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Hunt Mortgage Group

Commercial Loans

A commercial loan is often used by a business owner to gain short-term financing for approximately the duration of one month to one year. Commercial loans are used to fund different aspects of a business including operational costs, manufacturing, as well as other expenditures. At Hunt Mortgage Group, we understand the commercial loan application process and are mindful of the requirements regarding business’ property value. Borrowers should be advised that in order to receive a commercial loan, lenders usually require monthly financially statements to monitor the item loaned.

In order to quality for a commercial loan, it is important to have proof of property value because the property that is offered as collateral is the same price as the mortgage borrowers are seeking. Lenders assess property value using a loan-to-debt ratio, resulting in less than 75%. To be in good standing, companies should also have a steady cash flow greater than 20% against any business debts. This percentage can be determined by the borrower providing income and expense documentation as well as other financial statements, regarding business handlings.

Different Types of Commercial Loans

  • Permanent Loans offer the lowest rates and tend to be written by banks. These loans are considered a first mortgage loan and have an amortization on minimum of 5 to 25 year term.
  • Bridge Loans have a short-term duration of six months to two years. This type of loan is ideal for a property owner needing to complete property renovations or find tenants. Bridge loans are also typically more expensive than permanent loans.
  • Commercial Construction Loans have a term of 1 to 2 years and are used to build commercial property, in which the lender controls all proceeds.
  • Takeout Loans are used primarily to pay off a construction loan.
  • Conduit Loans are large permanent loans. This type of loan has a low interest rate, however a very large prepayment penalty. Later, these loans are used as commercial backed securities.
  • SBA 7 Loans- SBA 504 Loans, SBA Construction Loans were originally created by Congress and are guaranteed by the Small Business Administration.
  • USDA B&I Loans help agriculture by stimulating jobs in rural areas. The conventional lender makes this loan and it is guaranteed by the United States department of Agriculture.
  • Hypothecations are personal property loans in which the borrower owns and secures a note and mortgage.
  • Fix and Flip Loans are acquired to fund property used for renovations, similar to a construction loan.

At Hunt Mortgage Group, our advisors have over 40 years insight and experience financing commercial loans, and can assist commercial business owners with every step of the process. To best serve our clients, Hunt has offices across the nation in cities including Los Angeles, CA, Fort Lauderdale, FL, Cleveland, OH, San Raphael, CA, Tyson’s Corner, VA, Seattle, WA and many more. Contact Hunt Mortgage Group near you today to find the best business commercial loan!

Products
  • Fannie Mae ProductsAs a Fannie Mae DUS™ lender, we offer fixed or floating rate financing for acquisition, refinancing and moderate rehabilitation. Terms range from 5 years to 30 years and may be fully amortizing, or contain partial or full interest-only options. Through these programs we offer first mortgage financing and subsequent supplemental (subordinate) financing and/or substitution of single assets.
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    Permanent Financing Solutions

    Eligible Property Types

    Fannie Mae Multiple Asset Transactions/Negotiated Pools

    • Credit facility
    • Bulk Delivery/MATS
    • Negotiated Pools

    Rate-options & Features*

    • Fixed Rate Mortgage Loans
    • Structured Adjustable Rate Mortgage loans
    • Streamline Rate lock and Early Rate Lock

    * The rate options and features listed above are available for the majority of Fannie Mae’s permanent financing executions, eligible property types, and multiple asset transactions.  Please contact your local regional office for further details.

  • Freddie Mac ProductsAs a Freddie Mac Program Plus™ seller/servicer, Hunt Mortgage Group offers financing for fixed and adjustable rate conventional and affordable mortgage products. We provide financing for the acquisition or refinancing of stabilized properties, and also offer specialized programs for recently completed properties in lease-up and value-add acquisitions needing shorter term financing. Terms typically range from 5 years to 30 years and may be fully amortizing or contain partial or full (interest-only) options. Through this program we offer first mortgage financing and subsequent supplemental (subordinate) financing.
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    Freddie Mac Mortgage Program Offerings

    Eligible Property Types

    Structured Financing Solutions

    • Revolving Credit facility
    • Single Sponsor CME Execution

    Rate-options & Features*

    *The rate options and features listed above are available for the majority of Freddie Mac Mortgage Program offerings, Eligible Property Types, and Structured Financing Solutions. Please contact your local regional office further details.

  • Federal Housing Administration (FHA) ProductsMultifamily Accelerated Processing (MAP) is a national fast-track processing system for the FHA multifamily mortgage insurance programs. As an approved FHA MAP lender, Hunt Mortgage Group is responsible for preparation of most documents required for an application for mortgage insurance and for making a recommendation to the HUD field offices based upon Hunt Mortgage Group’s processing and underwriting.↓ See All Products & Details

    Federal Housing Administration (FHA) Mortgage Insurance Origination

    • Loan Types: New Construction, Substantial Rehabilitation, Refinance, and Acquisition
    • Term: Up to 40 years
    • Interest Rates: Fixed rate
    • Spread: Market
    • Amortization: Up to 40 years
    • Prepayment: Fixed step-down prepayment structure
    • Pledge: First mortgage
    • Fees: Market
    • Recourse: Non-recourse except for customary environmental, malfeasance and fraud carve-outs.
    • Reserves: Taxes and insurance; replacement reserves.
    • Loan Costs: Borrower is responsible for all legal and third-party fees.
  • Proprietary Lending ProductsHunt Mortgage Group provides propriety fixed and floating financing for multifamily and commercial properties. Our bridge lending program is designed for those seeking interim financing for rehabilitation, preparation for and/or transition to attractive permanent term financing. We structure bridge loans to meet permanent financing criteria within 12-60 months of closing. With our proprietary program, we alone make the credit decision and fund the loans.
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    Hunt Mortgage Group Proprietary Lending

Learn more about financing from Hunt Mortgage Group
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