May 2024 SBA 504 Interest Rates
The May 2024 SBA 504 debenture pricing was competed on May 9, 2024.
25 Year Term 6.55%
20 Year Term 6.65%
10 Year Term 6.89%
The SBA offers a 504 Loan with a 25-year maturity for the acquisition of owner-occupied commercial real estate and related costs. This is in addition to the 10 and 20 year loans currently available in the 504 Loan Program. Loans are typically eligible for up to 90% financing of project costs. Rates include monthly servicing fees to CDC, SBA, and central servicing agent; based on SBA FY24 fees. SBA 504 refi rates are approximately 3 basis points higher than debenture pricing noted above.
The SomerCor team was in Washington, DC, this week for the National Association of Development Companies (NADCO) spring summit. This annual meeting is focused on advocacy for the SBA 504 loan program. In addition to meeting with Members of Congress, we heard from U.S. Small Business Administration leadership.
This year, SomerCor President & CEO, Manny Flores, had the honor of interviewing SBA Administrator Guzman at the conference. We appreciate the Administrator’s willingness to partner with the CDC industry to make the SBA 504 even more accessible and impactful for small businesses.
When most people envision small businesses, they typically imagine mom-and-pop shops. But in reality, the Small Business Administration (SBA) 504 loan extends financing to startups through mid-size companies. It is also the SBA’s premier economic development initiative – empowering entrepreneurs to expand their businesses, create job opportunities, and contribute to local economic development.
Check out SomerCor’s latest submission to the Daily Herald to learn more. It’s time to think big about the SBA 504 loan program and its wider economic impact.
