Loan Products
CRE Refinancing
Lower your rate or pull equity from existing properties
Owner-Occupied CRE Loan
Finance the building where your business operates
Cash-Out Refinance
Access equity for renovations or new acquisitions
Hard Money Takeout Refi
Exit hard money loans with permanent financing
Investment Property Loan
Acquire income-producing commercial properties
Tenant Improvement Financing
Fund fit-outs to attract quality tenants
Learn & Research
What Is a CRE Loan?
Fundamentals of commercial real estate financing
CRE Loan Requirements
Credit, DSCR, LTV, and documentation standards
CRE Loan Rates
Current rate ranges by property type and loan program
Construction Loans
Ground-up and renovation construction financing
Bridge Loans
Short-term capital while you secure permanent financing
DSCR Loans Guide
Qualify based on property income, not personal income
Document Checklist
Everything lenders require, organized by loan type
CRE Glossary
Definitions for every term lenders use
Fast Approval
Get Your CRE Rate in 24 Hours
Submit once, compare offers from 30+ lenders — no hard credit pull.
Start Application
Browse by Property Type
Office BuildingsRetail PropertiesIndustrialMedical OfficeWarehouseRestaurantHotel & HospitalitySelf-StorageMixed-UseLand & Development
Property Specialists
Not Sure Which Loan Fits Your Property?
Jason Kim and our CRE team have closed $200M+ across every property type.
Talk to a Specialist
SBA Loans
SBA Loans Overview
Government-backed financing with lower down payments
SBA 504 Loans
Long-term fixed-rate financing — 10% down
SBA 7(a) Loans
Flexible working capital and real estate financing
Other Loan Products
Term Loans
Lump-sum financing with fixed repayment schedules
Business Line of Credit
Draw funds as needed, pay interest only on what you use
Business Loan Refinancing
Lower your rate or consolidate existing debt
Equipment Financing
Purchase or lease business-critical equipment
SBA Certified
SBA 504 Rates as Low as 6.5%
Lock in long-term fixed rates for owner-occupied CRE with just 10% down.
Check SBA Eligibility
Free CRE Financial Tools
DSCR CalculatorCommercial MortgageLTV CalculatorCap Rate CalculatorNOI CalculatorSBA 504 CalculatorRefinance Break-EvenCash-Out EquityCash-on-Cash ReturnYield Maintenance
10 Free Tools
Run Your Numbers Before You Apply
DSCR, cap rate, LTV, NOI — every metric lenders look at, built for CRE.
View All Calculators
Articles & Guides
Article Hub
107 expert articles on CRE financing, strategy, and tips
Capital Insights
Market commentary and lending analysis from our team
Property Type Hub
Sector-specific financing guides for every property type
Reference & Support
CRE Hub
Commercial Real Estate Hub
FAQ
Quick answers to the most common borrower questions
How It Works
Our 3-step lender matching process explained
About BestLoanUSA
Our story, team, and commitment to CRE borrowers
Commercial Real Estate Hub
CRE Loan Hub
Commercial Real Estate Financing Hub with Property Types, Calculators, and Most of CRE Financing Options  
Download Free
⚠️ Penalty Estimator

Yield Maintenance Calculator

Estimate your prepayment penalty before refinancing or selling. Understand the true cost of exiting your commercial loan early and compare penalty structures.

1–5%
Typical Penalty Range
Rate Diff
Key Driver
Check First
Before Refi/Sale
📝

Yield Maintenance Calculator

Estimate your prepayment penalty cost

$
%
Your current loan interest rate
#
Months until loan maturity
%
Matching-maturity Treasury yield
Estimated Yield Maintenance Penalty
—
Penalty as % of Balance
—
Rate Differential
—
note rate minus treasury
Remaining Term
—
Monthly Interest Lost
—
to the lender per month

🔄 Penalty Structure Comparison

Yield Maintenance (this estimate)
Step-Down 5-4-3-2-1% (Year 1)
Flat 1% Prepayment
No Penalty (open prepay)$0
⚠️ Important: This is an estimate. Actual yield maintenance calculations vary by lender and loan document. Some use the greater of the YM formula or 1% of the balance. Defeasance (CMBS) is calculated differently. Always review your loan documents or consult your advisor for exact figures.

