How We Review a Market for CRE Lending
Underwriting considers market conditions alongside the property and the sponsor. This guide lists the questions worth answering about a market before you apply. It is not a ranking of metros, and it does not change the credit box.
Key loan facts
- Loan amount
- From $100,000; up to $5,000,000 for commercial purchase and rate-and-term refinance, up to $5,000,000 for other programs
- Loan type
- Commercial Real Estate
- Eligible properties
- Multifamily (5+ units), Mixed-use, Retail, Office, Industrial and warehouse, Self-storage, Cold storage, Hotels and motels, Data centers
- Minimum DSCR
- up to 75% LTV, DSCR 1.15x minimum, up to $5,000,000 (cash-out up to $5,000,000)
Commercial purchase and rate-and-term refinance: up to $5 million. Commercial cash-out: up to $5 million. Residential DSCR: up to $5 million. Fix & flip: up to $5 million. Construction: up to $5 million. SBA loan limits are separate from total project financing. Not eligible: owner-occupied residential. Limits vary by program, property and deal, and we confirm them for each deal.
Lending Guide
The market questions behind a commercial loan
A lender wants to know that the property's income holds up where it sits. Bring evidence for rents, occupancy, demand, new supply, operating costs and comparable sales in the submarket, not just the metro.
- Where it fits
- Most useful for multifamily, office, retail, industrial, mixed-use, self-storage, cold storage, hotels, motels and data centers, all subject to underwriting. Property level detail matters more than a metro label.
- Illustrative example
- Illustrative: a retail center with several leases expiring next year. Useful evidence is the rent on comparable leases nearby, the vacancy at competing centers, and the sponsor's plan to re-lease the space.
- Initial fit check
- Before you apply, write one line each for rents, occupancy, demand drivers, new supply, operating costs and comparable sales, with a source for each.
Have those answers? Start an application.
Lending Guide
Program Details
Eligible Asset Types
- Multifamily (5+ units)
- Mixed-use
- Retail
- Office
- Industrial and warehouse
- Self-storage
- Cold storage
- Hotels and motels
- Data centers
Underwriting Guidelines
- Commercial financing is available in 48 states, not in North Dakota, South Dakota and Washington, DC.
- Availability also depends on the property and program, and we confirm it for each deal
- Commercial: up to 75% LTV, DSCR 1.15x minimum, up to $5,000,000 (cash-out up to $5,000,000)
Who This Is For
- Sponsors preparing a market summary for a commercial loan
Who This Is Not For
- Anyone looking for a ranking of markets
Frequently Asked Questions
Ready to start a loan request?
Subject to underwriting, collateral review, borrower qualification, and lender approval. Not a commitment to lend.