Greater yields, a lesser stamp responsibility limit and much more freedom with renters… it is no surprise commercial and blended usage home is becoming more and more well-liked by domestic landlords.
Therefore, in the event that you want to increase your chance of being accepted for finance if you, like many are looking to purchase your first commercial investment property there are a few things you should be aware of.
Are you going to qualify?
Commercial loan providers prefer borrowers to own some kind of home investment experience because running mixed-use or properties that are commercial a greater degree of understanding. To boost your odds of getting finance you shall need certainly to:
- Have a deposit of 20% – 30%
- Be a home owner
- Have actually owned a few purchase to allow properties for at the least a couple of years
- Have money in the financial institution in the as a type of savings
- Offer proof of your revenue, whether it’s from a salary, self-employment or lease
Don’t panic in the event that you don’t satisfy all the requirements stated earlier; you may still find choices available to you, just keep in mind prices may very well be greater.
What kind of commercial home is acceptable?
Should this be very first commercial investment you will see more solutions for you if you should be thinking about purchasing a regular shop, or a store by having a flat above. (more…)