If you are a business owner in Mississauga, it is likely that at some point in your career you will be looking to get a commercial mortgage. Since commercial mortgages can be quite a bit more complex than residential mortgages, it is important that you seek out a mortgage broker with experience. At AKAL Mortgages, we have proudly offered our business clients excellent commercial mortgages for years.
What is a commercial mortgage?
A commercial mortgage is a mortgage on any property that is not a residential home. It may be a storefront or industrial property, or it may be a multi-family complex.
Why a commercial mortgage might be right for you:
Business owners in Mississauga can benefit from getting a commercial mortgage in a number of ways including:
- It allows them to stop renting and own their own property.
- They can earn more income by renting out any extra space that they may have.
- It can allow them to expand their business.
- It gives them an asset that can appreciate in value.
A few things to know about commercial mortgages.
Before you apply for a commercial mortgage in Mississauga, there are a few things that you should know:
- Interest rates on commercial mortgages are higher than interest rates on residential mortgages. This is because generally speaking, lenders consider commercial mortgages to be riskier investments. They are also usually for shorter terms, so the lender has less time to earn money on their investment. But by working with the team at AKAL Mortgages, you can be assured that we will find you the best rates possible.
- They may require different documentation for approval. Depending on the property and the type of business you run, you will likely need different documentation for a commercial mortgage than you would for a residential mortgage. For example, the lender might require you to show your business plans or projections and purchase orders in addition to the usual assets and liabilities statements. If the property has tenants on it, the lender will likely also want to see the lease agreements.
- You will most likely need an appraisal of the property – to get a commercial mortgage, most lenders will usually require that the property be appraised.
Contact AKAL Mortgages today
At AKAL Mortgages, we are experts in helping our clients find the right commercial mortgage in Mississauga. To speak to one of our agents, call us today.
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