Commercial Mortgage Calculator 2025: Complete Guide + Free Tool
Master commercial mortgages with our comprehensive guide and free calculator. Learn current rates, DSCR requirements, qualification strategies, and get pre-approved from top lenders in minutes.
🏢 Use Our FREE Commercial Mortgage Calculator!
Calculate payments, DSCR, and LTV ratios instantly. Then get pre-approved from 300+ lenders.
What is a Commercial Mortgage?
A commercial mortgage is a loan secured by commercial real estate, such as office buildings, retail spaces, warehouses, apartment complexes, or mixed-use properties. Unlike residential mortgages, commercial mortgages are designed for investment properties and business use.
🏢 Key Differences from Residential Mortgages:
- •Higher Down Payments: Typically 20-35% vs 3-20% for residential
- •Shorter Terms: Usually 10-25 years vs 30 years for residential
- •Higher Interest Rates: 1-2% above residential mortgage rates
- •Income Requirements: Based on property cash flow, not just personal income
🧮 How to Use Our Commercial Mortgage Calculator
Try Our FREE Commercial Mortgage Calculator
Calculate monthly payments, loan-to-value ratios, and debt service coverage ratios instantly. No registration required!
🚀 Calculate Now - It's Free! →Our commercial mortgage calculator helps you estimate key metrics for your investment property loan including monthly payments, total interest, loan-to-value ratios, and debt service coverage ratios.
📈 Current Commercial Mortgage Rates 2025
🔥 Get Today's Best Commercial Rates!
Compare rates from 300+ commercial lenders in minutes. No obligation, fast pre-approval.
Compare Rates Now →| Loan Type | Rate Range | Typical Term | LTV Max |
|---|---|---|---|
| SBA 504 Loans | 6.5% - 8.0% | 20-25 years | 90% |
| Bank Portfolio Loans | 7.0% - 9.5% | 15-25 years | 80% |
| CMBS Loans | 6.8% - 8.5% | 10-30 years | 75% |
💰 DSCR Requirements Explained
The Debt Service Coverage Ratio (DSCR) is one of the most critical metrics in commercial mortgage underwriting. It measures the property's ability to generate enough income to cover the mortgage payments.
🧮 DSCR Formula:
DSCR = Net Operating Income ÷ Annual Debt Service
Example: If a property generates $120,000 in NOI and has $100,000 in annual debt service, the DSCR is 1.20.
❌ Poor DSCR
< 1.20
Likely loan denial or higher rates
⚠️ Acceptable DSCR
1.20 - 1.35
Minimum for most lenders
✅ Strong DSCR
1.35+
Best rates and terms
🚀 Ready to Get Pre-Approved?
See if you qualify for a commercial mortgage in minutes. Compare rates from 300+ lenders with no obligation.
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