Today's Commercial Real Estate Loan Rates, July 2026

As of July 2026, CRE loan rates by source: CMBS conduit 5.60–7.10% (10-yr non-recourse), Agency Fannie/Freddie 5.25–6.75% (multifamily only), HUD 5.00–6.25% (multifamily 35-40 yr), bank portfolio 6.50–8.50% (recourse), life insurance co 5.75–7.50% (trophy assets), bridge 9.00–14.00% (transitional), SBA 504 5.50–6.50% (owner-occupied).

Lowest CRE rates July 2026 in order: HUD 223(f) multifamily 5.00–6.25% (35-40 yr term), Agency Fannie/Freddie multifamily 5.25–6.75%, SBA 504 CDC owner-occupied 5.50–6.50%, CMBS multifamily/industrial 5.50–6.30%, life co trophy 5.75–7.50%. Multifamily owners benefit from agency programs unavailable to other property types.

10-yr Treasury yield is 4.38% as of July 2026 (Federal Reserve H.15), down from 4.45% in early April. The 10-yr is the primary base rate for CMBS, life-co, and most fixed-rate CRE permanent debt. Spreads currently 100-275 bps over Treasury depending on lender source and property type.

Rates have been broadly stable through mid-2026, with the 10-yr Treasury near 4.38%. CMBS spreads steady at +78 bps AAA (Trepp). Stabilized CRE rates flat week-over-week. Forward curves imply 25-50 bps further compression possible through year-end if Fed signals rate cuts.

July 2026 typical pricing for $5M stabilized CRE: CMBS conduit 5.85-6.85% (10-yr fixed, non-recourse), bank portfolio 6.75-8.25% (recourse), life co 6.00-7.25% (trophy only). For $5M multifamily, agency Fannie/Freddie 5.50-6.50%. For $5M owner-occupied, SBA 504 blended 6.00-7.25%. Bridge for $5M transitional 9.00-11.00%.

CMBS is securitized, non-recourse, 10-yr fixed for $5M+ stabilized CRE, lowest rates with defeasance prepay. Bank portfolio is balance-sheet, typically recourse, 5-10 yr term, more flexible prepay, relationship-driven. Life insurance co is non-recourse, long-duration (10-20 yr) for trophy stabilized assets at low LTV, strict underwriting, lowest rates for top-quality deals.

Depends on lender source. Non-recourse: CMBS conduit, agency multifamily (Fannie/Freddie/HUD), life insurance company, most bridge for institutional sponsors. Recourse: typical bank portfolio loans, SBA 504, smaller community bank deals. All non-recourse loans carry standard 'bad-boy' carve-outs (fraud, environmental, misappropriation).

Max LTV varies by program: HUD 223(f) 85%, agency Fannie/Freddie multifamily 80%, SBA 504 (with 10% borrower equity) 90% effective, bank portfolio 65-75%, CMBS multifamily 75% / hotel 65% / office 65%, life co 60-70%. Higher leverage achievable with mezzanine debt subordinate to senior.

Common CRE loan terms: CMBS 5/7/10-yr fixed (most are 10-yr), agency multifamily 5-30 yr, HUD 35-40 yr, bank portfolio 5-25 yr (often 5-yr balloon with 25-yr amort), life co 7-20 yr, bridge 12-36 mo IO, SBA 504 20-25 yr fixed CDC portion. Longer term = rate-lock benefit; shorter term = flexibility for refi-out strategies.

Standard CRE loan docs July 2026: T-12 + T-3 + Rent Roll + property OM, 3 years sponsor financial statements + tax returns + REO schedule, sponsor PFS + SREO, property appraisal, environmental Phase I (sometimes Phase II), zoning + survey + title commitment, organizational docs, insurance certificates, tenant rollover schedule + lease abstracts. CMBS adds property condition assessment + seismic in CA.