Commercial Loans
As your company continues to grow, increasing your workspace through a commercial mortgage becomes increasingly important. Let our qualified professionals help you find the perfect commercial financing solution.
We Can Help You Get a Commercial Loan
As your company continues to grow, increasing your workspace through a commercial mortgage becomes increasingly important. More information about our commercial loan offerings can be found by contacting us via email or by telephone at 801-221-9400. Our qualified professionals are ready to answer any and all of your commercial loan questions as well as help you begin the application process.
How Do Commercial Loans Work?
A commercial loan differs from a residential mortgage in that the collateral used to secure a commercial loan is a commercial building or business real estate instead of a residential property. What's more is commercial mortgages are generally assumed by a business entity instead of an individual borrower. As a result of this, assessing and securing a commercial mortgage is somewhat more complicated than a residential mortgage. A complex process involving many factors plays into determining creditworthiness for a business.
At Blue Sky Mortgage it's our privilege to guide you through this new and exciting process. Two of the most important aspects of a commercial mortgage to keep in mind are interest rate and loan repayment schedule.
Interest Rate
Most commercial loans offered today are fixed. This means you have the security of knowing that if interest rates were to increase you wouldn't be stuck making higher monthly payments. Conversely some borrowers are opting for a variable interest rate to take advantage of lower initial payments. However, a loan of this nature runs the risk of having interest rates increase and thus increasing your monthly payment.
Loan Repayment Schedule
Unlike residential mortgage loans, most commercial loans require a balloon payment at some point during the loan term. This means that after a given amount of time making small monthly repayments, the borrower would be required to make a large final payment consisting of the remainder of the loan. Loan Repayment Schedules which call for a longer time to repay the loan typically have higher interest rates.
Is a Commercial Loan Right for Me?
If you're considering any of the following as a means to grow your business then a commercial mortgage might be right for you:
- Purchase of a building or space in which to do business
- Extending current work space
- Investing in commercial or residential properties
- Developing properties for commercial use
Every borrower's situation is a little different, so be sure to email or call one of our commercial loan specialists today. We look forward to offering you a personalized commercial mortgage solution tailored to fit your company's needs.
Qualifications for a Commercial Mortgage
Qualification for a commercial mortgage can depend on the type of property or building that you intend to purchase or refinance. Give us a call today to discuss your commercial property to find out if there are any specific requirements for your property type or location.
Despite some specifics on certain properties there are general criteria for qualification. As a business owner it is important for you to be able to show that your company has an appropriate debt to cash ratio. Even a company with a poor credit rating can still receive a commercial mortgage if the primary owner can show good personal credit as well as sufficient liquid assets.
Additionally, your company will need to show a continued and stable pattern of profitability as well as plans for future growth. This might include, but not limited to, copies of your business plan, earning projections and long-term business goals.
For a more detailed and personalized assessment of commercial mortgage qualifications please email or call today and speak with one of our commercial loan specialists.
🤝 Experience Counts
Our experienced team will guide you through this new and exciting process, ensuring you understand every aspect of your commercial mortgage.
Benefits of Commercial Property Ownership
Keep Control of Ownership
Maintain complete control over your business property
Benefit from Property Appreciation
Build wealth as your property appreciates over time
Improve Cash Flow
Often lower than rent, improving monthly cash flow
Reduce Business Taxes
Reduce Business Taxes
Take advantage of mortgage interest deductions
Looking for a Commercial Loan?
Please speak with one of our representatives today to take advantage of this terrific opportunity to grow your business. We'll guide you every step of the way and customize a commercial mortgage solution specific for your business.