Interest rate off investment properties

[David Adamolekun]

what is the going rate now for interest rate on investment properties? I Ran some numbers with local mortgage loan company and i was quoted 5.62% with 20% down payment on a $150K loan.  nothing spectacular on credit report, just shy of 700. surely there are better rates out there, right? I was told because I'm sub 700, i should consider 25% down to get 5.5%.

[Jon Reed]

My current commercial loans have a rate around 5.5% and they each have a original principal of less than $100k. Commercial loans just have a higher interest rate most of the time because they are riskier for banks compared to traditional mortgages. 

I personally wouldn't add another 5% down to save 0.12% interest. Most investment properties will be refinance and bundled a few times throughout their life (if you are a buy and hold investor). 

Ohh and our credit score was 800+.