| Posted by: VLAD DETINICH Nov 28 2004, 10:07 PM |
THE OWNER OF THE BUILDING WHERE MY DENTAL OFFICE IS, OFFERED ME TO PURCHASE HER PROPRTY. THIS PLACE HAS 5 BEDROOMS ON SECOND FLOOR THAT ARE BEING RENTED OUT AND DENTAL OFFICE ON THE FIRST FLOOR.
THE INCOME FROM THIS PROPERTY SHOULD GIVE ME ABOUT $1000 MO.
THE PROPERTY ZONE R-2 (RESEDENTIAL-NON CONFORMING)
WHAT KIND OF LOAN SHOULD I LOOK FOR? COMMERCIAL OR RESEDENTIAL, INVESTMENT PROPERTY OR SECOND HOME, BUSSINES LOAN OR PERSONAL?
WHAT WOULD BE THE LOWEST DOWNPAYMENT I CAN QUALIFY FOR?
SHOULD I LOOK FOR COMPANY THAT SPECIALIZES IN FINANCING TO DOCTORS?  |
| Posted by: loanuniverse Nov 29 2004, 12:09 PM |
This is the textbook definition of an owner occupied commercial property. These types of properties are usually financed with a term-loan and require around 20% to 25% down payment when obtained from a bank lender.
I am not certain about what you mean when you talk about 5 bedrooms… If you mean 5 apartment units then it would still make this a commercial loan because anything over 4 units even if one of the units is owner occupied would make this a commercial loan.
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| Posted by: Commercial Lender Dec 1 2004, 06:38 PM |
Check the title and call your local town/buildings officials for an explanation. Some areas have commercial buildings on residential lots that are grandfathered in.
Admin raises another important question; Is it 5 apts or 5 rooms (rooms with communal restroom would make it a SRO). I think you leaning the commercial way at this point. We do financing properties like this and you are right that it would cost you about 20% down (10% down if there is a seller second). Thanks! Naj |
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