively moderate). That is a county-level view, so check the flood map for the exact parcel.
| Hazard in Montgomery County, FEMA index | Level |
|---|---|
| Lightning exposure | Relatively Moderate |
| Winter weather exposure | Relatively Moderate |
| Cold waves exposure | Relatively Moderate |
| Landslides exposure | Relatively Moderate |
| Social vulnerability score | Relatively Low |
| Annualized loss estimate | Relatively Low |
| Composite risk | Relatively Low |
Flood risk in Blacksburg is parcel by parcel: check the address on FEMA's flood map service, because a mapped high-risk zone means required flood cover and a heavier payment.
What the Blacksburg medians allow
For a rough fit test, treat $1,359 as the rent and $288 as the monthly tax. The payment cannot exceed $1,359 at a 1.00 ratio, so $1,071 is left after taxes for interest, principal, insurance and any association dues, shrinking to $799 if the lender wants 1.25.
What VA law and Blacksburg require of landlords
Before you underwrite a Blacksburg rental, confirm with city hall and Montgomery County whether landlords must register, pass an inspection or hold a permit, especially for stays under 30 days, because those rules can change what income a lender will count. Guests who book by the night in Blacksburg are taxed under state law as follows. Virginia applies its retail sales tax to short-term accommodations, and localities may levy a transient occupancy tax on stays of fewer than 30 consecutive days. When a booking platform handles the reservation it collects the tax on the whole charge, and when a host books directly the host collects and remits.
Deposits come due back within 45 days of the tenant leaving, and Blacksburg owners should document condition at both ends of the lease.
Blacksburg compared with nearby markets
Looking across the table, values run from $120,300 (Princeton) up to $190,500 (Roanoke), and Blacksburg lands at $446,300.
| Market | Renter share | Tax bill | Home value | Residents | Rent |
|---|---|---|---|---|---|
| Beckley | 45% | $777 | $158,000 | 16,818 | $869 |
| Princeton | 43% | $742 | $120,300 | 5,736 | |
| Roanoke | 48% | $1,893 | $190,500 | 98,355 | $996 |
| Blacksburg | 64% | $3,460 | $446,300 | 45,446 | $1,359 |
The renter base in Blacksburg
4.9% of employed residents work for themselves, which matters here because DSCR lending does not ask for tax returns or pay stubs. The same survey shows government workers are about 32% of employment, 69% of adults hold a bachelor's degree or higher and 4% of commuters travel 45 minutes or more.
For a sense of who employs Blacksburg renters, the published employer list for 2022 shows Virginia Tech, Moog, HCA Montgomery Regional Hospital, NRV Community Services and Town of Blacksburg. Check the current year before you lean on it, since payrolls move. Access runs through interstate access via I-81 and air service through Virginia Tech Montgomery Executive Airport and Roanoke-Blacksburg Regional Airport, which shapes where commuters want to live and how long a showing takes.
Taking a Blacksburg deal to a lender
Ready to test a Blacksburg deal? Use the calculator for the ratio, then start your application or send us the scenario.
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References
- National Risk Index entry, Montgomery County
- Blacksburg overview (Wikipedia)
- Virginia landlord deposit rules, Va. Code §§ 55.1-1226(A), 55.1-1208(A)(7)
- Virginia Tax, accommodations (Virginia)
- State rule cited for Blacksburg hosts: Va. Code 58.1-3819
- American Community Survey tables, Virginia
Census figures are 2020 to 2024 ACS five-year estimates for Blacksburg and carry margins of error. Landlord rules for Blacksburg rest on Virginia statutes and the CC BY 4.0 RedFlagLease dataset. Checked October 2026; confirm with Blacksburg or the county before you rely on any rule.
DSCR loan availability varies by property and lender program and is not an offer to lend. See our disclosures.
Frequently asked questions
What rent number goes into a Blacksburg, VA DSCR calculation?
Expect to supply a lease, or let the appraiser's rent schedule stand in for one; the Blacksburg median rent of $1,359 is context and not a substitute.
How is the DSCR figure built for a Blacksburg property?
Every piece of PITIA is in the denominator. With $1,359 in rent, a 1.25 lender allows about $1,087, leaving $799 after median taxes of $288 a month.
How much real estate tax do Blacksburg homeowners pay a year?
Median taxes paid are $3,460 a year, or 0.78% of median value, compared with 0.73% statewide. Ask Montgomery County's tax office what the bill becomes after your sale.
Do DSCR lenders count short-term rental income in Blacksburg?
Depending on the lender, yes, if the property may legally be used that way and income is documented. Confirm the local permit, association rules and Virginia lodging taxes before you underwrite nightly income in Blacksburg.
Are there deposit limits for Blacksburg rentals?
Start with Va. Code §§ 55.1-1226(A), 55.1-1208(A)(7). Return window: 45 days. Talk to a Virginia attorney for a lease form that matches.
What hazard risk does Blacksburg carry for investors?
The county scores relatively low overall in FEMA's index, with landslides leading. Parcel-level flood maps and a real insurance quote give the answer that counts.
How do LLC closings work for Blacksburg rentals?
Many Blacksburg investors do, though no rule forces it. The loan is secured by the property either way, and the lender will check who controls the company.