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Lending on Commercial premises is not carried out by all lenders. There are specialist lenders and lending departments that are experts on company finance.
Generally, without additional security commercial mortgages require at least a 20% deposit to secure the mortgage. However, at a push some lenders will go to 15% at a stretch.
If you have a home that can be used as surety for the commercial mortgage some lenders will offer up to 100% commercial mortgages. For example, if you have a £500,000 home that can be used for additional security that may enable the lender to use a very low loan to deposit ratio.
Natwest and the Bank of Scotland offer very good commercial mortgage and remortgage products for those that are status cases with a good credit history. If you are looking to self cert a commercial mortgage, or have a bad credit history, Commercial First can be a good option for your company mortgage finance.
Typically Commercial Mortgages are used to:
Buy a shop
Purche an office
Buy a pub
Clear a business overdraft
Improve business cashflow
Buy a Bed and Breakfast (B&B) or guest house
May, 8th 2007
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With so many mortgage products on the market... Fixed rate, trackers, capped, interest only, flexible rate, variable rates, offset... it can be difficult to decide which is the best to meet your goals. The criteria that each lender are looking for in a borrower are different as well. Meaning it can be difficult to make a complete application swiftly and efficiently.
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