What Are Commercial Real Estate Loans?
Commercial real estate loans are financing solutions used to purchase, refinance, construct, or renovate income-producing or owner-occupied business properties. Unlike residential mortgages, CRE loans are underwritten based on the property's income potential, your business financials, and your overall business creditworthiness. Loan amounts typically range from $100K to $25M+, with terms up to 30 years depending on the loan type and lender.
Whether you're acquiring an office building, warehouse, retail space, or mixed-use property, the right financing structure can dramatically impact your cash flow, tax position, and long-term equity. A strong business credit profile and well-prepared financials are the foundation of any successful CRE application — and we help you get both in order before you apply.
The Process
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1
Pre-Qualification
Share your financials and property details. We provide a preliminary assessment within 24 hours.
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2
Lender Matching
We present your deal to multiple CRE lenders and negotiate the best term sheet.
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3
Underwriting & Appraisal
The selected lender orders an appraisal and completes underwriting (typically 2–4 weeks).
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4
Closing & Funding
Title is transferred and loan proceeds are disbursed at closing.
Key Benefits of Owning vs. Leasing
- Build equity instead of paying rent to a landlord
- Lock in your occupancy costs long-term
- Potential rental income from unused space
- Depreciation and mortgage interest are tax-deductible
- Use the property as collateral — see collateral loans for how asset-backed financing works
How to Qualify
- Personal credit score 650+ (680+ preferred)
- At least 2 years in business
- Debt service coverage ratio (DSCR) of 1.25x or higher
- Down payment of 10–25% (varies by loan type)
- Positive net operating income (for investment properties)
Types of Commercial Real Estate Loans
| Loan Type | Best For | Key Feature |
|---|---|---|
| Conventional CRE | Owner-occupied or investment property | Most common, up to 75% LTV |
| SBA 504 | Owner-occupied property purchase | 10% down, up to $5M, 25-year term |
| SBA 7(a) | Mixed use (property + working capital) | Up to $5M, flexible use of funds |
| Bridge Loan | Short-term property acquisition | Fast funding, interest-only |
| Construction Loan | Building new commercial space | Draws as construction progresses |
| CMBS | Large investment properties | Non-recourse, fixed rate |
Illustrative example terms shown for demonstration only. Not an offer or guarantee of financing.