What is the Difference Between a Commercial and Residential Mortgage?

commercial and Residential Mortgage
Now that you’re settled into your new abode and are feeling pretty pleased with yourself, next on your list of priorities is to fulfill your lifelong dream of being your own boss.  If that dream job cannot take place using your house as home base, i.e. you must take the business out of the home, and into a building, or, if you are simply purchasing land upon which you will erect a particular building, the process for securing a loan for a business venture is way different than the one you endured for the purchase of your new home.

The procurement process is similar enough since commercial, as well as residential mortgages, essentially are loans procured through a bank or lending institution. Another factor which may be similar is whether or not you still carry student debt, as sometimes it can delay implementing the loan process.  Don’t let the commercial loan procurement process thwart your attempt to fulfill a dream of owning your own business.  The cumbersome details may be hard to grasp, so why not consider consulting with an expert, a commercial real estate lender who will help smooth out the loan process for you? Continue reading “What is the Difference Between a Commercial and Residential Mortgage?”

What is a Commercial Mortgage?

Commercial Mortgage

Most people are familiar with the process used to gain a residential mortgage for the purposes of purchasing a home, which seemingly never-ending monetary obligation the homeowner must make until that loan is paid in full.  Perhaps you remember your parents, or a relative, celebrating the payment in full of that loan by having a “mortgage burning celebration”.

Procuring a loan for the purpose of purchasing a building, maybe to be used as a family business, or a retail store, can be a rather arduous process.  You must have all your finances and paperwork in order before you even attempt to begin that venture.  Is this a daunting task?  Well, you could make it easier on yourself if you secure the help of an expert who specializes in loans for retail construction.  Such an expert would be instrumental in paving the way for a potential future business owner to achieve a commercial loan with minimal obstacles to that ultimate goal. Continue reading “What is a Commercial Mortgage?”