# How Should You Compare a Conventional Commercial Lender and a Bank?

> Compare the actual structure, property criteria, fees, recourse and conditions of each commercial proposal. A bank and a nonbank lender can both offer conventional financing; the institution's label does not tell you which loan fits.

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## Quick answer

Compare the actual structure, property criteria, fees, recourse and conditions of each commercial proposal. A bank and a nonbank lender can both offer conventional financing; the institution's label does not tell you which loan fits.

## What changes when you compare institutions instead of headlines?

Request proposals using the same loan amount, property income and business plan. Ask how each institution sizes the loan, whether it requires a broader banking relationship, and who will resolve conditions. A bank may fit an established relationship well; another lender may have a program matching the property. Neither category is automatically faster or cheaper.

**Where it fits:** Conventional commercial financing describes the transaction, not a promise about a lender's charter. SBA financing is separate and can also involve a bank. Avoid comparing a conventional investment-property mortgage with an SBA owner-occupied transaction as though their eligibility or equity requirements were interchangeable.

**Example:** Illustrative: if two proposals have different prepayment provisions, reserve requirements or recourse, the same advertised payment does not make them equivalent. Ask each team to explain those differences in writing before choosing.

**Fit check:** Occupied commercial real estate, minimum FICO 680, minimum DSCR 1.15x, and no more than 75% LTV. Value, income, title and documents must support the request.

Apply with your property and financing request, or submit a deal as a broker through Partners.

## Loan parameters

- Loan size: $100,000 to $15,000,000
- Loan type: Commercial Purchase & Rate-and-Term Refinance

## Eligible assets

- Multifamily
- Office
- Retail
- Industrial
- Mixed-use
- Self-storage
- Cold storage
- Hotels
- Motels
- Data centers

## Underwriting guidelines

- Maximum loan amount: $15 million
- Maximum LTV: 75%
- Minimum FICO: 680
- Minimum DSCR: 1.15x
- Occupied commercial real estate only
- Closing in as little as 30 days
- Commercial financing is available in 48 states. Washington, DC is unavailable. Check the property's state before proceeding.
- All property types are subject to underwriting.

## Which program facts apply to this request? (as of 2026-10-08)

| Fact | Public guideline |
| --- | --- |
| Loan amount | $100,000 to $15,000,000 |
| Program condition | Maximum loan amount: $15 million |
| Program condition | Maximum LTV: 75% |
| Program condition | Minimum FICO: 680 |
| Program condition | Minimum DSCR: 1.15x |
| Program condition | Occupied commercial real estate only |
| Program condition | Closing in as little as 30 days |
| Program condition | Commercial financing is available in 48 states. Washington, DC is unavailable. Check the property's state before proceeding. |
| Program condition | All property types are subject to underwriting. |

- These are public guidelines, not a loan commitment. Final terms depend on underwriting.

## FAQs

**Q: Are bank loans always cheaper?**

No institution-wide claim is useful for your deal. Compare complete written terms, fees and conditions for the same request; RPC does not publish a rate comparison on this page.

**Q: Does RPC's conventional program remove underwriting?**

No. Occupied CRE, minimum 680 FICO, minimum 1.15x DSCR, supported value and completed documents still apply.

**Q: Can a bank also offer SBA financing?**

Yes. SBA financing and conventional commercial loans are different programs, rather than competing labels for bank and nonbank institutions. Owner occupancy and business purpose help determine the appropriate path.

## Related

- [Commercial Purchase & Rate-and-Term Refinance](https://riversidepark.capital/commercial-real-estate-loans)
- [Apply for financing](https://riversidepark.capital/apply)
- [Submit a deal as a broker](https://riversidepark.capital/partners)
- [SBA financing](https://riversidepark.capital/sba-loans)

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Source: Riverside Park Capital - https://riversidepark.capital/conventional-commercial-lender-vs-bank