What Are Semi Commercial Mortgages?

Semi-commercial mortgages are type of mortgage that is used to purchase a piece of property that will be used for both residential and commercial purposes. This type of mortgage combines the elements of both traditional and business loans into a single debt instrument. 

Owners

For example, if you had a building in which you lived upstairs and had a business down on the main floor, this type of property would qualify for a semi-commercial mortgage. Many people seek out this type of loan because they are unable to get the funds that they need in order to renovate an existing structure.

Residential Property

If you own a traditional residential property, you may need to borrow a certain amount of money so that you can convert part of it into a new business. If you are trying to start up a business, it may be difficult to get a commercial loan. By using a semi-commercial mortgage, you can get the best of both worlds. The lender will know that you can handle a regular mortgage and they will give you a little more money than you would otherwise qualify for since you are using it for commercial purposes.

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