What is a commercial property loan?
Commercial property is a real estate property that you use to operate a business. When you take a loan to buy any such real estate property, that loan is considered a commercial property loan.
How do commercial property loans work?
A commercial property loan is a type of mortgage loan that is secured with the mortgage of the commercial property. Such loans have an affordable interest rate and easy repayment options. Commercial property loans have a flexible tenor between 10 and 20 years, which make them even more appealing for borrowers. The EMIs vary with the loan amount and duration of repayment.
Benefits of Commercial Property Loans
1) Low Interest Rates: Commercial property loans have lower interest rates than unsecured borrowings. Fixed EMI is helpful for easy repayment.
2) Capital Gains: Real estate properties have the tendency to appreciate in value. You may enjoy substantial capital gain with the commercial property. Commercial property investment using commercial property loans are a good way to realize capital growth in the long run.
3) Renting Potential: If the commercial property you are buying is larger than you need, often business owners rent the excess of the property. This additional income can help on loan payments.
4) Financial Planning: Commercial property loans allow you to focus on the core competency areas of your business. Since business funds were not used in buying this commercial space, you can feel financially empowered to make other investments.
5) Options: Whether you are unable to pay your mortgage, need to close your business, move on to a larger space, you have options with a commercial property loan.
Whether are looking for commercial space to expand your business, or if you’re tired of paying rend, we can help you procure that property. If you are looking for a commercial property loan in the New York Metro Area, talk to us at 646-629-6490.