A commercial property mortgage can help you secure the proper funds for the purchase of a new office building, retail store, apartment complex or other building. You can even use a commercial mortgage to consolidate your business debts. We’ll discuss everything you need to know about securing a commercial property mortgage with a mortgage investment corporation.

What is a Commercial Property Mortgage?

In the same way that a residential mortgage is a way to finance your home, a commercial property mortgage is a way to finance a building or property where you work or do business.  In this sense, there are many properties that qualify for this type of loan.

Applying For a Commercial Property Mortgage

It’s critical to understand that the criteria for qualifying for a commercial mortgage is unique and different from a residential mortgage. Your mortgage lender might ask about your business including how stable it is, what your plans for growth are, and some information about your credit history. Keep in mind that a private mortgage lender will likely have fewer conditions, making it easier to qualify for a commercial mortgage.

Repaying a Commercial Property Mortgage

Like a traditional mortgage that has an amortized term, commercial property mortgages are also paid off over a set amount of time. With your home, you may have up to 25 years to pay off the loan, but amortization terms are generally shorter with commercial mortgages to keep in line with business accounting practices. You could have the option to pay off your commercial loan over 5, 10, or 15 years. If a balance still exists at the end of the term, borrowers may choose to pay off the remaining principle in one sum payment, refinance the property, or sell.

Where to Get a Commercial Property Mortgage

Because it can be challenging to qualify for a commercial property mortgage, it’s best to trust a private mortgage lender, especially if your business is new, struggling, or in a significant amount of debt. A private lender can offer useful advice and assistance to help you navigate the complexities of the loan application process.

Whether you’re looking to borrow or invest, Alta West Capital can help. We offer a number of lending solutions for first time buyers, individuals and families that are new to Canada, self-employed business owners, real estate investors and more. Alta West loans are fast and flexible to fit your needs. Visit our website to apply online or contact us directly. Call (403) 254-9075 or email info@awcapital.ca.