Stated Income Commercial Real Estate Loans for Your Business
If your business is property investment and management, you already know you need financing that fits your individual goals for each of your new acquisitions. There are a lot of options available, but they do all revolve around treating each acquisition as its own event. Luckily, there is also a commercial real estate loan package that can be used to consolidate equity, allowing you to better manage your portfolio as a unit. It’s called the stated income commercial real estate loan.
How Stated Income Loans Work
Stated income loans are based on the earning capacity of a building and not its resale value. That basically means the loan treats the building as a business and not as an asset that is just there to be traded and sold. This allows you to use the funds more flexibly, too, because it isn’t tied to an acquisition. You can use it to buy new properties, renovate as needed, or even to branch out into a new investment opportunity.
- Financing up to $5 million
- Credit score of 600 or higher
- W-2 or self-employment verification
- Purchase, refinance, or cash-out refinance
- Terms up to 25 years
- Up to 65 percent LTV for commercial properties
- Up to 70 percent LTV for 1-4 unit residential properties
- Up to 75 percent LTV for 5+ unit residential properties
This flexibility makes it easy for you to find the financing you need to empower your portfolio. Let your most accomplished and highest-earning properties finance the new investments you make in other locations. It not only hedges your risks effectively, it also provides you with the opportunity to grow your portfolio faster, so you reach your goals more quickly.
For more information about stated income commercial real estate loans or to start an application, contact us today. Compass Commercial Solutions has associates ready to help during regular business hours.