Commercial Mortgage Payment Calculator
Calculate monthly payments on a commercial real estate loan. See principal, interest, and total cost over the life of the loan.
✓ P&I payment breakdown
✓ Supports balloon payment terms
✓ Total interest over loan life
Commercial property loan calculator
DSCR, LTV, monthly payment, and amortization schedule.
$
%
= $375,000.00
%
Balloon due at year 10
$
Used for DSCR calculation only.
Monthly payment
$7,674.48
Loan amount: $1,125,000.00
DSCR
1.30x
LTV
75.0%
Annual debt service
$92,093.80
Balloon balance
$970,991.44
Commercial Mortgage Payments Explained
Commercial mortgages differ from residential loans in several key ways: shorter terms (5–20 years vs. 30), higher rates, and often a balloon payment at the end of the term even though payments are calculated on a longer amortization schedule.
Typical Commercial Loan Terms
| Loan Type | Term | Amortization | Rate Range |
|---|---|---|---|
| Conventional CRE | 5–10 yr | 20–25 yr | 7–9% |
| SBA 504 | 10–25 yr | Full term | 6–7.5% |
| SBA 7(a) | Up to 25 yr | Full term | 7–8.5% |
| Bridge Loan | 6–36 mo | IO or partial | 8–12% |
Example: $500,000 Commercial Mortgage
Loan: $500,000 at 7.5%, 25-year amortization
Monthly P&I: ~$3,693
Total interest (25 yr): ~$607,900
Frequently Asked Questions
How are commercial mortgage payments calculated?\u25BE
Using the standard amortization formula. Many commercial loans also have balloon payments at 5-10 years.
What is a typical commercial mortgage rate?\u25BE
Typically 6.5% to 9% depending on property type, borrower strength, LTV, and loan term.