Buy vs. Lease

Is buying or leasing a commercial building the right decision for you and your business?

Ask yourself the following questions:

What are your business needs now (and later)?

  • Length of occupancy. How many years do I expect to occupy my commercial building?
  • Building look and geography. Do I need the building to look a specific way or be in a certain area?
  • Mounting uncertainty. How do I feel knowing there’s a chance my landlord won’t renew my lease? Or that my landlord could up my rent? How much of a disruption would be this cause?


What is your business’s financial situation and future?

  • Taking control now. Do you find yourself wondering why you’re paying someone else rent instead of investing in your own asset?
  • Affordability review. Do I have enough liquidity for the down payment (it’s just 10% with an SBA 504 real estate loan) and closing costs without stressing my day-to-day operations?
  • Retirement outlook. How do I feel about adding commercial real estate to my personal financial portfolio as part of my retirement plan?

Learn about the SBA 504

Top questions to ask if you’re considering purchasing commercial property

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Today’s Rates*

SBA 504

6.381 %

SBA 504

6.410 %

SBA 504

6.490 %

SBA 504

6.520 %

SBA 504

6.526 %

View SBA 504 Rate History
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FAQ: SBA 504

Get answers to how the SBA 504 loan is structured, timing, costs, how much space the company needs to occupy and more.

For the SBA 504 Rates: Includes fees to CDC, SBA, and central servicing agent; based on pricing published by NADCO. The SBA 504 rates listed above are effective February 8, 2024, and change monthly with each funding cycle.

Are you considering buying a building — Let’s talk!

As one of the nation’s leading SBA 504 lenders, you are in good hands when you work with loan experts.  With a deep knowledge of the loan they will help you navigate the process to get the funding you need.  The SBA 504 commercial real estate loan is fixed-rate, affordable financing that requires only 10 percent down. With this type of financing, you can enjoy stable monthly payments and the chance to build equity in your own investment.


The Power of Ownership

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"If you can get into a 504 and buy your building … now you’re investing in your own asset."

Chris Kuran, President, Waterstone Faucets