What is a commercial real estate loan?

Commercial real estate (CRE) loans finance the purchase or refinance of commercial property: office buildings, retail centers, warehouses, multifamily buildings (5+ units), and industrial. Terms typically run 5-25 years with a balloon at 5-10 years, amortized over 25-30 years. Lenders require 25-35% down, strong DSCR (1.25+), and assess the property's income-producing potential as primary security.