Free calculator
Commercial Mortgage Calculator
Enter the loan amount, rate, and amortization to get the payment and annual debt service. Add a balloon term to see the balance due at maturity.
Runs entirely in your browser. Nothing is uploaded.
How a commercial mortgage differs from a home loan
Commercial loans on RV parks, campgrounds, and mobile home parks usually amortize over 20 to 25 years but come due, balloon, in 5, 7, or 10. You make payments as if the loan runs the full amortization, then refinance or sell when the balloon hits. This calculator shows the payment, the annual debt service that feeds your DSCR, and the balance you would still owe at the balloon.
Payment = Loan × r ÷ (1 − (1 + r)−n)
where r is the monthly rate and n is the number of amortizing months. An interest-only period drops the payment to loan times the monthly rate, with no principal paydown, so the balloon balance stays at the full loan amount.
Use it with the DSCR calculator
The annual debt service here is exactly what a lender divides your NOI by. Take this number to the DSCR calculator to see whether the loan clears, then to the cash-on-cash calculator to see what it does to your return.
Questions
What is a balloon payment?
The loan amortizes over a long schedule but the full remaining balance comes due at a shorter term, the balloon. You refinance or sell to pay it off. Most commercial park loans carry a 5, 7, or 10 year balloon on a 20 to 25 year amortization.
Why does a longer amortization help a deal?
Stretching the amortization lowers the annual payment, which raises DSCR and cash flow, letting the property support more debt. It costs more interest over time, but it is a common lever for making the coverage ratio work.
What rate should I use?
Use a real quote from your lender if you have one; it beats any estimate. Absent that, commercial park rates track the going market for the asset and your credit. The underwriting researches a market rate when you do not supply one.
Related calculators
These calculators are quick estimators for screening. A full RVP Underwriter analysis normalizes the seller's numbers, verifies occupancy, researches your county's taxes and insurance, and prices three offer structures against your DSCR and cash-on-cash targets. Run a deal free.