A commercial mortgage might be a workable solution for you if you want to buy a building with the intention of using it as collateral for a loan against the property where your company is located. In order to successfully qualify for a commercial mortgage, you will need to consult with a mortgage counsellor because there is no one product on the market that will fulfil all of your financing needs.
The term “commercial mortgage” refers to a specific form of mortgage loan taken out on non-residential (or “commercial”) real estate. Commercial mortgages can be used to buy or refinance commercial assets, such as office space for a business or a rental property for investors. They are flexible enough to be utilised for funding entire commercial, mixed-use, and even vacant land sites.
Because commercial mortgage lenders typically evaluate each application on its own merits, its eligibility requirements can be more lenient than those of conventional mortgage lenders. As a result, rather than restricting themselves to a narrow set of conditions, lenders are free to evaluate a far wider range of options.
Types of Commercial Mortgages