Commercial Mortgages
Obtaining a commercial mortgage or construction financing can be challenging, even though a building or project is tangible and has a certain value. Besides understanding all aspects of the asset, a lender must have confidence in the servicing of the debt and the strength of the company making the commitment.
There are different types of lenders offering varied terms and conditions, and willing to take on more or less risk. To achieve the lowest cost with the least amount of personal risk, you must provide the lender with a thorough understanding of all aspects of the building or project, the history of the company and principals behind the project, the cash flow timeline and potential, and all of the potential risks.
The Sumex team is experienced in dealing with all types of lenders and has worked on projects with a broad range of features and risks. We have the knowledge and the experience to help you put your best foot forward, and to help you in secure the right financing for your building or project. At Sumex we have more ways to Yes!
COMMERCIAL MORTGAGES
A commercial mortgage is a loan made using real estate as collateral to secure repayment. A commercial mortgage is similar to a residential mortgage, except the collateral is a commercial building or other business real estate, not residential property. In addition, commercial mortgages are typically taken on by businesses instead of individual borrowers. The borrower may be a partnership, incorporated business, or limited company, so assessment of the creditworthiness of the business can be more complicated than is the case with residential mortgages. Commercial mortgage security may be supplemented by a general obligation of the borrower, which makes the debt payable in full even if foreclosure on the mortgaged collateral does not satisfy the outstanding balance. Common applications of commercial mortgage loans include acquiring land or commercial properties, expanding existing facilities or refinancing existing debt.
