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SBA 504 Interest Rate Hits All-Time Low . . . AGAIN.
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The 20-year fixed interest rate on SBA 504 loan projects has hit a new record low . . . and this is the fourth time it’s happened in the last six months. I feel a bit like a broken record – – every time I turn around I’m blogging about this, emailing someone about it, or talking to another financial news outlet about it – – but this really is a HUGE deal. This is the first time the 20-year fixed interest rate on SBA 504 loans has dropped below 5.00% — to 4.86%.

I know you’ve heard this from me time and again, but RIGHT NOW really is the best time to purchase commercial property! There’s no telling when (or IF) you’ll ever have an opportunity like this to get an interest rate this low fixed for 20 years – – it’s just unheard of.

The unfortunate part of all this good news is that it may really go unheard – – you’re still not likely to see a report about it on the nightly news. They’re still pelting us with details about the latest unemployment figures. I firmly believe that acting as a contrarian is a key to success, and I encourage you to share this little bit of positivity with others who need to hear it.

Other lenders may still be playing it safe and refusing to help owners of small and mid-sized businesses get the financing they need, but Mercantile Capital Corporation isn’t. We’re still closing loans, allowing brilliant entrepreneurs to capitalize on low down payments and ridiculously low interest rates. Commercial property ownership is one of the best long-term investments for a worry-free retirement. Shouldn’t you or someone you know be looking into it?

What are your thoughts about our economic recovery? What ideas or concerns do you have? Leave a comment below and let me know what you think . . .

7 Comments

  1. Gene Josephs CEO GSS says:

    Chris, —I may have a good lead for financing of owner occupied building approx $1 mil here in Orlando—will let you know—

  2. Dennis Hiffman says:

    I am a 1/3 owner of a small bar/resturant in downtown Chicago. My son and I want to buy out our operating partner and one other investor, which will give us 95% ownership. We have owned this operation for 27yrs and it is in need of some improvements, including the operating partner who is tired and worn out. We would be looking for 3 to 500,000 dollars to complete the buyout and to execute the going forward business plan.
    I would be interested in seeing if there is a program that would fit this situation.

  3. Chip Swann says:

    Thats great. Now get the government to change the rules so I could refinance the building i am in.

  4. Chris Hurn says:

    Working on it, Chip. 🙂

  5. Braudis Lee Pegram says:

    Yes Chris, I saw it coming: http://blog.kohresources.com/record-low-interest-rate-of-4-86/

    Have a 1MM deal for you in NJ; but I would really like to see you start lending in MI. Talked to a CDC in MI who was under the impression you did.

  6. Buddy McClelland says:

    Looking to expand and move from my 8 acre farm place into a commercial building. Not sure I can afford to do it and yet feel with opportunities like they are I may not have as good a chance to aquire property. Any suggestions?

  7. OSCAR says:

    NEED ABOUT 1,500,000 TO PURCHASE A BUILDING THAT IS BEING USED BY MY CLIENT AS A DAYCARE CENTER WITH RENT OF 7300.00 PER MONTH. ARE THE ONWERS ALLOWED TO HOLD A 2ND MORTGAGE UNDER THIS PROGRAM?

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