Posted by Maria on September 05, 2006 at 22:25:41:
Can’t wait to get the details!
Can I get a loan on commercial land? - Posted by Maria
Posted by Maria on September 05, 2006 at 19:43:58:
Help ! I know nothing about commercial real estate. I am trying to purchase a vacant lot for a business that I have. The price range on the properties range from $100000 to $ 400000. Can I get a loan? Do I have to put 20% down. Any guidlines on a commercial loan?
Thanks in Advance,
Re: Can I get a loan on commercial land? - Posted by zach
Posted by zach on September 05, 2006 at 20:49:29:
On raw land alone you’re likely at 60-65%ltv. You have not indicated if this land is developed/entitled or not. If the land is ready to be built on you can potentially do a a loan for 85% loan to cost. Cost being land purchase + construction of an office
Re: Can I get a loan on commercial land? - Posted by Ellis
Posted by Ellis on September 05, 2006 at 20:44:54:
Hi Maria,
Typically on land purchases, lenders will give an LTV of about 50-60%! Is this a start up business or a business that is already functioning that you are moving to a new location? How much money do you have to put down?
Kind Regards,
Ellis Dandy
Re: Can I get a loan on commercial land? - Posted by Zach
Posted by Zach on September 05, 2006 at 20:16:51:
What is the business? Will you be constructing an office building on this lot?
Re: Can I get a loan on commercial land? - Posted by Maria
Posted by Maria on September 05, 2006 at 21:48:07:
One lot is developed and the other lot is raw, very raw. If the land is ready to be built upon, can I get the loan for the land and office / warehouse for 85% loan to cost? If I understood correctly.
Thanks for any advice,
Maria
Re: Can I get a loan on commercial land? - Posted by Maria
Posted by Maria on September 05, 2006 at 21:41:57:
I have an established business for over 11 years. I have rented my locations in the past and it’s time for me to own my own dwelling. I will still be running my business in the same general vincinty. I have just under $200000 cash available.
One of the lots I’m looking at needs work , tree removal, concrete poured, etc asking price $ 90000. Another lot I’m looking at has pavement with 4 old moblie homes asking price $400000.
I have been investing in residential real estate for the past 3 yrs, however, I find commercial is just a completely different animal.
Ideally, I’d love to find a warehouse, with an office and parking for 30 vehicles, however the location that I want it is way out of my price range or it’s just not listed, that is why I’m starting with a vacant lot.
I’m all ears,
Maria
Re: Can I get a loan on commercial land? - Posted by Maria
Posted by Maria on September 05, 2006 at 20:35:07:
I have a transportation company. I’ll need to construct a small office, or put one of those manufactured offices. I need the land to park vehicles.
Re: Can I get a loan on commercial land? - Posted by zach
Posted by zach on September 05, 2006 at 22:10:57:
Yes this is a potential way for structuring the deal. I sent you an email with more details…
Re: Can I get a loan on commercial land? - Posted by Ellis
Posted by Ellis on September 13, 2006 at 12:28:07:
Hi Maria!
I apologize for not getting back to you sooner as I’ve been away from my computer for several days! Anyway, please send me an email as I should be able to help you secure financing for one of these locations that you want as I have a lender who specializes in warehouses!
Kind Regards,
Ellis Dandy
www.getthefunding.net
Re: Can I get a loan on commercial land? - Posted by Patrick S. Lawson
Posted by Patrick S. Lawson on September 06, 2006 at 20:46:02:
A local bank is your best bet for this type deal.