4 Factors to Consider when Looking for a Commercial Mortgage Broker

Dealing with a commercial loan broker is something that nearly all business owners will have to do at some point. Therefore, finding the right commercial lender to work with is important. Here are a few factors to consider when looking for a commercial mortgage broker. 

1. Interest Rates

The interest rate that you get is going to be one of the most important factors. The interest rate on the loan will determine how big your monthly payment is and how much you pay for the loan over the long term. Having a lower payment can help your business in a number of ways. Therefore, you should definitely shop around and consider the lenders with the lowest rates. 

2. Reputation

You will also want to consider the lender's reputation when looking for a commercial mortgage. When you are potentially going to work with a company for a number of years, you want to work only with one of the best companies in the market. Ask around about a particular lender before you get involved with them. Check online reviews and check with the Better Business Bureau as well. 

3. Variety of Programs

Depending on your business's financial needs, you may benefit from a number of different mortgages. If a lender offers only one particular loan, it may not meet your needs over the long term. For example, many commercial lenders offer an interest-only balloon loan. This allows borrowers to pay only the interest on the loan for their monthly payment. Then at the end of the term, they make one large payment to pay off the balance of the loan. This can provide you with a lot of flexibility on a monthly basis. If your business has a bad month, you can make a small payment. If you have a good month, you can pay a little extra. Without several different programs to choose from, these options may not even be available to you as a borrower. 

4. Convenience

When comparing different commercial lenders, you also want to look for a lender that is convenient for you. If you are comparing online and local lenders, the local lender should have a higher priority with all things considered. It is going to be easier on you to be able to talk with your lender face-to-face if you have a problem. 

You also want a lender that offers several convenient methods of payment. Regardless of whether they are an online lender or in your local market, you want to be able to pay them in the method that is the most convenient for you. This will help you avoid late fees over the course of the loan and stay on the track to paying off the loan. 

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