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Commercial property
Whether you're buying premises for your own business or investing in a commercial building, lenders assess commercial property differently from homes. We understand commercial lending well and may help you structure a loan that fits.
At a glance
15 years
in banking and commercial lending
Owner-occupied
or investment property
Upfront
our fee explained before we start
Owner-occupied or investment
Lenders assess commercial property mainly on what will repay the loan, so the same building may be treated differently depending on who uses it.
What's different
Lenders usually need a larger deposit or more equity than for a home.
Loan terms and interest-only periods are often shorter, and facilities may be reviewed regularly.
The length of the lease, the tenant's strength and the rent all affect how much a lender may offer.
Lenders check that the rent or business income comfortably covers the interest, with a buffer.
How we help
We look at the property, the lease or your business, and your goals.
We help you present the deal the way lenders like to see it.
Banks and specialist commercial lenders, side by side.
We help you plan for loan reviews and lease changes.
Before you buy
A registered valuation, which commercial lenders usually require.
Due diligence, such as building reports, the lease and any seismic rating.
GST, which may apply to the purchase. Talk to your accountant.
Legal costs, which are usually higher than for a home.
Vacancy risk, if a tenant leaves.
Loan reviews, which some lenders carry out regularly.
Commercial property lending carries a fee for our advice. We explain it upfront, before we start, so there are no surprises.
Questions we hear often
Usually more than for a home. It varies with whether your business will occupy the property or lease it out, the type of property, the lease and the lender. Talk to us early so you know where you stand.
Often, yes. It may help with the deposit, but it puts your home at risk, so weigh it up carefully with your lawyer and accountant.
Often, yes. How you structure ownership is a question for your accountant and lawyer; we'll help with the lending side.
It depends on your business, your cash flow and your plans. We can show you what the lending may look like, so you can weigh it up with your accountant.
Yes, commercial lending carries a fee. We'll tell you what it is before we start.
A no-obligation chat may help you understand what lenders will look for before you commit.