Re: Buying a mixed property. Do I apply for a residential or commercial loan?
Posted: Mon Sep 30, 2019 5:21 pm
Hello Mark. Welcome to the forums.
While most lenders will classify mixed-use properties as commercial lending, they are others who can offer you a residential loan.
It is important to distinguish between the two loans as commercial loans are higher in risk and tend to have a lower loan to value ratio and higher interest rates than residential loans.
Most lenders will assess your property as commercial property as it has a retail shop on it. However, if the property is a converted terrace, it can be considered residential property and you might be able to apply for a residential loan.
If the property can be used as a home and the zoning allows the property to be converted to residential use, then you may be able to borrow up to 90% of the property value.
If you rent out the attached residence, then you can borrow up to 80% of the property value with a commercial loan.
You can apply for a retail commercial loan and you might even get a lower interest rate with some of our lenders.
Give us a call on 1300 889 743 or fill in our free assessment form to find out if you qualify for a retail commercial loan.
Cheers,
While most lenders will classify mixed-use properties as commercial lending, they are others who can offer you a residential loan.
It is important to distinguish between the two loans as commercial loans are higher in risk and tend to have a lower loan to value ratio and higher interest rates than residential loans.
Most lenders will assess your property as commercial property as it has a retail shop on it. However, if the property is a converted terrace, it can be considered residential property and you might be able to apply for a residential loan.
If the property can be used as a home and the zoning allows the property to be converted to residential use, then you may be able to borrow up to 90% of the property value.
If you rent out the attached residence, then you can borrow up to 80% of the property value with a commercial loan.
You can apply for a retail commercial loan and you might even get a lower interest rate with some of our lenders.
Give us a call on 1300 889 743 or fill in our free assessment form to find out if you qualify for a retail commercial loan.
Cheers,