Rent is money you never get back. A commercial real estate loan turns your monthly payment into equity — financing the purchase, construction, refinance or renovation of the property your business runs from. The right program depends on the property and your goals.
Commercial real estate loan options
- Conventional CRE — bank loans for purchase or refinance, typically 20–30% down.
- SBA 504 — owner-occupied property with a long-term fixed rate and ~10% down.
- SBA 7(a) — flexible option that can include real estate plus working capital.
- Bridge & hard money — fast, short-term capital to close or reposition a property.
Buying your building? For owner-occupied property (51%+ occupancy), the SBA 504 loan is usually the cheapest path — a long-term fixed rate on half the loan and as little as 10% down.
What CRE loans fund
- Office, retail, industrial, warehouse and mixed-use property.
- Ground-up construction and major renovations.
- Refinancing an existing mortgage or maturing balloon.
Typical guidelines
| Requirement | Typical minimum |
|---|---|
| Down payment | 10% (SBA 504) to 25–30% (conventional) |
| Credit score | 660+ preferred |
| Occupancy (SBA) | 51%+ owner-occupied |
| Documents | Financials, tax returns, property details |
Frequently asked questions
What is a commercial real estate loan?
Financing to buy, build, refinance or renovate business property, with terms from 5 to 25 years.
How much down?
About 10% with SBA 504 for owner-occupied property; 20–30% for conventional.