Having the right vision when developing a new commercial property is a great way to set a (literal and figurative) foundation for success. However, without having sufficient capital to finance development opportunities along the Front Range of Colorado including places like Fort Collins, Boulder, the Denver Metro Area and everything in between, it becomes difficult to execute these projects. While going through national banking organizations is an option to receive this kind of commercial development funding, there’s an easier solution that we offer here at Abbey Mortgage & Investments.  

Colorado’s Commercial Loan Expert Can Help You

With years of successful financial transactions and financing projects under our belt, there’s no doubt that the team at Abbey Mortgage & Investments is your surefire lending solution to make your commercial development dreams a reality. In today’s blog post, we’re going to take a good look at some of the ins and outs of commercial mortgage loan financing. We want our readers to be fully informed about the commercial lending process and everything that it entails, so continue reading on below to learn more. For more additional information about Colorado commercial loans, you can also visit here.

 What Is A Commercial Mortgage Broker, Exactly?

We’ve covered this topic before, but it’s really important to know exactly what’s at hand here. A commercial mortgage broker has expertise in the many financing options for real estate loans for business purposes. This includes business ventures like purchasing a small office building or a large medical facility, buying a multi-family home with the intention of renting it out or even building a church or arts center. Whatever the commercial property investment is at hand, brokers can help you get financing for renovations, land or expansion.

Brokers Are Different From Bankers

Unlike mortgage bankers, brokers can actually foster relationships with a multitude of lenders and investors, and those relationships are not exclusive. So, mortgage brokers possess more flexibility in finding options that traditional banks simply cannot provide. Additionally, mortgage brokers can take you through the entire loan process, including doing things like making sure that you have everything you need to pre-qualify. Sometimes, mortgage brokers even remain available after your loan closes to assist you with anything else that you need concerning your mortgage.

Commercial mortgage brokers may only work in a certain region – for the experts at Abbey Mortgage & Investments, that region is Colorado. While national and international firms exist, these companies generally work ‘higher-ticket’ deals and thus receive larger commissions.

What To Expect With A Colorado Commercial Mortgage Broker

Generally speaking, a mortgage broker takes you through the entire loan process from pre-qualification to closing. However, before he or she starts shopping for your loan to find the right fit and the best deal, the broker will also review your paperwork and talk to you about your specific situations in order to figure out what the best option is for you. You’ll also discuss things like your expectations for loan payments, closing costs, prepayment fees and other loan-related information.

If you are purchasing land or an existing building, brokers often bring in third parties in order to verify the condition of the property. This speeds up the qualification process but also helps you by alerting you to any issues regarding the property that you may not have known about.

Real Estate Financing Options With Your Broker

Next, the broker should seek out all of your real estate financing options. Brokers should have relationships with more than one bank, and they often have expertise in other areas of business financing. In some cases, this could be a Small Business Administration Certified Development Company (SBA CDC) loan or an alternative funding solution through a non-traditional lender like an investment company or an insurance firm. Either way, your commercial mortgage broker should not just settle for one deal or the first deal, but instead, bring you a list of options to choose from.

Consequently, the broker should then present the best commercial mortgage loan options for you to consider. This is nice for you as the loan beneficiary because you have the power in the decision-making process. But if you’re confused or have questions, don’t worry – he or she can answer any questions that you might have and review the details of the loan. The broker stays with you through the entire closing process, negotiating on your behalf.

Determining If A Commercial Mortgage Broker Is Right For You

Brokers can be expensive and, like all commission-based professions, profit is expected – they’re business people, after all. However, commercial loan brokers can save you time, money and frustration, especially if you can relate to any of these cases:

  • You don’t have any time to shop different brands
  • You are not familiar with the commercial loan process and you don’t know all of the alternatives
  • You have unique issues or a unique situation that makes getting a loan more difficult
  • You have already tried to secure a commercial mortgage on your own but you were not satisfied with the results
  • You want to see all of the possible financing options available, but you don’t have the time, rationale or the expertise to do the research yourself

Stay Tuned For More Information About Commercial Mortgage Lenders

If you’re looking to get the right Colorado commercial loan, securing a large amount of funds for commercial development purposes might seem a little daunting. However, your friends at Abbey Mortgage & Investments, your commercial hard money lender, can help you secure a commercial loan on a more timely basis than banks or other national or international lender options. Contact us today to learn more about asset-based lending, bridge loans and more!

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