Property Type

Medical Office Loans for Healthcare Professionals.

From dental practices to outpatient surgical centers — finance your medical facility purchase or refinance with SBA, conventional, and specialized healthcare lending options.

90%
Max LTV (SBA)
5.5–8.5%
Rate Range
25 yr
Max Term
$500K–$15M
Loan Amounts
No credit impact SBA 504 specialists Healthcare lending experience No upfront fees
FACILITY TYPES

What Type of Medical Facility Are You Financing?

Healthcare real estate is recession-resistant and highly favored by lenders. Each facility type has unique financing considerations.

Medical Office Building (MOB)
Multi-tenant physician suites
Multi-specialty buildings housing physicians, therapists, and diagnostic labs. Often near hospitals. Strong tenant demand and low vacancy. Premium financing available for hospital-adjacent locations.
Dental / Veterinary Practice
Owner-occupied, specialized buildout
Single-practitioner or group practices with specialized plumbing, X-ray shielding, and exam rooms. SBA 504 is the most popular financing — 10% down with TI costs rolled into the loan.
Urgent Care / Surgical Center
Outpatient, high-revenue per sqft
Free-standing urgent care, ambulatory surgical centers (ASC), and specialty clinics. Higher buildout cost but strong revenue. Lenders evaluate both property and practice financials.
FINANCING OPTIONS

Loan Options for Medical Properties

Medical real estate is a lender favorite. SBA programs are especially strong for owner-occupied practices.

SBA 504
Best for owner-occupied medical, 10% down
Rate5.5–7.5% fixed
LTVUp to 90%
Term20–25 years
TI CostsRolled into loan

The #1 choice for dentists, doctors, and vets buying their own building. TI and equipment can be included in the total project cost.

SBA 7(a)
Flexible — real estate + equipment + working capital
RatePrime + 2.75%
LTVUp to 85%
Max Loan$5M
FlexibilityMulti-purpose proceeds

Combine real estate purchase, medical equipment, buildout, and working capital in one loan. Variable rate.

Conventional Bank
Fastest close for established practices
Rate6–8.5%
LTV70–80%
Term5–25 years
Close Speed30–45 days

Fewer forms and faster than SBA. Best for established practices with strong financials and 20–25% down.

DSCR / Investment
MOB investors, no personal docs
Rate7–9.5%
LTV65–75%
Term5–30 years
DSCR1.20x+

For investors buying multi-tenant MOBs as income properties. No tax returns needed. Based on property NOI.

KEY METRICS

What Lenders Evaluate for Medical Office Loans

Practice Revenue
2+ years history
Both personal and practice financials reviewed
DSCR
1.20x+ (global)
Practice income + property income combined
Credit Score
680+
Healthcare professionals often qualify easily
TI Budget
$60–$150/sf typical
Exam rooms, X-ray, plumbing, ADA compliance
Occupancy
51%+ for owner-occ
Remaining space can be leased to other providers
Down Payment
10–25%
10% with SBA 504 for owner-occupied
THE PROCESS

How Medical Office Financing Works

01

Define Your Needs

Buying an existing MOB, building new, or purchasing a condo unit in a medical plaza? Share property details, practice financials, and buildout scope.

02

Submit to BestLoanUSA

Single application covering property, practice, and personal financials. No hard credit pull at this stage.

03

Advisor Review with Jason

Jason evaluates whether SBA 504 (lowest down), SBA 7(a) (most flexible), or conventional (fastest) is the best path for your specific practice and property.

04

Lender Matching

We submit to lenders experienced in medical real estate. You receive competing term sheets with rates, TI coverage, and equipment financing options.

05

Underwriting & Appraisal

Lender orders a medical-use appraisal. Provide practice tax returns, P&L, bank statements, purchase contract, and buildout estimates.

06

Close & Build Out

Conventional: 30–45 days. SBA: 60–90 days. TI funds disbursed on draw schedule during construction. You move into your purpose-built medical space.

Ready to Own Your Medical Office?

No credit pull. No commitment. See what financing is available for your practice.

FAQ

Frequently Asked Questions

Why is medical office real estate considered recession-resistant?

Healthcare demand is non-cyclical. People need medical and dental care regardless of economic conditions. Medical tenants typically sign long-term leases (5–10+ years), and healthcare spending grows consistently. Lenders view medical office as one of the lowest-risk CRE asset types.

Can I include buildout costs in my medical office loan?

Yes. SBA 504 and 7(a) both allow tenant improvement costs to be rolled into the total project financing. This includes exam room construction, X-ray shielding, specialized plumbing, ADA compliance, and medical equipment installation. One loan covers everything.

I'm a dentist looking to buy my first office. What's the best option?

SBA 504 is typically the best fit — 10% down, fixed rate for 20–25 years, and buildout costs included. You need 2+ years of practice history and the property must be at least 51% occupied by your practice. This is one of the most common SBA use cases.

Do medical office buildings appraise differently?

Yes. Medical offices are appraised as special-purpose properties. The appraiser considers the cost of specialized buildout (which may not transfer to general office use), tenant creditworthiness, and the local healthcare market. Purpose-built medical spaces may appraise lower on a per-sqft basis than general office but command higher rents.

Can I lease part of my medical building to other providers?

Yes. As long as your practice occupies 51%+ of the space (for SBA), you can lease the rest to complementary providers — specialists, therapists, labs, pharmacies. Rental income from co-tenants helps offset your mortgage and may be counted in underwriting.

What if I'm buying a medical condo unit in a larger building?

Medical condos are financeable through SBA and conventional loans. The lender evaluates both your unit and the overall building's HOA structure, reserves, and common area maintenance. Some lenders specialize in medical condo financing.