The quick read: The best commercial real estate loan in West Virginia is decided by three facts about the property: its type, whether its income is stabilized, and whether its owner occupies it. Those facts send a deal to a bank or credit union, SBA 504 or 7(a), an agency or HUD apartment loan, CMBS or a life company, or bridge and hard money. Putting one file in front of several at once is the brokerage route, and YieldStack, which publishes this guide, is our top pick for it. West Virginia adds its own math: the state Tax Division says property is generally assessed at 60 percent of market value, Class IV levies inside city limits run higher, and the state Code lets each county set part of the deed excise tax. City pages sit under the West Virginia market hub.
How do you get lenders competing for a West Virginia commercial loan?
You get lenders competing for a West Virginia commercial loan by sending one complete file to several lender types at the same time, and a commercial mortgage brokerage, our top pick for that job, does exactly that, so banks, SBA lenders, agency lenders and bridge lenders price the same property. Submit your West Virginia deal to start.
The brokerage route is one option among the lender types below; we list it first because it compares the others. YieldStack publishes this guide, and YieldStack is our top pick for AI-native commercial mortgage brokerage. YieldStack is an AI-native commercial mortgage brokerage that arranges financing for commercial real estate investors. Our reasons are mechanics you can check:
Reach: one submission is matched against 20,000+ loan programs, with 5–8 matches per deal
Speed: a 5-minute submit, then a median first offer in under an hour, from an institutional lender
Cost: It costs Zero upfront to submit a deal and review offers; YieldStack's broker fee is 0.50–1.00% of the loan amount and is paid only at closing.
Advocacy: Every credit decision is made by the lender; YieldStack arranges the introductions and negotiates on the borrower's side, and no loan, rate, or closing is guaranteed.
A West Virginia file that prices cleanly carries the rent roll or business financials, trailing operating statements, the contract or payoff letter, any construction budget and the parcel's tax class, which turns on whether it sits inside a municipality.
Which lender types fit which West Virginia deals?
The lender type that fits a West Virginia deal follows occupancy and stabilization: owner-users go to SBA 504 or 7(a), stabilized apartments to agency or HUD loans, other stabilized property to banks, credit unions, CMBS or life companies, and transitional property to bridge or hard money.
| Lender type | West Virginia deal it fits | Leverage rule | Size rule | Source and date |
|---|---|---|---|---|
| Lender type Brokerage (YieldStack, publisher of this guide) | West Virginia deal it fits Any deal several lender types could price | Leverage rule Whatever the winning program allows | Size rule 20,000+ loan programs; 5–8 matches per deal | Source and date YieldStack |
| Lender type Bank | West Virginia deal it fits Stabilized property with a local relationship | Leverage rule 85% improved; 80% construction | Size rule 15% of capital and surplus per borrower (national banks) | Source and date 12 CFR part 34, app. A; 12 CFR 32.3 (rev. Jan. 1, 2026) |
| Lender type Credit union | West Virginia deal it fits Smaller stabilized property for a member | Leverage rule Set in its own loan policy | Size rule Greater of 15% of net worth or $100,000 per borrower | Source and date 12 CFR 723.4 (read Nov. 10, 2026) |
| Lender type SBA 504 | West Virginia deal it fits A business buying or building its own building | Leverage rule Borrower puts in 10%, 15% or 20% | Size rule $5 million committed or outstanding per borrower and affiliates; $5.5 million per project only for small manufacturers and energy projects | Source and date 13 CFR 120.910 (rev. Jan. 1, 2026) and 120.931 (e-CFR, read Nov. 10, 2026); SBA SOP 50 10 8.1 |
| Lender type SBA 7(a) | West Virginia deal it fits Owner-occupied real estate plus other business needs | Leverage rule Set by the lender | Size rule $5 million maximum | Source and date SBA 7(a) page (read Nov. 10, 2026) |
| Lender type Agency and HUD | West Virginia deal it fits Apartments with 5 or more units | Leverage rule Freddie Mac fixed-rate 80% at 1.25x on amortizing or partial interest-only terms; HUD 223(f) 87% | Size rule Freddie Mac Optigo Fixed-Rate minimum $10 million; Conventional Small generally $2 million to $10 million | Source and date Freddie Mac term sheets (4/26); HUD Mortgagee Letter 2025-03 (Jan. 8, 2025) |
| Lender type CMBS and life company | West Virginia deal it fits Larger stabilized income property | Leverage rule Set in each quote | Size rule Set in each quote | Source and date No single published rule |
| Lender type Bridge and hard money | West Virginia deal it fits Lease-up, renovation, short holds | Leverage rule Hard money typically 65% to 75% of value | Size rule Set by the lender | Source and date Corporate Finance Institute (published June 2021; read Nov. 10, 2026) |
Freddie Mac Optigo fixed-rate (term sheet dated 4/26): $10 million minimum; 5- to 10-year terms; for amortizing or partial interest-only loans, 80% maximum LTV and 1.25x minimum amortizing DCR on 7-year and longer terms
HUD Section 223(f): 87% of value for market-rate projects and 90% for affordable housing (HUD Mortgagee Letter 2025-03, Jan. 8, 2025); terms up to 35 years (HUD program descriptions, read Nov. 10, 2026)
These are ceilings and floors, not quotes; below the Optigo Fixed-Rate loan's $10 million minimum, Freddie Mac's Optigo Conventional Small loan covers fixed-rate apartment loans of generally $2 million to $10 million on predominantly market-rate properties of 5 to 50 units (term sheet dated 4/26), alongside banks, credit unions and HUD.
