Owner-Occupied CRE Financing for DFW Business Owners
Buy the building you work in. 10% down and 20-year fixed rates for DFW business owners transitioning from tenant to owner.
- DFW business owners buying their first building
- Tenants buying the building they currently lease
- Manufacturers building a new owner-used facility
- Professional services (medical, dental, legal, accounting)
Owner-Occupied Commercial Loans, at a glance
- Loan size
- $250K – $15M
- Amortization
- 25 years
- Term
- 10, 20, 25 years
- LTV
- Up to 90% combined (SBA 504)
- Rate
- Fixed rates available on SBA 504 CDC portion
- Typical close
- 45–90 days
If you are currently leasing commercial space in DFW, chances are you are paying more in rent than the monthly payment on a mortgage for a building you could own. The math on owner-occupied commercial real estate in Dallas-Fort Worth has been compelling for years: rents keep climbing, property values have appreciated steadily, and SBA financing lets you buy a building with as little as 10% down. The transition from tenant to owner is one of the highest-ROI capital decisions a small business owner can make.
We specialize in the full owner-occupied capital stack: SBA 504 for deals above $1.5M where the 20/25-year fixed-rate CDC portion delivers maximum rate certainty, SBA 7(a) for deals where you need working capital or equipment financed alongside the real estate, and conventional owner-occupied mortgages for borrowers who want to avoid SBA paperwork and can bring a larger down payment. Every deal gets underwritten across all three products so the borrower can make a real decision, not a default.
The rent vs. buy math in DFW
The threshold where buying beats renting depends on the specific lease rate and building price in a given submarket, but in most DFW office and flex markets the monthly mortgage payment on a 10%-down SBA 504 loan is 15%–25% below what the same business would pay in market rent. Over a 10-year hold period the equity building from principal paydown alone, before any appreciation, typically exceeds the cumulative difference between the lease and the down payment.
The second-order benefit is even bigger: owning real estate lets the business owner separate the operating company from the real estate and capture appreciation in a different entity with different tax treatment. This is the single most common wealth-building move for DFW business owners, and it all starts with a building purchase.
Property types that qualify
Almost any commercial building in DFW qualifies for owner-occupied financing as long as the borrower's business will occupy at least 51% of the usable square footage (60% for ground-up construction). This includes industrial/flex buildings, office buildings, medical and professional buildings, retail storefronts where the business operates, warehouses, restaurants, and specialty facilities.
The remaining 49% can be leased to third-party tenants, generating offsetting rental income. This is a common structure: buy a 10,000 SF flex building, occupy 5,500 SF with your operating company, and lease the remaining 4,500 SF to a complementary tenant who helps pay down your mortgage.
Ready to explore Owner-Occupied options?
Get a QuoteOwner-Occupied Commercial Loans, FAQ
How much do I need down to buy a commercial building in DFW?
10% down through SBA 504 or 7(a), assuming the property qualifies and your business cash flow supports the debt. Conventional owner-occupied loans typically require 20%–25% down. Special-use properties (hotels, gas stations, car washes) may require 15%–20% even under SBA.
Can I lease part of my owner-occupied building to a tenant?
Yes. You only need to occupy 51% of the usable square footage. The remaining 49% can be leased to third-party tenants, and that rental income actually helps your loan application because it offsets your effective monthly payment.
Is SBA 504 or 7(a) better for owner-occupied in DFW?
504 is usually better above $1.5M for the fixed-rate CDC portion. 7(a) is usually better below $1.5M or when you need working capital and equipment financed alongside the real estate in a single loan. We run both structures on every file.
Can I get SBA financing on ground-up construction of my building?
Yes. SBA 504 ground-up construction is a common DFW use case. The 60% occupancy requirement applies (vs. 51% for existing buildings). The construction period is typically bank-financed, and the 504 debenture funds at completion.
What credit score do I need for an owner-occupied commercial loan?
Most SBA lenders want personal credit above 680. Some will go to 660. Below that, expect a more thorough review of the credit explanation and potentially a compensating factor like additional equity. Conventional owner-occupied lenders want 700+ on most deals.
Other loan programs
SBA
SBA Loans
Government-guaranteed financing for owner-users buying, building, or expanding commercial property across North Texas.
- Loan size
- $150K → $15M
- Close
- 45–75 days
SBA 504
SBA 504 Loans
The only commercial loan product in the country that gives owner-occupiers a 20- or 25-year fixed rate on 40% of their purchase.
- Loan size
- $500K → $15M
- Close
- 60–90 days
SBA 7(a)
SBA 7(a) Loans
The most flexible small-business loan in the country, real estate, acquisition, equipment, and working capital in a single package.
- Loan size
- $50K → $5M
- Close
- 45–60 days with Preferred Lender
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