Commercial Real Estate Financing - Curbie & Bessie Capital Investments
Determine Your Down Payment Amount
Before considering or approving a loan application, most commercial lenders ask for a minimum 30% down payment. Your LTV cost will decrease when investing in a commercial property and this means that you'll likely require the borrower to contribute more to the down payment.
What kind of loans are available for commercial property?
What kind of loan can I get for commercial property? The kind of loans include variable rate loans, fixed interest loans and lines of credit. These loans can be paid on an interest only or principle and interest basis. Click Here for more details Please!
What credit score do you need for a commercial real estate loan?
660 Most lenders require borrowers to have a credit score above 660 to qualify for a commercial real estate loan. Commercial real estate loans can be term loans, SBA loans, lines of credit or portfolio loans.
What are typical commercial loan terms?
Unlike residential loans, the terms of commercial loans typically range from five years (or less) to 20 years, and the amortization period is often longer than the term of the loan. A lender, for example, might make a commercial loan for a term of seven years with an amortization period of 30 years.
What Do You Need to Qualify for a Commercial Loan?
Schedule of Sources and Uses.
Loan Amount/Payoff.
Requested Terms (i.e. fixed/variable interest rate, term length, amortization, recourse, etc.)
Personal Financial Statements and Liquidity Verification.
Real Estate Resume.
Annual Operating Statements and/or Tax Returns.
What is the difference between a consumer loan and a commercial loan?
Commercial loans are used by companies to buy equipment or grow their business. Consumer loans are used by people to purchase cars, remodel homes, and other personal uses