A Commercial Property Loan Melbourne is a loan secured by commercial property such as an office, a building, an apartment complex, shopping center, warehouse, or other similar commercial property. A Commercial Property Loan may be required by someone who wants to buy commercial property or improve and expand their existing commercial property.
A Commercial Property Loan Melbourne can be applied in the form of a Fixed Rate Loan or a Variable Rate Loan. Additionally, most commercial property loans generally run for a minimum of 1 year and a maximum of 15 years.
Questions to ask yourself when applying for a Commercial Property Loan Melbourne:
1.) How much money do I really need?
- This is an important question to ask before taking out a Commercial Property Loan Melbourne. It is wise to have a drafted plan which includes the reason why you need to apply for the loan, how you intend to repay the loan and over what time period. No matter whether you are taking out a small or larger loan, a plan for the repayment of the loan is important and you need to consider any possible interest, upfront or on-going charges.
- The number one reason why many people are not able to repay their loan according to the terms of the loan for which they applied is not because of lack of funds generated from their commercial property, but instead because they did not fully think their loan through and did not have a set plan.
2.) Can I meet the Loan Repayment Terms?
- The drafted plan recommended above can help you identify the loan repayment term that will best suit your circumstances. Most loans are repaid through a set number of payments over an agreed period of time and these payments usually include a portion of the unpaid balance of the loan plus the interest computed from this balance.
- This type of payment is known as principal and interest but it is not the only repayment type. Interest Only and interest in advance are other options to consider. You should discuss this with your accountant to identify the best option for you.
As mentioned earlier, most commercial property loans generally run for a minimum of 1 year and a maximum of 15 years and your loan maturity (which refers to the final payment date of a loan), will be based on your ability to repay the commercial property loan.
If you have any questions or would like to discuss further about applying for a Commercial Property Loan Melbourne, please do not hesitate to contact Lending Specialist on (03)8805-1800 or email firstname.lastname@example.org