SBA loan basics
Short answer
Yes, purchasing real estate for your business is a very common and eligible use for an SBA 7(a) loan. This includes buying land, existing buildings, or funding new construction.
SBA 7(a) loans can finance the acquisition of commercial real estate intended for the borrower's business operations. When real estate is involved, the maximum loan term can be extended to 25 years, providing more affordable monthly payments compared to loans solely for working capital or equipment.
A dentist wants to buy the office building they currently lease for $800,000. They can use an SBA 7(a) loan to finance the purchase, potentially with a 10% down payment, and get a 25-year repayment term.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
SOP 50 10 - Lender and Development Company Loan Programs
SBA 7(a) Loans Overview
Last checked 2026-06-13. Official sources control — verify before relying on any rule for a live deal.
Last reviewed 2026-06-13 · SBA sources checked through 2026-06-13. DealRoom analysis of public SBA 7(a) lending records (FY2020–present). Grounded in the current SBA rulebook; verify against the official sources above before relying on it for a live deal. Not legal, tax, or financial advice, and not an approval decision.
More on what it can be used for
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