Trying to buy commercial property. Need some advice
CRE
I am trying to purchase a commercial property in my town. The owner has stated that they are willing to sell the property to me, and has asked me to make an offer. My plan for this property is to buy it and eventually start a business in it. I have the idea for the business, I am just not ready to start up. However, the property is in the perfect location, and is what I want. My question for all of you is; what options do I have for getting a loan for this property? I would be wanting to take out a loan under my name, not as a business or as a part of a commercial entity. Any suggestions? At the moment I'm kind of stumped. Thanks in advance for any help

[{"id": "cgpfbng", "text": "It's not very easy to get a loan on vacant commercial property without putting down a pretty large down payment (I'm assuming the property is vacant judging by your wording).\n\nI don't know what your timeline is for moving into the building but if the current owner found a tenant that was willing to sign a lease that would allow you to kick them out after a certain number of years, this will make your getting financing much easier.\n\nYour other option is to purchase the property in cash but I'm guessing this solution is not ideal for you.  ", "replies": [], "depth": 1}, {"id": "cgpgzue", "text": "At best your lender is going to require 20% down, and require a business plan and supporting financials to show you have the wherewithal to make payments. To figure out how much you should offer, you can get a decent idea of the value of the building by looking at the property appraiser report, but it's market value will most likely be much higher. Use a broker to get area comps and justify the price you intend to offer. \n\nAs a broker myself, we talk with a lot of prospects before working with them and I can tell you 99/100 times if they say they are \"thinking\" of opening up a business or have an \"idea\" for a business, they are not even close to being able to operate a success business. Commercial property entails a high amount of liabilities, so purchasing and opening a business without start up capital, a business strategy, and a knowledge of the required insurance needs and costs, you put yourself in a very vulnerable position. \n\nIf you are able to put together everything you need to start up a business concept, it sounds like your best option would be to ask the owner to lease the property to you with the option to purchase after a set amount of time.", "replies": [], "depth": 1}, {"id": "cgpxi5o", "text": "Go to your bank and speak to a loan officer.  Provide your financials.  They will tell you what you can qualify for, usually within 24 hours of handing in all your information.", "replies": [], "depth": 1}, {"id": "cgv8sre", "text": "If you have the personal cash flow and liquidity to support the loan, you'll likely get it approved. Without any business income, or cash flow from the property itself, the primary source of repayment will fall back to you.", "replies": [], "depth": 1}, {"id": "ch5sx6b", "text": "If you want to take a loan under your name, not as a business or as a part of a commercial entity, so you have to go for personal loan and it has some limitations. I think that you must be aware of that and there is no other option.", "replies": [], "depth": 1}]