Commercial Real Estate Loans

Commercial Mortgage Broker Training

Commercial Mortgage Loans Misc

Purchase Commercial Real Estate

Here are 4 reasons why we believe NOW is the best time since the Savings and Loan Crisis, in the late 80’s, to purchase commercial real estate for your small business. 

 medicalofficesba504loan

EX: Closed SBA 504 Loan, at 90% LTV
Indianapolis, IN
Medical Office - 45,000SF
PURCHASED FOR 70% OFF
THE ORIGINAL COST TO BUILD

1.       Commercial property values have dipped between 30% - 40% nationwide in the last 3 years.  Even more so in some select markets.  As the economy continues to improve, property values will shoot back up.  Historically this has been the case i.e. that the increase in property value is rapid after a down cycle.  Many entrepreneurs will be kicking themselves in a year that they didn’t take advantage of this opportunity.

2.       Purchase financing is MUCH easier to secure than refinance money in this market…   Again, purchase money is much easier to secure than refinance money.  High loan to values, on refinances, is one of the most common “deal killers” out there.  When you purchase real estate you are establishing the value – not trying to justify the value on a refinance.

3.       90% financing is still very much available, mostly via SBA loans, at historically low rates, on purchase transactions.  Mid 5%’s and even rates in the 4%’s are available for business owners purchasing commercial real estate...

4.       You can roll in rehab/construction cost into purchase loans.  So you can purchase foreclosed properties at a huge discount and renovate them for your business saving yourself even more capital and building long term equity. 

If you have been considering purchasing commercial real estate for your business, do not wait.  This is a once in a life time opportunity.  The market and economy will stabilize.  Commercial real estate recovery has always trailed the general economy by 3 to 6 months and values will come back up. 

For example, values have already started to increase on multifamily as well as Class A investment properties.  Also, the CMBS (Commercial Mortgage Backed Securities) market is also picking up steam.  Funding levels have double in 2010 compared to 2009 levels in this secondary market. 

Take advantage of a once in a life time opportunity to purchase commercial real estate at a discounted value through our unique finance options!  We want to work with you!  To get started fill out our pre approval form below so we can give you meaningful answers and specific loan terms.

GetPreapproved-1.jpg.