Question: Market rates for SBA loans with >50% real estate and a DSCR of ~1.25x (but a bad 2023!)?

searcher profile

September 11, 2025

by a searcher from The University of Chicago - Booth School of Business in Seattle, WA, USA

Hi all! I wanted to ask the community what average rates they have been getting quoted on deals with >50% real estate? The deal I'm analyzing would be ~60% real estate, has a DSCR of 1.25+ in 2022, 2024, 2025, and all projected years (with conservative assumptions), BUT in 2023 the company had a really bad year because there digital marketing vendor broke their site. I know it is a tricky question, but (assuming the deal could get funded), what rate would folks expect on a loan like this?
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commentor profile
Reply by a lender
from University of Southern California in Los Angeles, CA, USA
Hi Anon - I’d love to help you find the right SBA lender for this deal. We work with all the major SBA lenders. The bank pay us after your loan closes, so this is a 100% free service for you. Depending on the DSCR where the cashlfow is good, I think this deal can qualify for very good pricing (7.99% fixed). You can reach me here or directly at redacted You can also click here to schedule a meeting with me: https://calendly.com/tom-gosbaloans/30min. Look forward to chatting!
commentor profile
Reply by a lender
in Falmouth, MA, USA
It depends on how the DSCR is calculated, but the deal just barely clears the minimum. Even stretched over a 25-year term, that signals the capital stack is too aggressive or the asset is overvalued. Feel free to reach out at redacted I’d be happy to walk you through the range based on cash flow quality in 2024 and trailing twelve months 2025.
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