How To Find A Commercial Mortgage Lender Who’s Still Lending

Commercial lenders are a bit dodging commercial loans these days as if it is so terrifying. Given that, commercial lenders would rather spend time watching baseball at home or get an operation rather than fund a commercial loan. But don’t be afraid that you won’t be able to get approval or find a mortgage lender who would still approve that loan you have been needing.

It is Really Quite Tough

With the commercial real estate that has gone down by almost 40 percent, economists are afraid of another possible recession which will make the commercial real estate tumble down some more which is the reason why banks are scared. With this, commercial mortgage lending has been falling and is now 70 percent down compared to 10 years ago. Even bonds that are backed up with commercial mortgage loans aren’t being bought by investors anymore. There are still commercial lenders who approve such loans though, but they require a loan amount of $5 million and the commercial property must be almost new.Aside from these, the borrower must be satisfied with a loan-to-value amount of 55 percent. Banks also approve such loans, but only if the borrower is a big depositor who maintains large cash deposits with the bank. The borrower’s credit score must also be almost perfect and the commercial property must look a bit fancy and fully leased. This means it is really quite tough to find a lender who would still approve that commercial mortgage.

What Now? Can I Still Find a Lender?

If you have a good amount of cash but your bank doesn’t want to approve a commercial mortgage loan or the offer they are giving isn’t good enough for you, try moving your money to a smaller bank in the same town. Try moving all of your money there while asking for a commercial mortgage. If you do not have that kind of cash, you can refinance your home and put the cash on a checking account. They will be safe there until you find some bank who will give you that loan. You can also try submitting an application to 50 or more banks so you have more chances of being approved. For more tips and information about commercial mortgage loans you can visit