Commerical Property
Should You Buy or Lease Commercial Property in Los Angeles?
Business premises are either purchased or leased. The latter option entails renting a commercial property for a specified duration that can be extended depending on the terms of the agreement. On the other hand, buying involves acquiring commercial property either with a loan or purchasing it outrightly. To decide whether you should buy or lease commercial property in Los Angeles,
A Guide to Getting a Mortgage for a Rental Property
Mortgage rates have changed dramatically providing a chance for many prospective real estate investors to become landlords. The ongoing economic instability doesn’t have to stop you from taking a mortgage for rental property. Once you’re a landlord, your rental income could help you navigate the financial chaos more smoothly. Here’s a look at what’s required to get financing for this
How Much Down Payment Do I Need to Make for a Commercial Mortgage?
A commercial mortgage can help you quickly acquire or develop an income-generating commercial property. However, you may need to meet certain requirements to get this type of financing, including a down payment amount. Here is a look at how much down payment you will need and the benefits of paying a higher down payment. Is a Commercial Mortgage Down Payment
Major Advantages and Disadvantages of Commercial Business Loans
With limited options to raise adequate funds, many small businesses struggle to stay afloat. For instance, research reveals that more than 25% of small businesses cannot grow and expand because of financial constraints. This is where commercial business loans come into play. Business owners can use these loans to finance various business operations, including opening new locations, hiring new employees,
Debunking Popular Myths Related to Commercial Lending
Very few investors have the upfront capital needed to execute commercial real estate deals. Financing is, therefore, an essential component of commercial real estate investing. Unfortunately, many potential borrowers are wary of commercial lending, thus missing out on opportunities. This apprehension is largely due to the common myths about commercial loans. When approached correctly, business loans can be precisely what
3 Reasons Why You Should Invest in Commercial Property
About 90% of American millionaires made their fortunes in the real estate industry. This is partly because commercial property investments tend to become more valuable over time, create positive leverage situations, and offer a predictable cash flow. For instance, on average, the value of commercial properties in the U.S. increases by 2% to 3% annually. It is worth noting that
Why ‘Now’ Is the Right Time to Refinance Your Commercial Loan
One of the basic functions of the U.S. Federal Reserve is to stabilize the economy. To achieve this, it raises and lowers the federal funds rate in correspondence with the inflation levels. For instance, the COVID-19 recession led to a significant decrease in the inflation levels in the U.S. More specifically, the massive job losses, business closures, and a surge
What Lenders Look for While Providing Commercial Real Estate Loans
According to the Corporate Finance Institute (CFI), a commercial real estate loan is a mortgage offered to businesspeople to purchase or renovate a commercial property. However, it is worth noting that not every business person or business is eligible for this type of loan. To separate eligible borrowers from ineligible borrowers, lenders typically perform a credit analysis on borrowers. Therefore,
Real Estate Financing Options to Offer Your Clients
As a mortgage broker, your success depends on helping your clients accomplish their goals in the most cost-effective way possible. You can grow your brokerage’s bottom line by linking more clients to feasible commercial lending options. Here’s a look at how commercial real estate financing works to effectively help your clients achieve their objectives in the property market. Types of
