The minimum down payment for a Texas commercial loan ranges from 10% (SBA) to 25-35% (hard money and conventional). Here’s the full breakdown by loan type.
Down Payment Requirements by Loan Type
| Loan Type | Min Down Payment | Max LTV |
|---|---|---|
| SBA 7(a) | 10% | 90% |
| DSCR Loan | 20–25% | 75–80% |
| Stated Income | 25–30% | 70–75% |
| Hard Money | 25–35% | 65–75% |
| Bridge Loan | 20–30% | 70–80% |
| 30-Year Fixed | 25–30% | 70–75% |
How to Buy Commercial Property with Less Down
Several strategies let Texas investors reduce their out-of-pocket down payment:
- Seller second: Ask the seller to carry a second lien for part of the down payment
- Cross-collateralize: Use equity in another property to reduce down payment
- Partner equity: Bring in a capital partner who contributes the down payment in exchange for equity
- SBA 504: Some owner-occupied deals qualify for as little as 10% down
No Down Payment Commercial Loans — Are They Real?
100% financing is rare but possible in specific scenarios: cross-collateralization with a paid-off property, seller financing arrangements, or certain USDA business programs. Call us to discuss your situation — we’ve structured creative financing deals that others said couldn’t be done.
Call 877-895-3634 for a free down payment consultation.