A Commercial Mortgage Calculator-Getting the Basics
When it comes to opening your own business, there’s a lot involved; but a commercial mortgage calculator can make
things at least a little easier for you.
One of the biggest expenses you’re likely to run into is the cost of obtaining a location to house your business. While many business owners
choose to rent or lease, there are still many others who prefer to purchase real estate.
If you are a business owner considering the purchase of real estate for your business, or want to refinance your existing commercial
property a commercial loan calculator can help you understand all the facts so that you can make an informed and
When considering commercial mortgages its important to consider all the aspects.
A commercial mortgage has both similarities and differences from a traditional residential mortgage.
One of the similarities between residential and commercial mortgages is that you can refinance your mortgage.
This is usually done to obtain more favorable terms, such as a lower interest rate.
A commercial mortgage calculator can help you to determine exactly how good of a deal you might be getting when considering a
commercial refinance mortgage offer.
Keep in mind; however that you’ll need to have both the information about your old mortgage as well as info about the new mortgage to enter in
the refinance commercial mortgage calculator.
Take a look at the information you’ll need to enter into your commercial calculator:
By entering the above information, you can obtain a lot of information about a possible commercial mortgage refinance. The
data reported can help you understand the following:
- The principal balance of your mortgage
- The amount of your monthly mortgage payment
- Your current mortgage interest rate
- The interest rate at which you you’ll be refinancing
- The number of years you will be refinancing for
- The closing costs that will apply for the refinancing
- How much your monthly payment will be if you refinance
- Your monthly savings
- The number of months it will take you to break even on closing costs
- The amounts of interest you pay under both your current mortgage plan and the new mortgage plan.
Fixed Rate vs. Variable Rate
Another similarity between commercial and residential mortgages is the availability of fixed rate and variable rate loans. A fixed rate
mortgage allows you pay the same interest rate throughout the life of the loan while a variable interest rate fluctuates according to the prime
interest rate. If the prime interest rate is raised or lowered, you will see the difference in your mortgage payment.
If you’re having trouble deciding which type of mortgage would suit you best, you can use a commercial loan calculator
to determine which one would benefit you the most.
Like a traditional residential mortgage, you will need to be prepared to enter certain information into your commercial mortgage
At a minimum you will need to have the following information handy:
- Length of loan
Getting the Best Deal
The above commercial search engines listed in all the above ads are good and are highly recommended by many commercial sources as being
very easy to deal with and offering very good programs; even for credit challenged borrowers. It's nice and easy looking for a commercial
mortgage this way, because you apply once and the commercial mortgage search engine takes over and finds you the best program. In my 20 years of
lending to business owners these places where always tough to beat on rate and program.
I recommend that you give it a try because it's free to use!
It's too easy.
All you do is apply online and a data-base of many different commercial lenders "compete" for your business. You do nothing
but sit back and wait for the best offer.
There is no better or easier way to find yourself a commercial mortgage program.
Once you try this way of finding a commercial mortgage; whether your purchasing or refinancing you
will most likely use this search engine again in the future when your in the market to find another
Regardless of why you are in the market for a commercial mortgage; whether it’s a first mortgage or you are considering
refinancing an existing mortgage, you’ll need to know what to look for when comparing various mortgage offers.
A commercial mortgage payment calculator can come in quite handy for this.
It’s important to recognize that the best rate may not always be the best deal.
Closing costs and origination fees can have a tremendous impact on exactly how good a deal is when taking all
factors into consideration.
These fees can be difficult to spot in some mortgage offers, making it even more imperative that you read the fine print closely and take all
points into consideration before making a decision.
Always make sure you give careful consideration and use a commercial mortgage payment calculator when considering the
- Discount points
- Origination fees
- Appraisal, credit report and application fees
- Title and settlement charges
Also make sure ask questions about any fees labeled as miscellaneous. This fees can add up quickly, making an
offer that at first appeared to be good not quite so attractive.
By using a commercial real estate mortgage calculator you can quickly and easily compare offers to make sure that you
get the best deal possible.