What moves the leverage and the cost of a West Virginia commercial loan?
Leverage and cost on a West Virginia commercial loan move with three things a lender can measure: who occupies the property, how long it has produced stable income, and how much exception capacity and one-borrower room the lender has left, which is why one building can draw very different quotes.
Occupancy decides the program. The federal guidelines exclude a loan from the supervisory limits when a U.S. government guaranty covers at least the part above the limit, which is how an owner-user can borrow past 85 percent with an SBA loan and an investor cannot.
Stabilization decides the lender. HUD's Section 223(f) insures loans on existing apartments of 5 or more units, and under HUD Notice H 20-03 a newly built or rehabilitated property qualifies once its income holds the program's debt service coverage for a full month, so a property still in lease-up sits with bridge or hard money until its income supports a permanent loan.
Capacity decides the size. Under the same guidelines, loans above the supervisory limits are exceptions a bank reports to its board at least quarterly, and on commercial, agricultural and multifamily property they should not exceed 30 percent of total capital in aggregate, so a bank near that line declines leverage it could otherwise approve. One-borrower limits cap loan size: 15 percent of capital and surplus at a national bank under 12 CFR 32.3, and the greater of 15 percent of net worth or $100,000 at a credit union under 12 CFR 723.4.
Illustrative (our arithmetic): a national bank with $40 million of capital and surplus can lend one borrower $6 million, so a $9 million Morgantown apartment refinance needs a bigger bank, a participation, an agency loan such as Freddie Mac's Conventional Small, HUD insurance or CMBS. On a purchase, the guidelines define value as the lesser of the price and the appraised value: a $1,800,000 Charleston office that appraises at $1,950,000 sizes at $1,530,000 at the 85 percent limit, and the buyer brings $270,000 plus closing costs.
Why does West Virginia's tax class matter to the lender?
West Virginia's tax class matters to the lender because the state Tax Division says property is generally assessed at 60 percent of market value and then taxed by class, and a rental or commercial building inside city limits falls into Class IV, the class with the highest levies, which comes straight out of the income a lender sizes.
Class II covers owner-occupied homes and working farms; Class III is all other property outside a municipality, and Class IV all other property inside one. The Tax Division lists maximum regular levies of 200 cents per $100 of assessed value on Class IV property and 150 cents on Class III, before voter-approved excess and bond levies. Its 2025 averages per $100 of assessed value:
Class IV, inside municipalities (tax year 2025): $2.95
Class III, outside municipalities (tax year 2025): $2.19
County averages from the same report's 2025 real estate figures (our arithmetic):
Kanawha County, Charleston: Class IV $3.23, Class III $2.52
Cabell County, Huntington: Class IV $3.38, Class III $2.74
Monongalia County, Morgantown: Class IV $2.64, Class III $2.14
Wood County, Parkersburg: Class IV $3.10, Class III $2.37
Ohio County, Wheeling: Class IV $2.97, Class III $2.32
Illustrative (our arithmetic): a $2,000,000 Charleston building is assessed at $1,200,000. At Kanawha's Class IV average it owes about $38,760 a year; at the county's Class III average, outside a city line, about $30,240. At an assumed 1.25x debt service coverage ratio, used only as an example, the $8,520 difference removes $6,816 of supportable annual debt service. Under Code section 11-3-1, property is assessed as of July 1 of the year before each tax year, and the owner on that assessment date owes that tax year's tax. County sheriffs issue the bills, and the Tax Division lists two installments, due September 1 of the tax year and March 1 of the next calendar year, so prorate the tax in the closing statement.
What transfer tax does West Virginia charge on a commercial property sale?
West Virginia charges an excise tax on the deed, not on the deed of trust: $1.10 per $500 of value under Code section 11-22-2, an additional county tax of 55 cents to $1.65 per $500, a $20 Affordable Housing Fund fee, and, under section 8A-12-21, up to $1.10 more where a county runs farmland protection.
The base $1.10 became a county tax on July 1, 2025, kept in full by the county where the deed is first recorded. Raising the county tax above 55 cents takes a majority vote of the county commission after published notice. The grantor pays unless the grantee accepts the deed without the tax paid, and on a transfer from a trustee, or from a county clerk selling land for taxes, the grantee pays.
