Making Sense of Commercial Real Estate Rates

Jan 22, 2020

Making Sense of Commercial Real Estate Rates

By

If you have small business needs related to real estate, you should probably consider a commercial real estate loan (sometimes referred to as a commercial mortgage). They’re specifically designed to help you leverage equity from your property to get money for retail space, restaurants, warehouses, or offices.

It doesn’t matter if you’re in the process of getting your business up and running or if you’re adding a 5th location for your established operation, these loans can be a real lifesaver. The amounts begin at $250,000 and can go as high as $5,000,000.

Some small business owners use commercial real estate loans to get out of a lease so they’re better positioned to launch the next stage of their property ownership goals. Other strategies include using the money to construct a new building, purchase an existing building, renovate an old property, or refinance for a better interest rate or an extension on your repayment terms.

A commercial real estate loan can have interest rates that begin in the borrower-friendly range of 4.25% and go all the way up to 30%. The purpose of this guide is to help you understand some of the factors that will determine the rate you might qualify for if you were to seek this type of financing for your small business.

About the Author

Grant Olsen

Grant Olsen

Grant Olsen is a writer specializing in small business loans, leadership skills, and growth strategies. He is a contributing writer for KSL 5 TV, where his articles have generated more than 6 million page views, and has been featured on FitSmallBusiness.com and ModernHealthcare.com. Grant is also the author of the book "Rhino Trouble." He has a B.A. in English from Brigham Young University.

See all articles by this author

Get your small business loan today.

$
Applying is free and it won't impact your credit
Already have an account?  
Sign in
Phone Icon

Give us a call
(855) 853-6346

Monday - Friday | 9am - 9pm Eastern Time