Commercial Property Loan Brisbane: A Simple Guide

Commercial Property Loans in Brisbane: A Simple Guide

A commercial property loan Brisbane lenders write works quite differently to a home loan. Deposits are larger, terms are shorter, and the quality of the tenant and lease can matter as much as the property itself.

Quick Summary

A commercial property loan usually needs a 25% to 35% deposit over a shorter term, and is assessed on the property, the lease and your capacity to repay.

Whether you are buying premises for your own business or adding a commercial asset to your portfolio, the rules change. This guide covers deposits, terms, what lenders assess and the costs to plan for.

A Loan For You structures commercial lending for Brisbane buyers and owner-occupiers - at no cost to you. Book a free commercial finance chat.

Key Highlights

Commercial lending usually requires a larger deposit than residential, commonly 25% to 35%.
Loan terms are shorter than a home loan, often three to fifteen years rather than thirty.
Rates are generally higher than residential lending, reflecting the added risk.
The tenant, the lease length and the remaining term all influence what a lender will offer.
Owner-occupiers buying their own premises are often viewed more favourably than passive investors.
Serviceability is assessed on rental income, business income, or both together.
GST can apply to commercial property transactions, unlike residential purchases.

Quick Summary

A commercial property loan Brisbane buyers take usually needs a 25% to 35% deposit, runs over a shorter term than a home loan, and is assessed on the property, the lease and your capacity to repay.

In commercial lending, the lease is half the deal. A strong tenant on a long lease can change what a lender will offer far more than the building itself.
Philip Jenkins, A Loan For You

Commercial vs Residential Lending

Factor	Commercial	Residential
Typical deposit	25% to 35%	5% to 20%
Loan term	Often 3 to 15 years	Up to 30 years
Interest rate	Generally higher	Generally lower
Key assessment	Property, lease and income	Borrower income
GST	Can apply	Does not apply
Valuation	More specialised	More standardised

Commercial Property Loan Brisbane: Deposit Required

Commercial lending is more conservative than residential. Lenders typically want you to contribute a larger share of the purchase price.

Standard commercial purchases commonly need 25% to 35%.
Owner-occupiers with a strong trading history may access higher lending.
Specialised properties usually require a larger contribution again.

Plan for the deposit plus transfer duty and costs, since these are not usually financed on a commercial purchase.

Why the Lease Matters So Much

For an investment purchase, the lender is effectively lending against the income the property produces. That makes the lease central to the assessment.

The strength and track record of the tenant.
How long the lease has left to run.
Whether there are options to renew, and on what terms.
How easily the space could be re-let if the tenant left.

A quality tenant on a long remaining lease can improve both your borrowing capacity and your pricing. A short lease or a vacant property does the opposite.

Owner-Occupier vs Investor

Buying premises for your own business is assessed differently to buying a tenanted investment, and often more favourably.

Owner-occupiers are assessed on their business trading performance.
Investors are assessed largely on the lease and rental income.
Owner-occupiers may access higher lending against the property value.

Many business owners buy their own premises to replace rent with a repayment that builds equity, which is a common driver for a commercial property loan Brisbane application.

Commercial Property Loan Brisbane Terms and Structure

Commercial loans are not thirty year set-and-forget products. They are usually written for a shorter period and reviewed at the end.

Terms commonly run from three to fifteen years.
Interest only periods are more readily available than on home loans.
The loan may be reviewed or renewed rather than simply running to term.

Because the term is shorter, plan your exit or refinance well before expiry rather than assuming an automatic rollover.

Property Types Lenders Prefer

Not all commercial property is treated equally. Standard, easily re-let space attracts the best terms, because the lender can see a clear path to recovering its position if something goes wrong.

Office, retail and industrial or warehouse space are generally well accepted.
Location and building quality strongly influence the valuation.
Specialised assets such as childcare, service stations or hotels are treated more cautiously.

Smaller strata suites can also be harder to finance than whole buildings, particularly in secondary locations where demand is thinner.

How Serviceability Is Assessed

Lenders want to see the loan repaid from a reliable source, and on a commercial deal that source can be one of two things.

For investors, the rental income the lease produces, with a margin applied.
For owner-occupiers, the trading performance of the business itself.
For some buyers, a combination of both, assessed together.

Lenders also apply a buffer above the actual rate, so the deal must still work if rates move against you during the term.

This is why up-to-date financials and clean bank statements matter as much on a commercial application as the property itself.

Costs to Budget For

Upfront costs on a commercial purchase are higher than most buyers expect, so build them into your numbers early.

Transfer duty at full rates, with no concessions available.
A commercial valuation, which costs more than a residential one.
Legal fees, which are usually higher given lease reviews.
Ongoing outgoings, which vary depending on the lease terms.

GST treatment differs on commercial property and can be significant. Confirm the position with your accountant before you sign anything.

Funding the Deposit

Many buyers fund a commercial deposit from equity rather than cash, particularly business owners who already hold property.

Releasing equity from a residential property is a common approach.
Keeping the structures separate simplifies your accounting and reporting.
Your borrowing capacity is still assessed, not just your equity.
A larger contribution generally improves both your approval odds and your rate.

Our guide to using equity to invest explains how usable equity is calculated.

Frequently Asked Questions

How much deposit do I need for a commercial property?

A commercial property loan Brisbane lenders write typically requires 25% to 35% of the purchase price. Owner-occupiers with strong trading history may access more, while specialised properties usually require a larger contribution.

How long are commercial loan terms?

Commonly three to fifteen years, rather than the thirty years typical of a home loan. The loan is often reviewed or renewed at the end of the term, so plan your refinance well before expiry.

Are commercial loan rates higher?

Generally yes, reflecting the additional risk and the more specialised nature of the security. Rates vary considerably with the property type, the lease, the deposit and whether you are an owner-occupier.

What do lenders look at on a commercial purchase?

The property type and location, the tenant and lease terms, your deposit, and your capacity to repay from rental or business income. For owner-occupiers, trading performance carries significant weight.

Can I buy premises for my own business?

Yes, and owner-occupiers are often assessed more favourably than passive investors. Many business owners buy to replace rent with a repayment that builds equity in an asset they control.

Does GST apply to commercial property?

It can, unlike residential property. The treatment depends on the transaction and whether particular concessions apply, so confirm the position with your accountant well before you sign a contract.

Can I use equity from my home?

Often yes. Releasing equity from a residential property is a common way to fund a commercial deposit. Your borrowing capacity is still assessed, so equity alone does not guarantee approval.

What property types are hardest to finance?

Specialised assets such as childcare centres, service stations, hotels and purpose-built facilities are treated more cautiously, because they are harder to re-let or resell. Expect larger deposits and stricter terms.

Talk to a Brisbane Commercial Finance Specialist

A commercial property loan Brisbane lenders approve depends on the property, the lease and your structure. A Loan For You compares lenders and packages the application properly.

Free, no-obligation commercial borrowing assessment.
Access to banks and non-bank commercial lenders.
Local Brisbane brokers serving Chermside, Redcliffe, North Lakes and beyond.

Book a Free Assessment

Reviewed and Verified

This guide was reviewed by Philip Jenkins, principal broker at A Loan For You (Credit Representative 365865). With almost 20 years arranging commercial and business lending for Brisbane clients, Philip keeps every point aligned with current lender criteria.

General information only, not tax or financial advice, and correct as at July 2026. Lender criteria and GST rules change - confirm your position with your accountant and read current guidance at business.gov.au before you act.