Banks and other lending institutions tend to be fairly conservative when it comes to commercial loans because they’re typically much larger than residential loans. In addition, with a residential loan the bank is basing its decision to approve or deny in large part on the marketability of the signatory. That is, the ability of the borrower to either keep their current job or be able to find another one if need be. Whereas with a commercial loan the lender must try and determine whether the business itself has a better than even chance to remain viable, and that can entail analysing a host of complex factors. Homeowners are also thought to be less likely to default since it would mean losing the roof over their head.
RMAI/Loancentral.ca : The Source for Commercial Mortgages in Toronto
Because commercial mortgages are considered much riskier than their residential counterparts everything from your credit history to your current cash flow and ability to meet your debt service obligations will be analysed. Should anything seem out of sorts most banks will pull the plug. That’s why we’re here. We take a more nuanced approach to commercial mortgages in Toronto and draw on an enormous pool of potential lenders to find the one that’s right for you.
Things to Look for in a Mortgage Lender
- Are they licensed? – It may surprise you to know that not everyone who works on commercial mortgages at the bank or credit union is licensed. In fact there’s no law stating that they have to be. At RMAI/Loancentral.ca all our agents are fully licensed by the Financial Services Commission of Ontario and are highly trained in alternative lending solutions.
- Do they have the requisite experience? – The last thing you want from a lending agency is to discover they’re just starting out and staffed with agents that are still wet behind the ears. At RMAI/Loancentral.ca all of our principles have many years of experience in both the residential and commercial mortgage arenas. And we put every day of that experience to work for you.
- Do they offer a variety of finance options? – You don’t want your commercial mortgage agency to be a one trick pony. You want to know about the full range of your options so that you’re sure to get the most attractive interest rates and generous repayment terms. RMAI/Loancentral.ca works in partnership with an array of public and private lenders so you’ll always have scores of options to choose from.
Taking the Dread out of the Commercial Mortgage Process
Whether you’ve been in business for years or are just getting your feet under you securing commercial mortgages in Toronto can be a daunting task. Instead of working with one bank or mortgage company at a time why not come to RMAI/Loancentral.ca . We’ll submit your commercial loan application to our entire network of private and public lenders and then present you with a range of financing options from which to choose. Call us today to find out more.