Short Term Rental Properties - Now Eligible for SBA Financing!!

If you had called me sometime this year with an AirBnb or VRBO property, I would have said that it was ineligible, as the SBA has considered these property types ineligible for a long time. With SBA's new SOP, everything has changed...

Author

Cam Nayebi
August 06, 2025 

Contact Me Today! 📨 [email protected] / ☎️ 678.477.6969
❝

See Below - Pulled Directly from the SBA SOP

Hotels, motels, recreational vehicle parks, marinas, campgrounds, or similar types of businesses are eligible if more than 50% of the business’s revenue for the prior year is derived from transients who stay for 30 days or less at a time and the business complies with all zoning and other legal requirements. If the Applicant is a Start-Up Business, the Applicant’s projections must show that more than 50% of the business’s revenue will be derived from transients who stay for 30 days or less at a time. Rentals of residential or commercial space, whether through an internet platform that connects travelers with hosts or whether reservations are made directly with the owner, must be in compliance with all local laws and regulations, including zoning codes, and homeowners or condominium associations rules.

SBA SOP 50 10 8

This is a massive opportunity for hosts and investors who previously had to rely solely on cash or alternative lending options. As long as the borrower shows they are in compliance with HOA rules and local ordinances, we can now assist with these acquisitions. Under SBA SOP 50 10 8, which went into effect June 1, 2025, short-term rental businesses and properties are now eligible for SBA 7(a) financing.

🏠 Eligible Property Types

  • Airbnb / VRBO investment properties

  • Boutique hotels & motels

  • Recreational vehicle (RV) parks

  • Marinas

  • Campgrounds

  • Glamping / Luxury Tent Resorts

  • Other hospitality businesses serving guests who stay 30 days or less

✅ SBA Eligibility Criteria

  • Property must generate more than 50% of revenue from guests staying less than 30 days

  • Can be used for purchase, refinance, or cash-out

  • Loan amounts from $300,000 - $5,000,000

  • Down payments as low as 10-20% (compared to traditional 30%+)

  • Closings typically in 30-45 days

  • Startups MUST show STR income projections to meet the transient-use threshold

  • Must comply with ALL local zoning codes, HOA/Condo association rules, and short-term rental ordinances

📖 Financing Options (Purchase, Refinance, Cashout Refinance)

  • Loan Amounts from $300,000 to $5,000,000

  • Down Payments between 10-20%

  • Close in 30 to 45 Days

💰 Funding Application - Submit Your Request

Click the link below to complete this form!

📈 2025 Airbnb Industry Snapshot

Airbnb continues to thrive in 2025 with record demand and investor interest. Here are some stats to review. Accoring to AirDNA, 2025 is on track to break all prior records for host profitability. This strong demand for alternative lodding continues to drive investor - even as traditional financing options remain limited.

  • 225 million global users

  • Over 7 million listings worldwide

  • Average nightly rate: $208

  • Average stay: 4.6 nights

  • 78% of all Airbnb bookings happen on mobile

  • US occupancy rate: 54.3%

  • Airbnb bookings now make up 24.7% of the total US lodging market

  • Average host revenue increased 16.5% year-over-year 

Contact Me Today! 📨 [email protected] / ☎️ 678.477.6969