Frequently Asked Questions
What are the advantages of a commercial mortgage over renting
1) By purchasing the property with a commercial mortgage you have the potential gain on the asset (the freehold building)
2) You will not be at the mercy of your landlord over rates and occupancy term as the commercial mortgage rate will generally track base rate or LIBOR rate, we can also arrange fixed rates on commercial mortgages
3) All money that is paid each month on the commercial mortgage will gradually reduce the mortgage balance (assuming a capital repayment mortgage is taken), whereas with rent you are not gaining any long term equity.
Will I need a deposit to obtain a commercial mortgage?
We are able to lend up to 75% LTV on commercial mortgages with no additional security, however if you are able to provide an additional security i.e. your home or a investment property, then we could arrange a commercial mortgage up to 100% of the value.
Can I get a commercial mortgage on my commercial property to consolidate my debts?
Yes, if you own your commercial property and wish to arrange a commercial mortgage for the purpose a re-mortgage for consolidation purposes than we are able to arrange the commercial mortgage for you, you can use the additional funds for any legal purpose.
Do I need to have a perfect credit history to get a commercial mortgage?
No! We can provide commercial mortgages to customers who not only have credit issues, but who have also had CCJs, taken out Individual Voluntary Arrangements (IVAs) or have liquidation history.
If you are concerned or if you have been rejected for a commercial mortgage elsewhere, contact us – We should still be able to help arrange a commercial mortgage for you.
Can I get a commercial mortgage if I do not have accounts or if I am only just starting up?
Again no problem, we have various commercial mortgages for this type of situation, below is a list of similar problems which can qualify for a flexible income approach when arranging commercial mortgages:-
- Accounts do not show a strong net profit
- Just recently started the business
- Mainly commission/bonus based income
How long does it take to complete a commercial mortgage?
This depends on which commercial mortgage lender your commercial mortgage is placed through, we can arrange commercial re-mortgages within as little time as 7 days.
Be assured that we will endeavour to complete your commercial mortgage application as quickly as possible and will keep you fully updated from the start of the commercial mortgage all the way through to when your commercial mortgage funds are released.
Do you offer fixed rates on your commercial mortgages?
Yes, depending on which lender is most suitable for your requirements we are able to source fixed rates from 3 years up to 10 years, these rates are generally based on the lenders SWAP rates which fluctuate on a day to day basis, if you would like more information on the current fixed rates please call us on 0800 612 3167.