Bay Area Development Company finance commercial real estate
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Interest Rates

Low fixed rates are one of the features that set 504 financing apart from the field.

All 504 loans are funded each month in a single loan pool of SBA guaranteed securities. It is the combination of the economies of scale from the loan pool size of hundreds of millions of dollars, and the SBA guaranty that combine to give 504 borrowers the best long term fixed rates available. That’s why many lenders refer to 504 as “The Small Business’ Window to Wall Street”. With 504, small and mid-sized companies get all the benefits of large scale corporate capital markets.

Over 95% of 504 loans are twenty year fixed rate real estate loans. The interest rate you see in the left hand margin of our webpage is for the regular 20 year fixed rate 504 loans. However, fixed rate 504 loans can also be issued with a fully amortizing term of 10 years. These loans are typically made for machinery and equipment and carry interest rates that are typically .5% to .75% lower than the 20 year fixed rate. Pools of 10 year 504 loans are issued every other month and are subject to the same type of market and economic factors as their 20 year counterparts.

Whether the loan term is 10 years or 20 years, 504 loans are funded from the same loan pools each month, which means all 504 loans funded in a given month carry identical interest rates. Click here to see a printable chart of 504 loan rates compared to conventional loan rates for the last 15 years.

504 interest rates and terms are identical for each of the two types (10 and 20 year)  of 504 loans, but not all 504 lenders are identical.  Bay Area Development has consistently delivered the highest quality lending, personal service and performance for over 30 years.  We will always quote realistic rates, provide full disclosure of terms and conditions, and provide the most reliable and responsive service to our clients.

Monthly Rates Delivered To You Instantly

A new 504 rate is established once each month. If you would like us to e-mail you the new 504 rate each month, as soon as it is established, just fill in the following information:


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1801 Oakland BLVD, Suite 100 • Walnut Creek, CA 94596 • PHONE (925) 926-1020 • (888) 504-0504