--- title: Commercial Loan Rates - Know Them Every Day - Exactly - Without Calling Anyone description: You don't need to call your bank to get their current commercial loan rate. Just use this formula. image: https://info.c-loans.com/hubfs/Interest%20rates-1.jpg --- [![c-loans-logo-2025](https://info.c-loans.com/hs-fs/hubfs/images/c-loans-logo-2025.png?width=183&height=86&name=c-loans-logo-2025.png)](https://c-loans.com) [Terms of Use](https://www.c-loans.com/terms-of-use) | [Disclaimer](https://www.c-loans.com/disclaimer) | [Blog](https://info.c-loans.com/) # Commercial Loans and Fun Blog ## [Commercial Loan Rates - Know Them Every Day - Exactly - Without Calling Anyone](https://info.c-loans.com/commercial-loan-rates-know-them-every-day-exactly-without-calling-anyone) Posted by [George Blackburne](https://info.c-loans.com/author/george-blackburne) on Sun, Dec 30, 2018 - [Tweet](https://twitter.com/share) ![Interest rates-1](https://info.c-loans.com/hs-fs/hubfs/Interest%20rates-1.jpg?width=275&name=Interest%20rates-1.jpg)By the end of this training article, you will know what banks are quoting on commercial loans on office buildings, retail buildings, shopping centers, and industrial buildings; i.e., what commercial banks are quoting on permanent loans. You will know these commercial loan rates *exactly*, and you will know these commercial loan rates without the need to call anyone.  As a silly character in the 1950's-era sitcom, *Dobie Gillis*, used to say, "Good stuff, Maynard."   [![Don't Be Afraid of First Trust Deeds We've Sold Them For Almost 40 Years](https://no-cache.hubspot.com/cta/default/37671/03fbac0f-e3ed-44d0-a68e-8e8a73b1251d.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/03fbac0f-e3ed-44d0-a68e-8e8a73b1251d)   ![Sitting](https://info.c-loans.com/hs-fs/hubfs/Sitting.png?width=439&name=Sitting.png)   [![Apply For a Commercial Loan to Blackburne & Sons](https://no-cache.hubspot.com/cta/default/37671/34e9010d-6f3b-4979-93c2-9e705da5a9fc.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/34e9010d-6f3b-4979-93c2-9e705da5a9fc)   But first I have a [reminder](https://info.c-loans.com/how-to-quote-a-commercial-loan):  **Commercial banks across the country quote almost the exact same commercial loan**, whether the bank is located in Bangor, Maine or in San Diego, California.  (Please read that last sentence again and embrace it!) That loan will be the current commercial loan rate for banks, fixed for the first five years, readjusted once at the beginning of year six to 2.75% to 3.50% over five-year Treasuries, 1 point, 25-years amortized, ten years due, and a declining prepayment penalty, commonly 5-4-3-2-1-open- 5-4-3-2-1.  ***Open*** means no prepayment penalty.  If the property is older than 40 years, most banks will cut the amortization down to 20 years.   [![Submit Your Loan to 750 Commercial Lenders Using C-Loans.com.  It's Free!](https://no-cache.hubspot.com/cta/default/37671/9f0b2bed-fb9b-455d-b8be-17d8f7960a2a.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/9f0b2bed-fb9b-455d-b8be-17d8f7960a2a)   ![Dumb Belief](https://info.c-loans.com/hs-fs/hubfs/Dumb%20Belief.jpg?width=470&name=Dumb%20Belief.jpg)   [![Free List of 3,159 Commercial Lenders Sort By Your Own Criteria](https://no-cache.hubspot.com/cta/default/37671/edc33fe8-9d87-477b-bf2f-07a33d3d2d24.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/edc33fe8-9d87-477b-bf2f-07a33d3d2d24)   Okay, so what is the current commercial loan rate?  You compute it first looking up 5-year Treasuries.  Just go to Google and type, "5-year Treasuries."  *Presto-chango!*  You have your answer.  As of December 27, 2018, five-year (constant maturity) Treasuries are 2.60%. And now for the magician's trick.  Drum roll please, Maestro.  **Just add 2.75% to 3.50% to five-year Treasuries to get your answer:**   And of December 27, 2018, banks across the country are quoting 5.35% to 6.10% for commercial permanent loans.   [![Get Four Free Commercial  Training Courses](https://no-cache.hubspot.com/cta/default/37671/ac9109b7-8c62-4adb-899d-c1ee8387cf5e.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/ac9109b7-8c62-4adb-899d-c1ee8387cf5e)   ![Settle In](https://info.c-loans.com/hs-fs/hubfs/Settle%20In.png?width=432&name=Settle%20In.png)   [![Nine-Hour Video Training Course How to Broker Commercial Loans](https://no-cache.hubspot.com/cta/default/37671/2fa994cb-f6ac-4671-821f-b4bd48cb5f1f.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/2fa994cb-f6ac-4671-821f-b4bd48cb5f1f)   So when do you get 5.35% and when do you get 6.10%?  Its depends on the beauty of the property, the location of the property, the loan-to-value ratio, the liquidity of the borrower (**banks love-love-love liquidity**), and the net worth and credit of the borrower. Basically, Ginger gets 5.35%.  Mary Ann gets 6.10%.  It's really this simple.   [![Banks and Credit Unions: Get 200 Free SBA Loan Leads](https://no-cache.hubspot.com/cta/default/37671/ac84f910-4343-4296-ac20-d048ecdbed3b.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/ac84f910-4343-4296-ac20-d048ecdbed3b)   ![Cake](https://info.c-loans.com/hs-fs/hubfs/Cake.jpg?width=513&name=Cake.jpg)   [![Dirt Cheap Commercial Leads Choose Type, Size, States, Location](https://no-cache.hubspot.com/cta/default/37671/5cb4ca00-2cc5-4cbd-a3f7-6e2d89bc5bf9.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/5cb4ca00-2cc5-4cbd-a3f7-6e2d89bc5bf9)   What about apartments?  Typically apartment loans, which are always the most coveted kind of income property loan, are 20 to 30 basis points cheaper.  You will recall that a ***basis point*** is just 1/100th of one percent.  Twenty-five basis points is one-quarter of one percent.  Therefore, apartment loans are around one-quarter of one percent cheaper than commercial loans.   [![Earn 11% to 12% Interest Since 1980](https://no-cache.hubspot.com/cta/default/37671/80333ce3-b6a5-4bf7-9687-52c156ed5457.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/80333ce3-b6a5-4bf7-9687-52c156ed5457)   ![Euripides](https://info.c-loans.com/hs-fs/hubfs/Euripides.jpg?width=453&name=Euripides.jpg)   I had to look it up too.  Euripides wrote scores of tragedies in the days of ancient Athens.   [![Subscribe to the Commercial Loans and Fun Blog](https://no-cache.hubspot.com/cta/default/37671/a3bd32c3-bff3-4066-9ca8-2ec475fb5bbc.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/a3bd32c3-bff3-4066-9ca8-2ec475fb5bbc)     Topics: [How to compute commercial loan rates](https://info.c-loans.com/topic/how-to-compute-commercial-loan-rates) ### George Blackburne III Owner of C-Loans, Inc. ![George Blackburne III C-Loans Owner](https://info.c-loans.com/hs-fs/hubfs/George%20Head%20Shot%20Small%205%20by%207%20copy.jpg?width=158&name=George%20Head%20Shot%20Small%205%20by%207%20copy.jpg) ### Subscribe via E-mail ### Connect with C-Loans ## [![Get the Latest Scoop on C-Loans Inc.](https://no-cache.hubspot.com/cta/default/37671/bacfb58b-143e-40d7-b126-33c182b5b90b.png)](https://cta-redirect.hubspot.com/cta/redirect/37671/bacfb58b-143e-40d7-b126-33c182b5b90b) C-Loans.com® is sponsored by  C-Loans, Inc. — For more information, contact Tom Blackburne 555 University Ave., Suite 150, Sacramento, CA 95825 Telephone: (916) 338-3232 x 317 * Tom Blackburne in Indiana: (574) 210-6686 * Fax: (916) 338-2328 Real Estate Broker -- California Department of Real Estate -- License Number 01330173 Arizona Dept. of Financial Institutions – License Number 0909472 The Florida Mortgage Brokers License Number: 0708758 [Read our many client Success Stories](https://c-loans.com/mortgage-brokers-overview/success-stories/) » © 2025 C-Loans, Inc. 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