If you are interested in buying some real property, extending or developing your own commercial premises, you can realize your dreams fast by securing a specific loan. You should consider getting an Atlanta commercial property loan to assist you realize your dreams. Before you take out this particular financing option, you should know a few facts about it.
Since you are the borrower, you will have the option or freedom to choose the most suitable repayment period that ought to fall between 2-30 years during the application process. You must ensure that you also have adequate security to cover this advance. You will only be able to access a certain percentage of the full value of the security you offer.
You can be able to offer your land, warehouse or even the commercial building you own as your security. The proceeds you usually get from them will be instrumental in settling the monthly repayments. If the security you offer has several uses then it will be up to the lender to decide on the options they will avail to you.
You will be required to demonstrate a good personal and business credit record. The lending institutions will also look at your credit history to determine whether you have the capacity and assets to pay off your outstanding loans in case of default. They may also ask for proof of your business profitability.
It will be important to prepare to pay off some huge down payment before you access the facility you need due to the high risks involved. Most institutions demand for about 30 to 40 percent of the whole value of the purchase and get financing on the rest. This is the most common ratio of credit to value used by most lenders.
If you also want to prepay the outstanding amount and do away with the credit advanced to you, you will also require understanding the restrictions usually set for such instances. They are usually there to protect the lending company not to lose the profits it stood to make had the whole agreement reached its maturity date. You will be forced to pay some money as prepayment penalties.
It is also important to note that before your loan application will be approved, you would also need to demonstrate an income stream that is solid. You will also need to show a good profile of your management team and the building plans and blueprints of your premises. In case you have leased out the premises to a sole tenant then they must demonstrate that they have a financial strength that is sound and solid as they are also considered as business.
Since you are the borrower, you will have the option or freedom to choose the most suitable repayment period that ought to fall between 2-30 years during the application process. You must ensure that you also have adequate security to cover this advance. You will only be able to access a certain percentage of the full value of the security you offer.
You can be able to offer your land, warehouse or even the commercial building you own as your security. The proceeds you usually get from them will be instrumental in settling the monthly repayments. If the security you offer has several uses then it will be up to the lender to decide on the options they will avail to you.
You will be required to demonstrate a good personal and business credit record. The lending institutions will also look at your credit history to determine whether you have the capacity and assets to pay off your outstanding loans in case of default. They may also ask for proof of your business profitability.
It will be important to prepare to pay off some huge down payment before you access the facility you need due to the high risks involved. Most institutions demand for about 30 to 40 percent of the whole value of the purchase and get financing on the rest. This is the most common ratio of credit to value used by most lenders.
If you also want to prepay the outstanding amount and do away with the credit advanced to you, you will also require understanding the restrictions usually set for such instances. They are usually there to protect the lending company not to lose the profits it stood to make had the whole agreement reached its maturity date. You will be forced to pay some money as prepayment penalties.
It is also important to note that before your loan application will be approved, you would also need to demonstrate an income stream that is solid. You will also need to show a good profile of your management team and the building plans and blueprints of your premises. In case you have leased out the premises to a sole tenant then they must demonstrate that they have a financial strength that is sound and solid as they are also considered as business.
About the Author:
Tom G. Honeycutt is a full-time real estate entrepreneur in Atlanta, GA. Tom helps readers by providing practical and useful knowledge to better understand lending choices. If you are looking for Best Atlanta Private Commercial Lenders he recommends you check out www.ifundinternational.com.