Obtaining financing for distressed commercial real estate can be challenging. Even if the commercial property is a good bargain, financing your distressed commercial real estate maybe limited.
Purchasing Distressed Commercial Real Estate
A distressed asset has a negative or poor cash flow; otherwise, it wouldn’t be classified as “distressed”.
Q.) How will lenders be able to lend if a commercial real estate property isn’t cash flowing?
A.) A private money or commercial hard money lender will lend on distressed commercial real estate with a lower loan to value or possibly include cross-collateralizating upon your other real estate investments.
Q.) I have years of experience with distressed commercial real estate properties, will this help my commercial loan approval?
A.) Of course, a proven track record of a commercial real estate portfolio is very helpful.
Q.) Do I need good credit and cash reserves to be qualified for purchasing distressed commercial real estate?
A.) It depends on the property type you are purchasing, for example, a distressed marina will require good credit and a possible cross-collateralization with cash reserves. Example 2) A distressed medical building will not require cross-collateralization. Cross collateralization is an underwriting guideline decision.
Q.) What property types does your company finance?
A.) First of all, we are not a direct commercial hard money lender. We do not charge upfront broker fees for our alternative commercial lending programs. Also, we work with reputable lenders nationwide, which gives you the advantage of obtaining a decent loan. Click here to our commercial real estate loan programs
Refinancing Distressed Commercial Real Estate
If you’re in pre-foreclosure or foreclosure status on your commercial real estate loan, we may be able to help you.
Q.) How can you help me if I am in foreclosure or pre-foreclosure status with my current commercial real estate loan?
A.) We would first provide you with a free consultation to discuss whether or not we may be able to help you exit out of your current pre-foreclosure or foreclosure situation. This all depends if your current lender will accept a possible short pay off, in most cases, the lender will take a short pay off only if you have negative equity. The new lender will require you to have a minimum credit score to be qualified. The lower the credit score, the lower the loan to value for your commercial foreclosure bail out loan.
Q.) I have bad credit, can you still help me get financed for a commercial real estate loan?
A.) If you are currently late on your home loan and late on your commercial real estate loan, your chances of obtaining a new commercial real estate loan are limited.
More questions? Your alternative lending source for commercial hard money is just a phone call away. Our consultations are free.
For more information on how we can help you locally finance your Commercial Hard Money in Palm Beach Gardens FL and Jupiter FL, please fill out the online contact form about your concerns or give us a call at 561.244.9914. Read what our valued clients have to say about First Pro Capital on our Testimonials page.
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