Commercial Real Estate
Commercial mortgage loan application requirements
Business side:
- Loan application for buildings
- Last 2 years of business taxes
- Last 6 months of business bank statements
- Profit and loss statement for last 12 months
- Debt schedule listing all current business debts and rates
- All relevant contracts or licenses needed to operate or obtain a loan
- Most recent mortgage statement and hazard insurance policy (if a refinance)
“Contracts or licenses” may include any existing tenant leases/rental agreements and any permits required by the state or municipality prior to entering into a contractual encumbrance.
Personal side (required for each applicant and/or owner of the property):
- Signed credit authorization form & electronic disclosure form
- Last 2 years of personal taxes
- Last 6 months of personal bank statements
- Last 2 paystubs, if available
- Your home’s latest mortgage statement, if any
- Proof of downpayment, if a purchase
Commercial mortgage rates
| Mortgage Product | Initial Rate on First Lien Commercial Real Estate (mortgage amounts of $500,000 or less) |
|---|---|
| 1/1 Adjustable Rate* | 6.55 – 6.90 |
| 5/1 Adjustable Rate | 6.85 – 7.20 |
| 5/5 Adjustable Rate | 7.15 – 7.50 |
| 10/1 Adjustable Rate | 7.25 – 7.60 |
* The 1/1 ARM is only available for lines of credit.
The first number indicates for how many years the initial rate is fixed. The second number indicates the annual frequency of adjustment. For example, a 10/1 means an adjustable rate mortgage whose rate is fixed at the initial rate for 10 years and then adjusts every year thereafter.
Jumbo loan premium: For loan amounts exceeding $500,000, add 0.25 points for each $250,000 in excess of $500,000. For instance, a $600,000 loan would add 0.25 points, and a $800,000 loan would add 0.50 points.
The maximum loan term is 15 years and the minimum loan-to-value is 75 percent.
Email a mortgage loan officer for details at loans[at]brooklyn.coop, or call us at 718-418-8232 x5.