Office Building Loans
For real estate investors or businesses that are looking to invest in buildings for office purposes, need to request and apply for office building loans since every type of property can be purchased with a loan as long as it is the right one.
Commercial real estate loans are the credits most investors and owners aim for whenever they need to purchase a new property. However, the range of these credits covers many options and as a result, you are not guaranteed to obtain it if you are going for office buildings.
In terms of having your loan approved or not, it’s clear that requirements and conditions also influence the final decision of the lender, but when you have the factor of having a specific property in mind for it, the best choice is to go for a credit that covers that type of real estate.
Therefore, this is what you need to understand when you are going for a real estate investment in an office building or if you want to purchase it for your business: a commercial real estate loan is too generic. Instead, office building loans offer more opportunities or chances for investors and owners to purchase the required property, pay lower interest rates, and the conditions for application will be different.
One of the main differences between applying for a commercial loan and an office building credit is not having to provide a large history of bank credits or balances. Most of the requirements depend on the lender from whom you are requesting the money, but if you are going for a private one instead of relying on banks, insurances, or similar institutions, you should be able to have more freedom and access flexibility in every step. This will lead you to access enough capital to finally purchase the office building for your company or to invest in one that will become either a passive income or a large project of renovation for sale and revenue.
Now, is it a good option to rely on private lenders instead of the usual institutions? Absolutely. Most of the old entities that provide loans for office buildings have to follow regulations and different conditions, which results in them not approving most of the loans and even setting new conditions now and then.
Accessing one can be difficult for companies that are new in businesses and for real estate investors that are ready for a bigger investment. To avoid all this plus having the loan approved in only a matter of days, our team at Commercial Real Estate Loan Pros of West Palm Beach offers office building loans that can give you the capital you need. You won’t have to use your money and savings nor most of the income or revenue you perceived from the last investment.
We will just evaluate your status, bank movements, and your situation. Based on this, we will set conditions that fit more your needs and desires. With us as your lenders, you have more chances of building a sustainable real estate career or finally save your money for rental responsibilities thanks to the investment in your office building.
Can you use office building loans to purchase new office buildings only?
Not quite. Although most investors and owners go for this type of credit intending to acquire a brand-new office building or one that only needs renovation, it isn’t entirely necessary to focus on this only. Instead, you can also apply for this credit if you’re aiming to build an entirely new office building, but the conditions for this relationship between office buildings and construction purposes are a bit more difficult to fulfill.
On the other hand, it is possible to add an existing building or expand the areas of the one you already own by using the loan you request. In short, it isn’t a specific credit for you to purchase an entire office building from zero but rather invest in it as well if this is what you’re aiming for. This is the main reason why office building loans are better than commercial real estate ones: because they give you more flexibility in how you can use them.
For example, if you are a real estate investor that already has the building but you need to renovate it, you can use the loan to work on this aspect. After all, some investors decide to use their own savings and capital when the property is completely worth it or haven’t been able to get their credits approved for the acquisition.
Another good example is to imagine you are an owner that is looking to expand the areas or even build a new building in the already existing structure. This is expensive and when you go for the loan to finance it, you can afford the investment much more and have the opportunity to use your own capital for things that cannot be delayed or handled with a credit.
What are the general terms for these loans?
Even when it refers to ‘general terms’, it usually depends on the lender since it establishes its own conditions and requirements. Unless you are deciding to apply for one in a bank or other institutions.
With us at Commercial Real Estate Loan Pros of West Palm Beach, you won’t have to cover several requirements and conditions. Since we work around your situation and what you are looking to achieve with the loan, we will set different conditions for the application but also, agreement.
However, you can keep in mind that our credits for these properties vary according to how valuable they are and how much you will invest.
This is why you need to consider that our loan sizes start at $500,000 and there’s no maximum for them, but you can’t randomly apply for a high amount unless it is justified. When it comes to general terms of repayment, most of our credits are up to 30 years amortizations and up to 75% LTV.
If you are an owner occupant—which means you will use the office building you acquire and not as an investment—, you also obtain more benefits and different conditions. For real estate investors, we set other standards based on the type of office building loan they apply for as well.
There’s a lot to consider when you go for credits and although we are flexible and make it easier, we want you to know that it takes some trust and proofs for us to approve it. But don’t worry, more of our general terms only focus on 3 to 25 years of fixed-rate options and multiple repayment options in case you need them. In other words, they are usually for your benefit.
There are so many areas or regions where we offer these services with most of them being cities.
However, if you need any of these services, you need to contact us. The list below comprises the areas where we offer these services.
We service all counties and cities throughout South Florida. However, if you need any of these services in other cities throughout the state of Florida, please contact us. See what services we offer below: