Chris Gallant Uncategorized

“You cannot get a commercial mortgage outside of Toronto,” he told me. “Lenders in Toronto do not think that there is

anything of value outside of their area!” This was from a potential client, and in some ways, he is right, but not in the fact that Toronto won’t lend outside of their area. They will lend to Chatham-Kent, Windsor, Essex County, Sarnia, Lambton County and more, you just need to know the type of commercial lending they do, and what they are looking for.

There are many types of commercial loans:

  • Long-term fixedinterest commercial mortgage. A standard commercial real estate loan from a bank or lender works similarly to a home mortgage but with broader uses and shorter terms. …
  • Interest-only payment loan. …
  • Refinance loan. …
  • Hard money loan. …
  • Bridge loan. …
  • Construction loan. …
  • Blanket loan, and so on.

If you have a lender that is more comfortable with a “refinance” loan, they may not look at a “construction” loan, so you will probably end up with a no and vice versa. The challenge is to match the type of loan you are looking for to the right lender.
Over the years I’ve obtained many commercial loans for clients in Chatham-Kent, Essex County, Windsor, Lambton County, Sarnia and even London by knowing which institution was looking for which type of loan. No matter what the amount, there is almost always a Financial Solution, it’s a matter of knowing who wants what!

Next time we will look at Asset versus Repayment, or for some, appraised value versus revenue. You will be surprised at what banks and institutions look at. This is where the famous sentence comes from, “but I only wanted an LTV (loan to value) of 50%, why was I declined”?


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“You cannot get a commercial mortgage outside of Toronto,” he told me. “Lenders in Toronto do not think that there is

anything of value outside of their area!” This was from a potential client, and in some ways, he is right, but not in the fact that Toronto won’t lend outside of their area. They will lend to Chatham-Kent, Windsor, Essex County, Sarnia, Lambton County and more, you just need to know the type of commercial lending they do, and what they are looking for.

There are many types of commercial loans:
  • Long-term fixed-interest commercial mortgage. A standard commercial real estate loan from a bank or lender works similarly to a home mortgage but with broader uses and shorter terms. ...
  • Interest-only payment loan. ...
  • Refinance loan. ...
  • Hard money loan. ...
  • Bridge loan. ...
  • Construction loan. ...
  • Blanket loan, and so on.

If you have a lender that is more comfortable with a “refinance” loan, they may not look at a “construction” loan, so you will probably end up with a no and vice versa. The challenge is to match the type of loan you are looking for to the right lender. Over the years I’ve obtained many commercial loans for clients in Chatham-Kent, Essex County, Windsor, Lambton County, Sarnia and even London by knowing which institution was looking for which type of loan. No matter what the amount, there is almost always a Financial Solution, it’s a matter of knowing who wants what!

Next time we will look at Asset versus Repayment, or for some, appraised value versus revenue. You will be surprised at what banks and institutions look at. This is where the famous sentence comes from, “but I only wanted an LTV (loan to value) of 50%, why was I declined”?

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