Many people, when faced with the prospect of acquiring a commercial mortgage, are unprepared for the often complex and confusing process. Many will have already have obtained a mortgage for their own home, and will have come to the table with preconceptions based on their experience whilst procuring their residential mortgage.
A commercial mortgage is a very different kettle of fish, and a commercial mortgage broker is fully trained and prepared to deal with the myriad of subtle differences which separate a commercial mortgage from a private home owner’s mortgage.
Quite often a commercial mortgage lender will want to see a whole host of accompanying documentation with the mortgage application. You may be asked for audited company accounts, a strategic business plan showing how the new mortgage will be assimilated into the business, and you may well be asked for personal guarantees. A commercial mortgage broker will be able to help you get through all of this. The actually borrowing process is also somewhat different to a residential mortgage, in the commercial world lending is based around extremely complicated criteria, requiring expert understanding that only a commercial mortgage broker will be able to provide.
There are also two main forms of commercial mortgage, both may seem the same on the surface but they are far different. First there is the mortgage for an existing venture, buying a business that has a property attached to it such as a bar or a restaurant. Secondly there is the acquisition of new property by an existing business; such as purchasing new office or warehouse space. Each of these two mortgage types will need to be approached differently; this again is something a commercial mortgage broker can assist with.
Using a commercial mortgage broker will simplify the entire process of applying for a commercial mortgage. Your commercial mortgage broker will assess your needs, and assist in preparing all of the required documentation. Once they are fully aware of your individual situation, they will then locate the best commercial mortgage for you, by searching the lending market based on your requirements.
Once your broker has located a suitable product, he will explain everything to you clearly and assist you with preparing the documentation required by the lender, and then help you through the entire application process, advising on problems that arise.
Most business owners are looking to find a commercial mortgage broker who is willing to give them a high level of service, paying attention to detail and streamlining the entire process of obtaining a commercial mortgage. Because of this requirement, more and more independent business owners are seeking the services of an independent commercial mortgage broker than ever before. By using an independent broker, you will be receiving a far more personal service, from an expert in the field who is fully capable of analysing and understanding your specific needs and requirements, before helping you achieve your goal of obtaining your mortgage.