Iati, who entered the game shooting 51 percent (20 of 39) from deep, made just 1 of 6 shots from long range but logged his 15th straight game with a 3-pointer.
Albany (5-2) scored the game's first five points and led 9-2 following a jumper from Iati. Wagner (1-3) rallied, however, as Jonathon Williams converted a layup with 7:09 left in the first half to give the Seahawks their first lead of the game, 18-17.
But Albany used a 12-3 run over the final 4:30 to enter intermission with a 36-27 advantage.
Williams led Wagner with 26 points on 10 of 11 shooting and has been the Seahawks' leading scorer in each of their last four games.
We have changes at the top of the draft and a shakeup in the lottery, with teams starting to make their final decisions. Get the latest in Chad Ford's mock draft.
Duke freshman point guard Derryck Thornton Jr. is transferring to USC, his father announced on Friday to Scout.com.
NBA draft prospect Kris Dunn is excited to see Game 7 between the Cavaliers and the Warriors, he breaks down the constant comparison between LeBron James and Steph Curry and looks forward to playing with or against some of these guys next season.