When is a Commercial Lender not a Commercial Lender?

A Commercial Lender is Not a Commercial Lender When it is a Bank

A commercial lender offers loans backed by hard collateral, usually real estate. Usually a commercial lender's lending criteria will be less stringent than at the local bank. This is because most banks focus on providing private residential financing for individuals of the local community, not large amount loans for real estate or commercial property acquisition. Most commercial lenders are not so much concerned with the borrower's financial record and qualifications as they are about the mortgage property value.

Unlike most banks, commercial lenders are able to provide a loan in a short amount of time-usually within several weeks depending on the mortgage terms. Commercial lenders also offer a wide variety of loan products. Perhaps the most popular of these products is the bridge loan. Bridge loans are most often used to take advantage of time sensitive real estate opportunities or to avoid foreclosure.

A Commercial Lender is Not a Commercial Lender When it is a Commercial Broker

Sometimes a commercial broker will pose as a commercial lender. The difference between the two is that a commercial lender actually provides money, while a commercial broker provides a convenient way for borrowers to find lenders. In most cases where a broker is used, there is no direct contact between the borrower and commercial lender. Indeed, from the broker's perspective, this would be a bad thing since they profit considerably from middleman fees charged to the borrower. So why are commercial brokers in business? By and large they are much more effective at advertising to potential borrowers than commercial lenders. Commercial brokers also provide the infrastructure necessary to carry out loan transactions. However, with more and more business being done over the internet, their chief value-add is their knowledge of, and access to, a long list of commercial lenders.

With more commercial lenders marketing themselves all the time, the value of brokers may diminish significantly in the near future. There are several significant advantages to having direct access to a commercial lender: 1) No broker fees, 2) Timely answers. Direct communication equals direct answers to your questions. A commercial lender either can, or cannot provide you with a loan-there's no incentive for them to waste time trying to figure out if you qualify or not. A broker, on the other hand, will often times spend considerable time finding what deal is best for them by going from direct lender to direct lender. If a commercial lender can't help you, they will be able to tell you what other lender can. 3) Timely closings. By working directly with your lender, issues can be resolved, questions answered, and loans closed. Loans options not offered through a broker may be available by going directly to a commercial lender.

What's the Trade-Off of Using a Commercial Lender?

Because of the quick turn around and conveyance provided by bridge loans and other high-risk commercial lender loan products, rates can be higher than at a bank. If you have the time and the financial qualifications, you might be best served at your local bank. However, commercial lenders are a great option for people with 'near-bank' loans, in other words, loans that were almost approved by the bank. With so many potential lenders available, it may seem a little daunting to find an option that works for you. Many times the only significant factor that sets two commercial lenders apart is the quality of their customer service. Traditionally, the commercial loan market is notorious for being short on professionalism. Find a lender who is willing to take the time you need to understand the details of your loan.

Cameron Brown is an internet marketer specializing in ranking automation. For information on what a Commercial Lender can do for you, visit Security National Capital.

---

Why Choose a Secured Personal Loan?

Listed below are some of the many reasons why you... Read More

Become A Smarter Borrower

With a nation that has in the region of a... Read More

Online Car Loans - Getting a Good Quote Online

Online car loans enable you to get a good quote... Read More

Payday Loans And Pawnshops: Comparing Two Popular Ways Of Getting Cash Quickly

I remember years ago growing up when you needed some... Read More

How to Find Bad Credit Loans UK

Bad credit loans UK can sometimes prove quite difficult to... Read More

Factoring vs. Bank Loans

Is factoring a type of loan?No. Even though invoice factoring... Read More

Government Loans for Beginners

Government loans are those that the government of a country... Read More

How to Find a Loan or Mortgage with Bad Credit

If you have bad credit and you are trying to... Read More

Instant Payday Loan and Instant Payday Loans

Instant payday loans are financial loans that are available for... Read More

Cash Advance Payday Loans: Yes The Rates Are Higher!

Typically Cash Advance Payday Loans have no credit checks, and... Read More

What is a Personal Secured Loan?

A personal secured loan is the generic term for a... Read More

Refinancing Your Auto Loan

Refinancing your loan is one of the best kept secrets... Read More

Guide to Homeowner Loans

Here is a useful guide to Homeowner Loans. A Homeowner... Read More

Lions and Loans: Why Finance Should Always be Personal

Different types of loans are available for almost every aspect... Read More

A Method Used For Evaluating Online Lenders

Online lenders might be high quality, serious companies such as... Read More

Getting Good Value Personal Loans

Over recent years, personal loans have become a popular solution... Read More

A Secured Loan Could Save You Money

What is a Secured Loan?A secured loan is any loan... Read More

Where to Look for Bad Credit Loans

When trying to locate bad credit loans, many people find... Read More

Car Loans After Bankruptcy - Tips to Getting Approved

A car loans after a bankruptcy is one way to... Read More

A Guide to Common Loan Terms

Many people may wonder about common loan terms? words and... Read More

Benefits of a Business Loan

There are many benefits in choosing a business loan, some... Read More

To Be Mr. and Mrs. Sometimes You Need Wedding Loans

The conception of wedding has changed over the years. Its... Read More

Online Loans Made Easy

What will it take for you to get a low... Read More

Facts You Should Know About Types of Loans

When you set out to borrow, you often come across... Read More

Taking the Edge Off of Military Motorcycle Loans

So you have decided you want a motorcycle and you... Read More

Why Starve Your Needs When Payday Loans are there to Gratify Them

The long awaited paycheque is finally here. However, the reverie... Read More

A Borrowers Guide to Bad Credit Loans UK

If you find yourself in a situation where you need... Read More

Where to Get Your Military Signature Loan

Military signature loans are easy to come by. When looking... Read More

Shopping for a Secured Personal Loan

If you find yourself looking for a loan, you'll likely... Read More

A Consumers Guide to Getting a Bad Credit Loan

Here is a useful guide to getting a bad credit... Read More

Finding the Right Bad Credit Loan UK

If you live in the United Kingdom and find yourself... Read More

Federal Debt Consolidation Loans For Students

For American students, the U.S. Government came up with a... Read More

Car Loans After Bankruptcy - How Poor Credit or a Recent Bankruptcy Can Affect Your Loan Approval

If you have poor credit or a recent bankruptcy, you... Read More