Commercial mortgages usually take over where business loans finish.
Also known as business mortgages, they are designed for businesses that purchasing or remortgaging a property that is to be used as premises for their company, which includes mixed use properties, i.e. part-commercial, part-residential.
The life of a commercial mortgage usually ranges from 3 to 30 years, though shorter term finance can be available under the form of a bridging or property development loan.
For owner occupied properties, you can find a 70-80% mortgage. If it is an investment then the amount you can borrow will be determined by the rental income generated by the investment, but will not exceed 70% of the purchase price.
If you are buying a business which includes goodwill, stock etc then the amount available will be further reduced.
We work with a large panel of high street banks, challenger banks and alternative finance providers to deliver commercial mortgage facilities for trading businesses. This may be for new premises or to refinance an existing mortgage where you require a more competitive rate and/or to release cash into your business.
Some of our key commercial mortgage features:
- Loans of up to 80% of loan-to-value (LTV) for owner occupied and 70% for investment properties
- Available for owner occupied, residential, commertial and student properties
- Up to a 30-year repayment term, some with full-term commitment
- No arrangement fees with some funders
- Minimum loan size of £25k with no upper limit
- Unsecured facility to inject capital if 90% or 100% mortgage purchase required