Comercial RE Financing

[black95gt]

ok, i'll check into it

[Mdhaas]

Your rate in commercial is similar to that in residential.  It is based off of your credit, income (although some are stated programs), assets, etc.

[4EEM]

Assuming your "A paper" a good rule of thumb for figuring out rate on a commercial loan fixed with a 20 year amort is prime + 1.  There are a lot of factors involved when comming up with a rate, but none the less, it's a good rule of thumb.  NOTE:  Prime rate is published in the Wall Street Journal.  Prime is currently 6.5%  

[Wes]

"Assuming your "A paper" a good rule of thumb for figuring out rate on a commercial loan fixed with a 20 year amort is prime + 1.  There are a lot of factors involved when comming up with a rate, but none the less, it's a good rule of thumb.  NOTE:  Prime rate is published in the Wall Street Journal.  Prime is currently 6.5%"  


Assuming "A Paper" your local bank will usually offer 20 year amortization.
However, 25-30 yr Amort. are easily available and can make a big difference in your cash-flow.

Commercial loans based on the Prime Rate are usually "Short Term" such as for Bridge loans, Construction Loans, etc.

Most Commercial loans are based on the 10 year Treasury yield which is currently at 4.29%.  Adding 1.5-2% to that rate should put you in the right ball park for many types of loans.

Also, as of last week, Prime Rate is now 6.75%.

[strted@22]

hey commercial lender or anyone,

what are the tax advantages for a seller in holding back a mortgage?

thanks ???

[haschade]

If seller carries some or all of the mortgage, s/he doesn't have to take the tax hit (assuming s/he has capital gains) all at once.  It defers the tax impact to the seller.