2025 Commercial Real Estate Loan Rates: Trends and Insights in Texas and Kansas City
Terrydale Capital
Oct 29, 2025 4 Min read
Navigating 2025 CRE Loan Rates in Texas and Kansas City
Commercial real estate (CRE) financing in 2025 is showing early signs of relief. As interest rate volatility stabilizes and the Federal Reserve signals a shift toward easing, borrowers in Texas and Kansas City are seeing slightly lower costs on agency, bank, and private debt. However, financing remains selective and underwriting tight.
In this article, we'll explore 2025's most current commercial loan interest rates, lender trends, and how Terrydale Capital and its proprietary loan platform, Terrydale Live, can support borrowers looking for the right capital stack.
Texas & Kansas City Loan Rates: A Breakdown
As of Q4 2025, commercial loan rates in the Southwest and Midwest range by asset class and lender type:
Multifamily Loans (Agency): 5.0% to 5.4% for 10-year fixed
Banks (Texas & KC): 5.8% to 6.2% across multifamily and mixed-use
Life Companies: 5.5% to 6.1% for stabilized core assets
CMBS Loans: Averaging 6.4% with spreads of 225–300 bps
Bridge Loans: 9.0% to 12.0%, with Texas often 100 bps cheaper than coastal markets
Construction Loans: SOFR + 300–500 bps, translating to 7.5% to 9.0%+ depending on risk
The most competitive terms remain with Fannie Mae and Freddie Mac for stabilized multifamily assets. Meanwhile, office and transitional deals continue to face elevated scrutiny and pricing.
Track Live Loan Activity with Terrydale Live
Terrydale clients also gain access to Terrydale Live, our proprietary platform tracking current loan quotes, lender appetite, and deal flow metrics across the U.S.
Use Terrydale Live to:
- Benchmark current rates by region and asset class
- Monitor active lender programs and underwriting updates
- Compare loan options before market conditions shift
- This transparency allows borrowers to act quickly and strategically in a fast-changing credit landscape.
Looking Ahead to 2026
If the Fed continues gradual cuts into 2026, we anticipate further easing in long-term fixed rates and a continued return of bank and life company capital. However, credit spreads and underwriting will still favor experienced borrowers with clean deals.
Now is the time to reevaluate your capital stack, optimize for rate and term, and avoid getting caught on the wrong side of a tightening cycle.
Get Started with Terrydale Capital
To speak with a loan advisor or see real-time lender activity through Terrydale Live, visit terrydalecapital.com or schedule a free consultation.
Together, we’ll help you navigate the 2025 market with clarity, speed, and competitive terms.
With market uncertainty still in play, having a well-connected and data-informed financing partner is critical. That’s where Terrydale Capital comes in. Our team works with agency lenders, regional banks, debt funds, and life companies to source optimal terms across all commercial asset classes.
Partner With Terrydale Capital for Your Debt Financing Needs
When it comes to debt financing, understanding the right timing, process, and options is crucial. At Terrydale Capital, we provide a comprehensive range of commercial loan solutions tailored to meet your business's unique needs.
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Headquartered in Dallas, Texas, Terrydale Capital is a leader in commercial real estate financing. We have close relationships with the nation’s top banks, lenders & family offices allowing us to provide the most competitive financing solutions in the market.
