Applying for any financing can be both difficult and frustrating. However, you do not have to get discouraged as there are a number of things you can do to qualify for Atlanta commercial building loans. After reading this guide, you should be able to gain the confidence you need to approach any lender near you.
The first step towards making your loan application is determining what the lenders need. You have to figure out all the documentation that they will demand and ensure you have them all in order. If you do not know such requirements you can walk into any of the commercial banks to make enquiries. However, some of the common things they request for include bank statements and tax returns.
It is important to know the actual market value of your development at the moment of submitting your application. Financiers consider as unprofessional borrowers who think of their building at prices higher than their market value. You can seek the services of experienced agents to help you get the real worth of your development.
To qualify for financing, you must present a viable strategy. Just like in the application for any business loan, the financiers want to understand your business plan. You need to clearly detail out what you plan to do with the money you are borrowing. It is also critical to show them how the financing will improve the value of your property.
Most people seeking commercial real estate loans ignore preparing a clear tenancy schedule. It is an important document and helps lenders understand the current performance of your investment. The schedule should indicate the sections of your development that are currently occupied. It also has to include the details of the tenants, their businesses and the rates they pay.
Be ready to present a well outlined corporate structure. If you have a complex one, you have to find a way of simplifying it to avoid being disqualified. Presenting a clear and accurate diagram will help the banks gain better understanding of your business. It also helps them to identify the key decision makers and contacts persons.
It is sensible to use the services of an expert who has sufficient knowledge of the market. Work with a broker who has been the real estate industry for long to present your application to the lenders. To improve your approval chances, you need to be honest and truthful to the expert you choose to work with. However, do not use many professionals at a go.
The first step towards making your loan application is determining what the lenders need. You have to figure out all the documentation that they will demand and ensure you have them all in order. If you do not know such requirements you can walk into any of the commercial banks to make enquiries. However, some of the common things they request for include bank statements and tax returns.
It is important to know the actual market value of your development at the moment of submitting your application. Financiers consider as unprofessional borrowers who think of their building at prices higher than their market value. You can seek the services of experienced agents to help you get the real worth of your development.
To qualify for financing, you must present a viable strategy. Just like in the application for any business loan, the financiers want to understand your business plan. You need to clearly detail out what you plan to do with the money you are borrowing. It is also critical to show them how the financing will improve the value of your property.
Most people seeking commercial real estate loans ignore preparing a clear tenancy schedule. It is an important document and helps lenders understand the current performance of your investment. The schedule should indicate the sections of your development that are currently occupied. It also has to include the details of the tenants, their businesses and the rates they pay.
Be ready to present a well outlined corporate structure. If you have a complex one, you have to find a way of simplifying it to avoid being disqualified. Presenting a clear and accurate diagram will help the banks gain better understanding of your business. It also helps them to identify the key decision makers and contacts persons.
It is sensible to use the services of an expert who has sufficient knowledge of the market. Work with a broker who has been the real estate industry for long to present your application to the lenders. To improve your approval chances, you need to be honest and truthful to the expert you choose to work with. However, do not use many professionals at a go.
About the Author:
Tom G. Honeycutt is a full-time real estate entrepreneur in Atlanta, GA. Tom helps readers by providing practical and useful knowledge to better understand lending choices. If you are looking for Best Atlanta Commercial Construction Loan he recommends you check out www.ifundinternational.com.
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