Need help navigating your prepayment penalty?Our advisors review your loan docs and calculate exact costs before you commit.

Get Expert Analysis →

Understanding Prepayment Penalties

Know what you owe before you refinance, sell, or pay off your CRE loan early.

What Is Yield Maintenance?

Yield maintenance compensates the lender for lost interest when you prepay. It calculates the present value of the difference between your note rate and the current Treasury rate for the remaining term. When rates drop, yield maintenance gets expensive because the rate gap widens.

When Is YM Cheapest?

Yield maintenance is cheapest when current Treasury rates are close to or above your note rate (the rate differential shrinks or disappears), or when you are very close to loan maturity (fewer months of lost interest). In a rising rate environment, YM penalties can be near zero.

YM vs Defeasance

Defeasance replaces your loan collateral with Treasury bonds instead of paying a penalty. Common in CMBS loans. It is often more expensive than yield maintenance because of transaction costs (legal, accountant, securities dealer fees). Defeasance can cost $50K–$150K+ in fees alone.

Step-Down vs Flat Penalties

Step-down penalties (e.g., 5-4-3-2-1%) decrease each year and are simpler to calculate. Flat penalties (1–3% of balance) are the most borrower-friendly. When negotiating new loans, the prepayment structure should be a key consideration — our advisors help you get the best terms.

Prepayment Penalty Structures Compared

Different loan types come with different prepayment terms.

StructureTypical CostCommon InBorrower Impact
Yield Maintenance1–5%+ of balanceBank CRE, Life CoExpensive when rates drop
DefeasanceVaries + $50K–$150K feesCMBS, ConduitComplex, can be very costly
Step-Down (5-4-3-2-1)1–5% decliningPortfolio, DSCRPredictable, decreasing
Flat Penalty1–3% of balanceBridge, Some CRESimple, fixed percentage
Lockout PeriodPrepay prohibitedCMBS (first 2–5yr)Cannot exit during lockout
Open Prepay$0Some Bridge, PortfolioMost borrower-friendly

Frequently Asked Questions

Common questions about yield maintenance and prepayment penalties.

Know the Cost Before You Exit

Our advisors calculate your exact prepayment penalty, analyze whether refinancing still makes financial sense, and negotiate better terms on your next loan.

Get Penalty Analysis →

CRE CALCULATORS

23 Professional-Grade Financial Tools

Run the same numbers your lender runs — before you apply. Every calculator is free, instant, and requires no signup.

Loan Analysis

Investment Returns

Refinance & Costs

Lease & Valuation

Open Calculator Hub →
Our 6 commitments to every borrower

Other lenders make promises.
We put them in writing.

Every commitment below exists because real borrowers got burned without it. We built BestLoanUSA to be the lender we wished existed.

$0
Hidden Fees
No surprise charges at closing. Every cost disclosed upfront in writing before you commit.
48hr
Pre-Qualification
Know where you stand within one business day — not weeks or months of silence.
1
Dedicated Advisor
One point of contact from application to closing. No handoffs, no ghosting, no runaround.
Day 1
Complete Checklist
Full document requirements on your first call. No mid-process surprises asking for "one more thing."
100%
Upfront Pricing
The rate and terms you're quoted are the rate and terms you close on. Period.
5 min
Application
One simple form, multiple lender options. Stop repeating yourself to dozens of brokers.
Start Your Free Application →

· No commitment required

Why borrowers switch to us

Five things your last lender should have done.

Borrowers don't come to us because lending is complicated. They come because someone else made it harder than it needed to be.

  1. 1
    48 hours to clarity. You'll know exactly where you stand — not wonder for months.
  2. 2
    Every dollar in writing. The rate and fees you see on day one are the ones you sign at closing.
  3. 3
    One advisor, start to finish. No handoffs. No vanishing acts. One person who knows your deal.
  4. 4
    Full checklist, first call. Every document listed upfront. No mid-process surprises.
  5. 5
    We earn when you close. No upfront fees. Our only incentive is your funded deal.
“I’ve spent over a decade watching good borrowers lose money to a broken process. BestLoanUSA exists so that stops happening.”
JK
Jason Kim
Managing Director, Commercial Lending
See the difference yourself →