Commercial Property Loans Australia

In most cases, commercial property loans require a deposit of between 20% – 40% of the property value. However, the exact amount depends on your situation and the lender selected. For example, owner-occupiers can often access up to 80% LVR, meaning a deposit of as little as 20%, while investors typically need 30% – 40%. Additionally, premium property types such as medical centres can sometimes achieve higher LVRs with the right specialist lender from our panel of 60+ lenders.

It is also important to budget for costs beyond the deposit. Stamp duty, legal fees and valuations typically add another 5 to 6% of the purchase price. Therefore, for a $1M property, plan for $250,000 to $350,000 in total upfront capital. You can estimate your stamp duty using our commercial property stamp duty calculator. If you are short on deposit, we can also explore alternatives including using residential equity, bridging finance or vendor finance structures.

In addition to the property price itself, there are several upfront costs to plan for. These typically total 5 to 6% of the purchase price and include stamp duty — use our commercial property stamp duty calculator to estimate your amount — legal fees ($3,000 to $15,000), building inspection ($1,500 to $3,000), valuation ($2,000 to $5,000) and loan establishment fees (0.5 to 1% of the loan amount). As a general guide, therefore, budget approximately $50,000 to $90,000 in extra costs for a $1M property purchase.

What many people don’t realise, however, is that it is often possible to include some of these costs in your loan amount, provided you have sufficient equity. We always ensure our clients understand the full upfront cost picture before committing to a purchase, so there are no surprises at settlement.

As at April 2026, commercial property loan interest rates start from 6.05% p.a. for standard purchases. However, rates vary significantly depending on your property type, loan structure, location, lease quality, business cash flow and credit history. Consequently, two borrowers buying similar properties can end up with quite different rates, depending on how their application is structured and which lender is selected from our panel of 60+ lenders.

For a full breakdown by loan type and property type, see our commercial property loan interest rates page, which is reviewed monthly by Nadine Connell.

Generally speaking, commercial property loan approvals take 4 to 8 weeks from application to settlement, though the full range across our 60+ lender panel is 1 to 12 weeks depending on loan complexity. For instance, a straightforward owner-occupier purchase will typically move faster than a construction loan or development loan. A typical timeline looks like this: pre-qualification takes 1 to 2 weeks with complete documentation, formal approval takes 2 to 4 weeks after the property contract is signed, and settlement follows 4 to 6 weeks from contract exchange. In urgent situations, furthermore, some specialist lenders can move to settlement in 2 to 3 weeks using commercial bridging finance.

The single biggest factor affecting approval speed is documentation completeness. As a result, incomplete applications can extend timeframes by 2 to 4 weeks. Our process focuses on getting your documentation right from the start, which combined with our lender relationships typically means faster approvals than going direct to a bank.

Having your documentation ready upfront makes a significant difference to both your approval speed and your chances of success. In most cases, you will need two years of business financial statements (profit and loss, balance sheet and tax returns), recent BAS statements, a copy of the property contract of sale, a current lease agreement if the property has existing tenants, details of any existing loans and liabilities, and identification documents for all borrowers and guarantors.

For construction or development loans, you will additionally need council-approved plans, a fixed-price building contract and a builder’s licence. Furthermore, we help our clients prepare their documentation package correctly for each specific lender, which avoids the delays and rejections that come from incomplete or poorly structured applications. Contact us to get a full checklist for your specific loan type.

Yes, and in fact it is one of the most common ways Australian business owners and investors fund a commercial property deposit. If you have sufficient equity in your home or an investment property, therefore, we can structure a cash-out refinance or equity release to free up the deposit funds. The residential and commercial facilities are arranged as separate transactions, often with different lenders. Consequently, coordinating the sequencing and timing of both sides correctly is critical to ensuring your commercial purchase settles smoothly.

This type of dual structure is something we manage regularly for our clients. It is, however, one of the key reasons why using a specialist commercial finance broker matters — a residential broker cannot execute the commercial side, and a single bank will only show you their own products on both. Talk to us about whether your residential equity position supports the commercial deal you have in mind.

Commercial property in Australia can be purchased through a range of structures, including individual names, a company, a family trust, a unit trust, a partnership or a self-managed super fund (SMSF). However, the structure you choose significantly affects your tax position, asset protection, borrowing capacity and lender options. For example, some lenders are more comfortable with certain structures than others, and as a result the wrong structure can mean a worse rate or a declined application.

We therefore assess the right structure for your circumstances before approaching lenders, so your application is positioned correctly from the outset. For SMSF purchases specifically, see our SMSF commercial property loan page for a full guide. For complex structures, furthermore, we work alongside your accountant or solicitor to make sure everything is set up correctly before finance is arranged.