SBA Loan Rates 2025Current Interest Rates
See today's SBA loan interest rates for 7(a), 504, and Express loans. Compare rates, understand pricing factors, and find the best deals.
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Current SBA Loan Interest Rates 2025
Today's rates based on prime rate of 7.50% (effective January 2025)
SBA 7(a) Loan Rates
Rate Structure:
Key Features:
- Variable rates tied to prime
- Lower margins for larger loans
- Rates reset quarterly
- Additional fees may apply
SBA 504 Loan Rates
Rate Structure:
Key Features:
- Fixed rates on SBA portion
- 20-25 year terms available
- Lower blended rates
- Prepayment penalties may apply
SBA Express Loan Rates
Rate Structure:
Key Features:
- Higher rates for speed
- 36-hour SBA decision
- Less documentation required
- Lower SBA guarantee (50%)
What Affects Your SBA Loan Rate?
Key factors that determine your interest rate and how to optimize them
Credit Score
High ImpactPersonal credit scores 720+ get best rates. Scores below 650 face higher margins.
Optimization Tips:
- Check credit 6 months before applying
- Pay down credit card balances
- Don't close old accounts
Loan Amount
High ImpactLarger loans get lower rate margins. Loans over $350K have the best pricing.
Optimization Tips:
- Consider borrowing slightly more if close to threshold
- Combine multiple needs into one loan
Loan Term
Medium ImpactShorter terms may get slightly better rates but higher monthly payments.
Optimization Tips:
- Balance rate savings vs cash flow needs
- Consider 10-year terms for equipment
Collateral
Medium ImpactStrong collateral can reduce rates by 0.25% to 0.75%.
Optimization Tips:
- Real estate provides best collateral
- Equipment values depreciate quickly
Cash Flow
High ImpactStrong debt service coverage (1.25x+) improves rate negotiations.
Optimization Tips:
- Improve profitability before applying
- Time application after strong quarters
Industry Risk
Medium ImpactStable industries get better rates than volatile or declining sectors.
Optimization Tips:
- Highlight industry stability in application
- Show recession-resistant revenue
SBA Loan Rate History
Recent rate trends to help you time your application
| Period | Prime Rate | SBA 7(a) Range | SBA 504 Range |
|---|---|---|---|
| Q4 2024 | 7.50% | 9.25% - 14.25% | 5.5% - 7.5% |
| Q3 2024 | 7.50% | 9.25% - 14.25% | 5.8% - 7.8% |
| Q2 2024 | 8.50% | 10.25% - 15.25% | 6.2% - 8.2% |
| Q1 2024 | 8.50% | 10.25% - 15.25% | 6.5% - 8.5% |
Rate Trend Analysis
Rates have stabilized in Q4 2024 after Federal Reserve policy changes. Current rates are expected to remain stable through early 2025, making it a good time to lock in financing.
SBA Loan Rates FAQ
What are current SBA loan rates for 2025?
SBA 7(a) rates range from 9.25% to 14.25% depending on loan size. SBA 504 debenture rates are 5.5% to 7.5% (fixed). SBA Express rates range from 11% to 16%. All rates are based on current prime rate of 7.50%.
How often do SBA loan rates change?
SBA 7(a) and Express loan rates can change quarterly with the prime rate. SBA 504 debenture rates are set monthly and remain fixed for the life of the loan once locked in.
What credit score do I need for the best SBA loan rates?
Credit scores of 720+ typically qualify for the best SBA loan rates. Scores of 680-719 get moderate pricing, while scores below 650 face higher rate margins and may require additional collateral.
Are SBA loan rates better than conventional business loan rates?
Yes, SBA loans typically offer rates 1-3% lower than conventional business loans due to the government guarantee. The longer terms also result in lower monthly payments.
Can I lock in my SBA loan rate?
SBA 504 loans offer rate locks on the debenture portion. SBA 7(a) and Express loans are typically variable rate, though some lenders may offer short-term rate locks during processing.
Calculate Your SBA Loan Payments at Current Rates
Use our free calculators with 2025 rates to estimate your monthly payments and total costs.