Current 504 Interest Rates:

Interest rates tied to the 504 portion of the loan are set once a month with the sale of a bond on the New York market. These rates are fully amortized over the life of the loan.

Understanding the SBA 504 Interest Rate

20 Year SBA 504 Fixed Interest Rate = 4.839 %

A twenty-year bond pool funded on January 11th 2012 and included 470 commercial real estate loans to small businesses throughout the country.

10 Year SBA 504 Fixed Interest Rate = 4.049 %

A ten-year bond pool, which only funds in odd numbered months, also funded on January 11th 2012 and included 44 loans to small businesses for capital equipment or commercial real estate.

This graph plots the SBA 504 10-year and 20-year rates against the 10-year Treasury and Prime rates. The rate quoted above, and the purple line on the chart below, reflects the interest rate applicable for newly approved SBA 504 loans -- a fee component included in the interest rate increased for loans approved on or after October 1st, 2011. (The fees attached to a particular SBA 504 loan follow the loan approval date rather than the funding date.)