Commercial real estate (CRE) continues to be a powerful investment and growth vehicle for businesses and investors. In 2026, understanding commercial real estate loan rates today is critical for making smart financing decisions, managing risk, and maximizing long-term returns.
With interest rates influenced by inflation trends, economic policy, and lender competition, commercial real estate loan rates in 2026 vary widely depending on property type, borrower profile, and loan structure.
What Is a Commercial Real Estate Loan?
A commercial real estate loan is used to purchase, refinance, or develop income-producing properties. Unlike residential mortgages, CRE loans are evaluated primarily on the property’s income potential and the borrower’s financial strength.
Common property types financed with commercial real estate loans include:
- Office buildings
- Retail centers
- Multifamily apartment properties
- Industrial and warehouse facilities
- Mixed-use developments
Commercial Real Estate Loan Rates Today in 2026
In 2026, commercial real estate loan rates typically fall within the following general ranges:
- Bank CRE loans: ~6.5% – 9.0%
- SBA 7(a) & 504 loans: ~6.0% – 8.5%
- CMBS loans: ~6.5% – 9.5%
- Bridge loans: ~8.5% – 12%+
- Hard money loans: 10%+
Actual rates depend on market conditions, borrower creditworthiness, and property performance.
Factors That Influence Commercial Real Estate Loan Rates
Lenders evaluate several key factors when determining CRE loan rates:
- Loan-to-Value (LTV): Lower LTV generally means lower rates
- Debt Service Coverage Ratio (DSCR): Strong cash flow reduces lender risk
- Borrower credit profile: Experience and financial strength matter
- Property type: Multifamily often receives better rates than retail or office
- Loan term and structure: Fixed vs variable rates
In 2026, lenders place increased emphasis on property stability and tenant quality.
Types of Commercial Real Estate Loans
1. Bank Commercial Mortgages
Traditional banks offer competitive rates but require strong borrower profiles and stable properties.
- Lower interest rates
- Strict underwriting standards
- Longer approval timelines
2. SBA Commercial Real Estate Loans
SBA 504 and SBA 7(a) loans are popular for owner-occupied properties.
- Lower down payments
- Long repayment terms (up to 25 years)
- Highly competitive rates
3. CMBS Loans
Commercial mortgage-backed securities (CMBS) loans are often used for larger properties.
- Non-recourse options available
- Fixed interest rates
- Complex documentation
4. Bridge and Short-Term Loans
Bridge loans provide temporary financing while transitioning or stabilizing a property.
- Fast funding
- Higher interest rates
- Shorter loan terms
Fixed vs Variable CRE Loan Rates
Borrowers in 2026 can choose between fixed and variable interest rates:
- Fixed-rate loans: Stable payments, protection from rate increases
- Variable-rate loans: Lower initial rates, higher risk over time
Choosing the right structure depends on investment strategy and market outlook.
Down Payment and Loan Terms
Commercial real estate loans typically require:
- Down payments of 20% – 30%
- Loan terms of 5 – 25 years
- Balloon payments in some cases
SBA loans often allow lower down payments for owner-occupied properties.
How to Get the Best Commercial Real Estate Loan Rates in 2026
To secure the most competitive rates:
- Improve property cash flow and occupancy
- Lower existing debt obligations
- Prepare detailed financial documentation
- Compare multiple lenders and loan types
- Work with experienced commercial mortgage brokers
Strong preparation can save thousands of dollars over the life of a loan.
Risks to Consider in 2026
While commercial real estate remains attractive, borrowers should consider:
- Interest rate volatility
- Tenant vacancy risk
- Market-specific downturns
- Refinancing risk for short-term loans
Stress-testing loan payments under different scenarios is essential.
Conclusion
Commercial real estate loan rates today in 2026 reflect a balance between economic uncertainty and strong lender competition. While rates vary by loan type and borrower profile, well-prepared investors and business owners can still secure attractive financing.
By understanding current rate ranges, lender requirements, and financing structures, borrowers can confidently navigate the commercial real estate market and position their investments for long-term success.