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Commercial Mortgage
A mortgage loan to purchase or refinance a building used for business purposes. This could include warehouses, office buildings, stores or multi-family properties (5 or more families). These are monthly payment loans and interest may be either fixed or variable.
Features:
This mortgage is intended for properties to be used for business purposes.
It is available in payout terms up to 25 years.
Loans may be fixed rate, adjustable or with a balloon payment at maturity.
Commercial mortgages require a 25% down payment or equivalent equity in the subject property.
Additional liens may be taken on furniture, fixtures, rent or leases.
Personal guarantees of borrower or company principals are required.
Rates:
Rates and fees are negotiable.
Borrowers are responsible for appraisal costs and closing attorney review fees.
Points may be charged on the loan (a point is a premium or fee equal to 1% of the amount of the loan).
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