Loan-to-Value Ratio Basics for Real Estate Investors

Loan-to-Value Ratio Basics for Real Estate Investors

As a commercial real estate investor, you've likely heard the phrase “loan-to-value ratio.” You likely also know that this ratio is important to your success in the loan application process. But what exactly is the loan-to-value ratio, and what do you need to know about this sum before entering into a loan agreement? We'll address these questions in this latest post, as we explain more about loan-to-value ratios.

6 Top Reasons Why Borrowers Refinance Their Commercial Property

6 Top Reasons Why Borrowers Refinance Their Commercial Property

If you have a mortgage on your commercial property, the thought of refinancing is always fairly top of mind. That’s because the relatively short term length of most commercial loans (5-7 years) makes refinancing a necessary part of your long-term financial strategy.

But investors don’t just refinance when their loan matures.  There are numerous situations where securing a new loan can provide short and/or long-term benefits. Here are some of the most common reasons why a borrower might refinance their commercial property.

3 Reasons Investors are Turning to Commercial Bridge Loans

3 Reasons Investors are Turning to Commercial Bridge Loans

In the past, prospective commercial real estate investors had few options when it came to securing short-term, transitional loans for their properties.

Thankfully, private lenders and lending institutions have come up with some creative solutions to help investors, one of which is the commercial bridge loan. This loan provides more options for those in need of a temporary loan to help them prepare for more permanent financing.

Pros & Cons of Commercial Mortgage Bridge Loans

Pros & Cons of Commercial Mortgage Bridge Loans

Commercial real estate financing can take many different forms. Some borrowers are looking for a permanent financing option as they look to execute their long-term investment strategy. Others need a more short-term solution in the form of a transitional, or “bridge” loan. Here is a quick rundown of this type of loan – perhaps it’s the idea solution for your current financial needs.

Important Commercial Real Estate Terms You Should Know

Important Commercial Real Estate Terms You Should Know

As with any sector or industry, the world of financing and commercial real estate has its own terminology. It can take some time to get up to speed on what these terms mean and how they affect a commercial real estate investor. But if you're serious about entering into this area of business, you need a firm understanding of real estate and investment terminology. Here is a brief explanation of some of the most common commercial real estate terms.

How Can Commercial Investments Benefit Your Portfolio?

How Can Commercial Investments Benefit Your Portfolio?

You may be thinking it's time to either create or improve your portfolio. If you're new to the world of business, and you're not sure what a portfolio is, it's simple. A portfolio is your range or "collection" of different opportunities that you've decided to invest in, hoping that they will generate a sizable return of profits to you.

Here are a few ways commercial real estate investments can help build your overall portfolio.

3 Ways The New Tax Laws Impact Commercial Real Estate Investors

3 Ways The New Tax Laws Impact Commercial Real Estate Investors

At the beginning of 2018, federal tax reforms came into effect that will have a beneficial impact for many commercial real estate owners. But if you want to take advantage of these tax reforms, it’s important to understand what they are and how you can use them to increase your profits and save money. Read on to learn about 3 instances where these tax reforms can make a serious impact for commercial real estate investors.