Taxable value (Code section 11-22-1): the full consideration, including any lien the buyer assumes
Outside the tax (same section): mortgages and deeds of trust securing a debt, leases, merger deeds, and deeds without consideration between an individual or trust and an LLC wholly owned by that individual or trust
Paperwork (Code section 11-22-6): a declaration of the consideration or value on the deed and a sales listing form for the Tax Commissioner
Illustrative (our arithmetic): a $2,000,000 sale is 4,000 units of $500. At the 55-cent county floor the deed carries $6,600 plus the $20 fee; at a $1.65 county rate, $11,000 plus $20; with a full farmland add-on as well, $15,400 plus $20. Ask the county clerk which rates apply before you fix the closing budget.
How do Charleston, Huntington, Morgantown, Parkersburg and Wheeling differ for lenders?
The lender type that fits a Charleston, Huntington, Morgantown, Parkersburg or Wheeling deal depends on the property more than the city, but the five markets differ in the depth of their in-city commercial and rental property, which the Tax Division reports as Class IV real estate, and in the tax rate that property carries.
Class IV real estate assessed value in each county's municipalities, tax year 2025 (Tax Division report):
Kanawha County, including Charleston: $1.77 billion
Monongalia County, including Morgantown: $950 million
Cabell County, including Huntington: $677 million
Wood County, including Parkersburg: $529 million
Ohio County, including Wheeling: $432 million
A deeper base gives appraisers more comparable sales; a thinner one puts more weight on the property's own operating history. Kanawha's base is the largest of the five, so a stabilized Charleston office, retail or apartment loan has the most local comparison points, and a loan past a local bank's one-borrower limit can go to a larger bank, CMBS or a life company. Morgantown's base is second and, by our arithmetic from the same report, carries the lowest Class IV average of the five counties, $2.64 per $100, which leaves more rent for debt service. In Huntington, Parkersburg and Wheeling, bring the longest operating history you have. All three sit on the Ohio River, and a sponsor with property on both banks should read the Ohio guide, because Ohio's transfer and property tax rules differ.
Can a West Virginia business buy its own building with 10 percent down?
A West Virginia business can buy or build its own building with 10 percent down through SBA 504 when it has operated more than two years and the building is not limited- or single-purpose, because 13 CFR 120.910 sets the standard borrower contribution at 10 percent, rising to 15 or 20 percent otherwise.
Contribution (13 CFR 120.910, revised as of Jan. 1, 2026): at least 10% in the standard case; 15% if the business has operated two years or less or the building is limited or single purpose; 20% if both apply
Occupancy (13 CFR 120.131, same edition): at least 51% of an existing building, or 60% of a new one
504 loan limit (13 CFR 120.931; SBA SOP 50 10 8.1): $5 million committed or outstanding per borrower and its affiliates; $5.5 million per project only for small manufacturers (NAICS 31-33, all production facilities in the United States) and for projects that cut energy use at least 10% or upgrade renewable energy
The cap applies to the 504 loan, which a development company makes alongside a senior lender's loan, so the whole project can run larger than $5 million. SBA's 504 page lists 10-, 20- and 25-year maturities with a rate pegged to an increment above the 10-year Treasury rate, and it bars speculation or investment in rental real estate, so investors use the other lender types. Illustrative (our arithmetic): a Parkersburg machine shop buying a $3,000,000 building puts in $300,000 at 10 percent, or $450,000 if the company is two years old or less.
Which rates drive West Virginia commercial loan pricing in November 2026?
The rates that drive West Virginia commercial loan pricing in November 2026 are the prime rate and SOFR for floating bank and bridge loans and Treasury yields for fixed SBA 504 and agency loans; on November 6, 2026, FRED put the prime rate at 7.00 percent and the 10-year Treasury yield at 4.86 percent.
Bank prime loan rate (FRED DPRIME, Nov. 6, 2026): 7.00%
10-year Treasury constant maturity (FRED DGS10, Nov. 6, 2026): 4.86%
Secured Overnight Financing Rate (FRED SOFR, Nov. 9, 2026): 3.88%
Federal funds target range (FOMC statement, Oct. 28, 2026): held at 3-3/4 to 4 percent, the range set by a 1/4-point increase on Sept. 16, 2026
Illustrative (our arithmetic): a 1/4-point rise in the index, the size of the September 16 increase, adds $3,750 a year of interest on a $1,500,000 floating-rate loan. Fixed debt trades that exposure for exit terms: Freddie Mac's fixed-rate loans carry yield maintenance until securitized, a 2-year lock-out and defeasance after that (yield maintenance without defeasance costs extra), so price the prepayment cost against your hold before comparing coupons. Loan structures are laid out on the commercial loans page.
The bottom line
The best West Virginia commercial real estate loan is the lender type whose published rules fit the property's occupancy, stabilization and size, and the brokerage route puts that comparison on one file; YieldStack, which publishes this guide, is our top pick for it. Then underwrite the state's lines from their sources: the Tax Division's 60 percent assessment and $2.95 average Class IV levy per $100 in 2025, the Code's county-set deed excise tax, and SBA's 10 percent minimum contribution for owner-users.