How much
can I borrow?
Lorem Ipsum is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry’s standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book. It has survived not only five centuries, but also the leap into electronic typesetting,
How much can I borrow?
Enter a few details in our calculator below to get a clear estimate
How much you could comfortably borrow?
Lorem Ipsum is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry’s standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book. It has survived not only five centuries, but also the leap into electronic typesetting, remaining essentially unchanged. It was popularised in the 1960s with the release of Letraset sheets containing Lorem Ipsum passages, and more recently with desktop publishing software like Aldus PageMaker including versions of Lorem Ipsum.
when an unknown printer took a galley of type and scrambled it to make a type specimen book. It has survived not only five centuries, but also the leap into electronic typesetting, remaining essentially unchanged. It was popularised in the 1960s with the release of Letraset sheets containing Lorem Ipsum passages, and more recently with desktop publishing software like Aldus PageMaker including versions of Lorem Ipsum.
How Much Can I Borrow?
Discover your commercial mortgage eligibility. Our calculator uses rental income to estimate how much you might qualify for. Just enter the monthly income.
Simplify Your Mortgage Journey
Compare today's best interest rates
Compare 20,000+ mortgages from over 100 lenders
Get Personalized Assistance
Speak to Our Expert
Call free for mobile and landline
See the deals you qualify for & how much you could borrow
Get Personalized Assistance
Why choose Mortgage.One for your commercial property mortgage?
- Transparent Fee Structure: Unlike most of the brokers in the UK, we do not charge additional mortgage brokerage fees. Our income is derived from lender procuration fees, providing you with both clarity and cost savings. Need clarity on costs? Get initial estimates with our UK commercial mortgage calculator.
- Deep Market Knowledge: We continuously monitor the evolving lending landscape, understanding the nuances of lender policies to secure you the best possible rate for your commercial property mortgage. See how our expertise has helped clients in our case studies Click Here.
- Access to a Wide Lender Network: We search for the most favorable commercial mortgage rates and terms from multiple lenders. We then match these rates and terms to your property and investment goals. Explore our lender partners Click Here.
- Save Time & Secure the Right Property: We streamline the commercial mortgage process, saving you time and effort. Identify the most competitive terms quickly so you can act decisively on the ideal property.
- Proven Industry Expertise: We have more than fifty years of experience in banking and mortgage brokerage. This experience allows us to handle transactions smoothly. It also helps us navigate complex financial situations effectively. Learn more about our team's expertiseClick Here.
- Strong Lender Relationships: Our established connections within the industry allow for efficient communication and a deep understanding of lender priorities. We work closely with you to ensure your loan proposal effectively highlights all strengths and mitigates any potential risks and receive the most competitive terms possible.
- Informed Decision-Making: Get the clarity you need with our suite of commercial mortgage calculators. Analyze borrowing costs, repayment models, different loan structures, and the overall financial impact on your business plan.
- Lorem Ipsum: is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry's standard dummy text ever since the 1500s
Get a free consultation and start maximizing your investment.
Lets talk about mortgages
Navigate commercial property finance
Use our guides and calculators for a clear path forward.
See how much can you borrow on Mortgage
See How Much it will Cost on Mortgage
Investing in Commercial Property?
Calculate the Stamp Duty Land Tax (SDLT) for your commercial property purchase in England or Northern Ireland. Take into account freehold or leasehold ownership for accurate calculations.
See Mortgage Interest Calculator
See Mortgage Overpayment Calculator
Get Personalized Assistance
Unlock Mortgage Wisdom
Explore Our Comprehensive Guides & Insights
Frequently Asked Questions
Eligibility for a commercial mortgage depends on several factors, and various types of borrowers can qualify, including individuals, partnerships, and both new and existing limited companies. Here are the key considerations:
Creditworthiness:
- Lenders will review both your business and personal credit history to assess your reliability in repaying the loan. A strong credit score can significantly enhance your chances of approval.
Business Financials:
- Providing strong financial statements, a solid business plan, and clear cash flow projections can improve your chances of securing a commercial mortgage. Lenders want to see that your business is financially healthy and capable of meeting mortgage payments. This is more applicable in the case of owner-occupied business.
Property Type:
- The type and location of the commercial property play a critical role in the lender’s decision. Properties in prime locations with high rental demand are generally more favorable to lenders. Additionally, the specific use of the property (e.g., retail, office, industrial) will be considered.
Borrower Types:
- Individuals: Sole proprietors looking to invest in or operate from commercial property.
- Partnerships: Business partnerships seeking to purchase or refinance commercial property.
- Limited Companies:Both newly formed and existing limited companies can apply for commercial mortgages.
