Commercial property loans

Commercial Property Loans

Commercial property loans are a type of loan that’s used to finance the purchase or improvement of commercial real estate. They’re also known as real estate loans or property loans.

Typically, commercial property loans are designed for businesses who need money to purchase or upgrade a business property. This might include buying an office building, acquiring land for a new business development, or investing in renovation work on an existing property.

Common Use Cases

• Expansion of a business that may require additional space to increase production output.
• Renovating an existing business premise.
• Buying assets and new equipment.
• Securing a business outlet in a different location, such as restaurants opening up another franchise in a different suburb.

Interest Rates

We understand that every business is different, which is why we offer a variety of loan types that are tailored specifically to your needs. You can choose from fixed rate, variable rate, split, principal and interest only loans, all of which are available with flexible terms and conditions.

Interest rates for commercial property loans have generally been higher than residential property loans, this is because commercial properties are regarded as “higher risk” as during a downturn of the economy, commercial properties can be expected to be vacant.
Because of its higher risk status, commercial property loans have a higher LVR, where most of the time the borrower would have to provide a 30% deposit on a 70% LVR while residential loans are normally at 80% LVR.

Speak To Us

With commercial property loans, you can quickly and easily find the best solution for your needs. We offer a variety of loan options, so you can find the right one for your business. If you are in need for a commercial property loan, feel free to reach out to us at [email protected] or call 0433 068 970 (Leo).