Commercial property loan features
What are the typical features of a commercial property loan?
Full doc: Individuals, companies, trusts and self-managed superannuation funds are acceptable.
Term: Up to 15 years (longer on application) or 30 years for residential security.
Interest only: Up to 5 years (longer on application).
Interest rate type: Variable, fixed (up to 5 years) or bank bill facilities.
Additional repayments: Allowed on variable loans.
Redraw: Allowed for amounts that you have pre-paid.
Offset accounts: Normally not available.
Line of credit (LOC): Available at higher interest rates.
Capitalised interest: Available for development or land sub-division finance.
Each lender has their own target market, products and pricing so it is important to get matched with the lender that can accommodate your needs. This is where an experienced commercial mortgage broker can help.