Commercial Mortgage

A commercial mortgage is a mortgage loan secured by commercial property, such as an office building, shopping centre, industrial warehouse, or apartment complex. The proceeds from a commercial mortgage are typically used to acquire, refinance, or redevelop commercial property.

Commercial mortgages are structured to meet the needs of the borrower and the lender. Key terms include the loan amount (sometimes referred to as “loan proceeds”), interest rate, term (sometimes referred to as the “maturity”), amortization schedule, and prepayment flexibility. Commercial mortgages are generally subject to extensive underwriting and due diligence prior to closing.

• Rate of interest is lower than personal loan or loan against any security such as shares, gold etc. slightly higher than home loan. Interest rate range 12.5 % – 14% per annum.
• Income proof of three years
• Easy eligibility – Minimum Age – 24 years – Maximum age – 60 years for salaried & 65 years for Self Employed. LAP available for maximum term of 15 years.
• Repayment by way of EMIs, similar to housing loan.
• Pre-payment option available
• Can claim the entire amount of interest paid as business expenses, if used purely for Business purpose