Commercial Property Financing
There are commercial and private lenders providing financing for Vancouver commercial property purchases. In many instances, the sellers of a commercial property may also provide financing with a vendor-take-back mortgage. The loans are in the form of first or second mortgages, and very often the sale of commercial properties in Vancouver involves using such financing.
There are other creative financings that Vancouver small investors are using to buy investment properties. Financing generally is dependent on the lender being satisfied that the cash flow makes sense and the borrower has the experience and support to make the mortgage payment.
Financing Income Properties
Whether you are buying a coach house, apartment building or some other income generating properties in Vancouver, there are financiers and private lenders who can provide the financing you need. The key is that you have a viable property that can demonstrate the cash-flow. In addition, the lender also wants to see that you have the ability to improve the property value and rental incomes.
Generally, financing from Canadian banks is limited to not more than 75% of the appraised value of a commercial property. For borrowers who are financially solid, they are able to use their line of credit facilities from their banks to provide the funds they need to acquire a commercial property.
Anyone wanting to borrow money from these lenders to finance their Vancouver commercial property will need to have all their documents prepared. These private persons who loan out money by securing their loans with mortgage contracts with monthly mortgage payments. When buying a Vancouver commercial property, the buyer has to bear all the costs including legal costs, appraisals and provide all necessary personal and financing information to the lenders.
For more information on financing for buying or selling your Vancouver commercial property, or financing your purchase of a commercial property, kindly call us at 604-721-4817 or email us.
Related Vancouver Commercial Property Links: