Model your deal in seconds.
Monthly payment, balloon payoff, DSCR — for commercial real estate, hotel, multifamily, construction, and SBA loans. Supports interest-only periods and amortization periods longer than the maturity term.
Current market rates Live
For context only — your deal pricing depends on lender, asset class, sponsor, and structure.
As of
- Prime
- 6.75 %
- SOFR
- 3.63 %
- 3-Yr UST
- 4.10 %
- 5-Yr UST
- 4.17 %
- 10-Yr UST
- 4.43 %
Prime Rate (WSJ)
Base rate banks charge their most creditworthy customers; reference for LOCs + many small-balance commercial loans.
Source: FRED →SOFR
Secured Overnight Financing Rate — replaces LIBOR; reference for most floating-rate commercial real estate debt.
Source: FRED →3-Year Treasury Yield
Benchmark for short-term fixed-rate CRE bridge & mini-perm financing.
Source: FRED →5-Year Treasury Yield
Benchmark for 5-year fixed-rate CRE term loans; common SBA 504 pricing reference.
Source: FRED →10-Year Treasury Yield
Benchmark for 10-year CRE fixed-rate loans, CMBS, and most permanent commercial debt.
Source: FRED →Sources: CNBC (Treasury yields), NY Federal Reserve (SOFR), WSJ (Prime Rate). Auto-refreshed daily. Hover any tile for source link.
How commercial mortgages work
Most commercial real estate loans are structured as balloon loans: payments are calculated on a longer amortization schedule (often 25–30 years) but the loan matures earlier (typically 5–10 years), at which point the remaining principal balance — the balloon — is due in full.
The borrower's standard exit is either to (a) refinance into a new loan at maturity, (b) sell the property, or (c) pay off the balloon from accumulated capital. This is why a clean refinance plan matters more than the specific monthly payment for most CRE borrowers.
Interest-only periods
Many commercial loans include an initial interest-only period (1–10 years) before principal-and-interest payments begin. This lowers early cash-flow burden during lease-up, value-add execution, or stabilization. Note: the IO period doesn't reduce the balloon — principal isn't being paid down during IO.
DSCR — Debt Service Coverage Ratio
DSCR is the property's net operating income divided by annual debt service. Most lenders want 1.20–1.30 minimum; hotels and value-add deals often need 1.30–1.40. A DSCR below 1.0 means the property doesn't generate enough income to cover the loan payments.
From estimate to term sheet
This calculator gives a directional estimate. Real lender pricing depends on property type, sponsor experience, market, leverage, recourse, and current debt-market conditions. Submit your deal to Caplli and we'll match it against current lender appetite — most term sheets within 5–10 business days.