- First-Time Landlords:While experience in business or property management is advantageous, some lenders are open to working with first-time landlords. Demonstrating a well-thought-out plan and sufficient financial backing can help mitigate the lack of experience.
Experience:
- Experience in business or property management is often viewed favorably by lenders. However, certain lenders are open to working with first-time landlords, provided they can demonstrate a clear understanding of the market and robust financial planning.
Finding the best commercial mortgage deals involves several strategic steps:
Compare Lenders:
- Research and compare offers from various lenders to identify competitive rates and terms. This can be done by directly contacting banks and other financial institutions to understand their mortgage products.
Use a Mortgage Broker:
- Consider working with a mortgage broker who specializes in commercial mortgages. Brokers have access to a wide range of lenders, including those that only deal through brokers, which can open up exclusive deals and better rates. They can provide expert advice tailored to your specific needs and help you navigate the complexities of the mortgage market.
Negotiate Terms:
- Don’t hesitate to negotiate terms with lenders to secure a better deal. Whether dealing directly with banks or through a broker, negotiating can help you obtain more favorable conditions, such as lower interest rates or reduced fees.
Arrangement Fee:
- A fee charged by the lender for setting up the mortgage.
Valuation Fee:
- The cost of valuing the property to ensure it is worth the loan amount.
Legal Fees:
- Costs associated with the legal work required to complete the mortgage.
Broker Fees:
- If you use a mortgage broker, there may be additional fees for their services. At Mortgage.One, we don’t have broker fee because we are paid by the lender.
Early Repayment Charges:
- Fees for paying off the mortgage early, which can vary by lender.
The underwriting process for commercial mortgages involves a detailed assessment of both the borrower and the property, but the requirements can differ significantly depending on whether the mortgage is for a commercial investment or owner-occupied property.
Commercial Investment Mortgages:
- Income Potential:Lenders focus heavily on the property’s ability to generate rental income. They assess the lease agreements, tenant quality, and market rental rates to ensure the property can sustain mortgage repayments.
- Property Valuation: Detailed property valuation is conducted to determine the market value and potential for capital appreciation.
- Borrower’s Financial Health:While the primary focus is on the property’s income, lenders also review the borrower’s financial stability and credit history to ensure they can manage the property effectively.
Owner-Occupied Commercial Mortgages:
- Business Financials: Lenders scrutinize the borrower’s business financial health, including revenue, profit margins, cash flow, and financial projections. They want to ensure the business can generate enough income to service the debt.
- Business Plan:A robust business plan is crucial, particularly for new businesses, to demonstrate viability and growth potential.
- Personal Guarantees: Lenders may require personal guarantees from the business owners to mitigate risk, especially if the business lacks a long financial history.
- Property Use:The property’s suitability for the intended business use is also assessed, including its location, condition, and potential to support business operations.
Overall, while both types of commercial mortgages require a thorough assessment, commercial investment mortgages emphasize the property’s income potential, whereas owner-occupied mortgages focus more on the business’s financial health and viability.
The underwriting process for commercial mortgages involves a detailed assessment of both the borrower and the property, but the requirements can differ significantly depending on whether the mortgage is for a commercial investment or owner-occupied property.
Commercial Investment Mortgages:
- Income Potential:Lenders focus heavily on the property’s ability to generate rental income. They assess the lease agreements, tenant quality, and market rental rates to ensure the property can sustain mortgage repayments.
- Property Valuation: Detailed property valuation is conducted to determine the market value and potential for capital appreciation.
- Borrower’s Financial Health:While the primary focus is on the property’s income, lenders also review the borrower’s financial stability and credit history to ensure they can manage the property effectively.
Owner-Occupied Commercial Mortgages:
- Business Financials: Lenders scrutinize the borrower’s business financial health, including revenue, profit margins, cash flow, and financial projections. They want to ensure the business can generate enough income to service the debt.
- Business Plan:A robust business plan is crucial, particularly for new businesses, to demonstrate viability and growth potential.
- Personal Guarantees: Lenders may require personal guarantees from the business owners to mitigate risk, especially if the business lacks a long financial history.
- Property Use:The property’s suitability for the intended business use is also assessed, including its location, condition, and potential to support business operations.
Overall, while both types of commercial mortgages require a thorough assessment, commercial investment mortgages emphasize the property’s income potential, whereas owner-occupied mortgages focus more on the business’s financial health and viability.
Get Personalized Assistance
Consult with a Pro
Connect with Our Expert Mortgage Advisors
- Call: 0345 345 6788
- Arrange a call back
- Submit an enquiry
- Email us