As your business expands and becomes more profitable, you may find yourself on the hunt for a commercial property. Acquiring a commercial mortgage can give you more leeway as a business owner to find a building or complex best suiting your trade.
A commercial mortgage, also known as a business mortgage, is a loan used to purchase property for the operation of a business.
A business property is often used to store inventory, as office space for retail operations and more. You can also use a commercial mortgage to refinance a commercial property you already own to make loan terms more agreeable.
A commercial loan is usually awarded to corporations, trusts and developers and terms usually fall between 5 and 20 years.
Residential mortgages are awarded to individual borrowers, often who are seeking residential properties (such as a house to live in), with a 30-year term being the most popular option.
To qualify for a commercial mortgage loan, the property being purchased or refinances should be occupied by no less than 51 percent of your business venture. After this is disclosed, lenders consider the location, profit, credit history and other financial factors to determine if giving you a loan is a good investment.
A residential mortgage is often associated with higher interest rates and fees, so it pays to shop around as a business owner. Working with a commercial mortgage lender, you can hunt down the best loan plans offering interest rates and terms to your liking.
After working for the “Corporate Big Guys” for over 25 years owner, Nancy Fudge, decided to open her own office, hence Fudge Properties opened its doors in 2007!
We’re certainly not new to the business. Owner, Nancy Fudge, has been a full time Realtor since 1981. Every one of our clients is extremely important to us and you will never just be a number on a spread sheet. We are an Independent Real Estate Brokerage and, with that, you get our full attention. Many franchise agents depend on their broker’s franchise name to establish their confidence.
