Commercial Loans Amortize Differently

Unlike a 30-year home mortgage, commercial real estate loans pair a long amortization schedule — often 20 to 30 years — with a much shorter maturity, usually 5 to 15 years. Your monthly payment is set by the amortization period, but the entire remaining balance comes due as a balloon at maturity unless you refinance. That means the payment number alone understates the real obligation: you also need to plan for refinancing risk when rates have moved, and for the property taxes and insurance that lenders often require you to carry. This calculator shows both the amortization path and the balloon that awaits at your loan's maturity date.