Beware of the balloon or call on your commercial loan

If you plan on keeping the property long term, then you should have long term fianancing. Successful investing requires among other things, successful management and budgeting of cash flow, and one of the largest bites into cash flow is debt service. Many times a local bank or lender will use an attractive low interest rate to draw in a borrower, but the reality is these types of loans have a catch...they usually have a "call" feature in 3 or 5-years, which means, if you plan on keeping the property, you willl have to look around again for financing and get hit again with the fees associated with the new loan. Real Estate Solutions offers 15,20, and 30-year fully amortized loans. Borrowers can choose amongst 6-month adjustable, 2, 3, and 7-year fixed, or full term fixed rate loans. We lend up to 90% of property value for all eligible property types. For properties with subordinate financing we allow up to 95% cumulative loan to value for multifamily and mixed-use properties, and 90% for all others. These are not balloon mortgages, you do not need to get a new mortgage in 3 or 5-years. These are full-term loans and in fact, they are assumable, which is also another great feature. We have a full range of programs for most borrowers from partial-doc to full-doc and credit scores of 580+.Not everyone has the same goals for their investments, but usually they are about making money. Having the right loan can make all the difference.