Understanding Commercial Real Estate Loans
Commercial real estate loans finance income-producing and business-use properties: apartment buildings with five or more units, mixed-use buildings, retail and office space, warehouses, and buildings your own business occupies.
Commercial loans are structured differently from home loans, and the right lender depends on the property type, size and your goals. Jake helps match each deal with an appropriate financing source.
Who it's a good fit for
- Investors buying apartment buildings with five or more units
- Business owners buying the building they operate from
- Mixed-use, retail, office and industrial property buyers
- Owners refinancing existing commercial property
Key details
- Approval focuses heavily on the property's net operating income and debt service coverage.
- Terms, amortization and prepayment rules vary widely by lender and property type.
- Commercial appraisals and environmental reviews are common requirements.
- Owner-occupied and investment properties are underwritten differently.
Commercial Real Estate questions
What counts as commercial real estate?
Generally anything that isn't a one-to-four unit residential property: apartment buildings with five or more units, mixed-use, retail, office, industrial and special-purpose property.
How is a commercial loan different from a home loan?
Commercial loans lean more heavily on the property's income, often have shorter terms or balloon payments, and vary more from lender to lender.
Can I buy a building for my own business?
Yes. Owner-occupied commercial financing is available for business owners buying the property they operate from.
Where we lend
Available throughout our service area. See all areas we serve →
Related programs
Land Loans
Financing for raw land, rural acreage and lots to build on.
Learn moreDSCR Loans for Investors
Investment property loans that qualify on the property's rental income, not your personal income.
Learn moreHard Money Loans
Short-term, asset-based financing for fix-and-flips, bridge loans and time-sensitive deals.
Learn moreInformation on this page is general and educational. Loan approval, terms and eligibility depend on your full application, credit, property and current program guidelines.