Commercial and mixed use

Commercial property, read by somebody who used to approve it.

Multifamily from five units, mixed use, and small balance commercial. These are quoted deal by deal rather than off a rate sheet, so the first conversation is about the building and its numbers rather than about you.

See if I qualifyTalk to JR
5+ unitsWhere residential financing stops
The building qualifiesIncome first, borrower second
Quoted per dealNo two commercial files are alike

Commercial and mixed use

Who this is for

Owners and investors buying or refinancing property that residential lending does not reach. Five units and up, mixed use where retail sits under apartments, small office and light industrial, and value-add projects where the income is not there yet and the plan has to be underwritten alongside the building.

Commercial reverses the order of everything else on this site. The property is underwritten first and you second. What decides it is what the building earns, what it will earn once the plan is done, and whether that covers the payment with room left over.

  • Multifamily, five units and above
  • Mixed use, retail or office with apartments above
  • Small office, retail and light industrial
  • Value-add and repositioning, where the income is not there yet
  • Portfolio and blanket loans across several properties
  • Premises for your own business, where an SBA route is often cheaper

What is assessed

What a lender is actually looking at.

None of this is a secret, and knowing it early is the difference between a smooth file and a scramble two weeks before closing.

Debt service coverageMost lenders want net operating income at about 1.20 to 1.25 times the payment. That ratio, rather than your personal income, is what the file turns on.
Down paymentTypically 25% to 35%. There is no FHA equivalent in commercial, so the equity has to be real, though a seller carry can sometimes cover part of it.
Term and amortizationCommonly a five, seven or ten year term amortized over twenty to thirty years. That means a balloon to plan for rather than a thirty year fix, and the exit matters as much as the entry.
The building's paperworkRent roll, the last twelve months of operating statements, the leases, and current insurance. Assembling these early is most of the timeline.
ExperienceFor anything past a straightforward stabilized building, lenders want to see you have done it before, or a partner on the file who has.

Three minutes

Find out where you stand on this program.

The qualifier asks five questions and comes back with the programs you fit and an estimated monthly payment. It does not run a credit check to do it.

  • No credit check to get an answer
  • An estimated payment before anyone calls you
  • Routed to a named loan officer, not a queue

See what you qualify for

Free

Questions

The ones people actually ask.

How is this different from the investor page?
The investor page is residential: one to four units, where a DSCR loan still looks like a mortgage. Five units and up is commercial, which means different lenders, different underwriting, different documents, and a term that usually ends in a balloon.
Do you lend the money yourselves?
No, and that is the point. We place the file through our lender network, the same as every other loan here. On a commercial deal that buys you more shots on goal: one package goes to several lenders and you see what each will actually do rather than what one of them says is standard.
What do you need to quote it?
The address, the price or current value, the rent roll and the last twelve months of operating statements. From those we can tell you quickly whether it works and roughly where, before anybody runs credit.
How long does a commercial file take?
Longer than a house. Forty five to sixty days is normal, and the third party reports, the appraisal and sometimes an environmental report, are usually what set the pace.

Who handles commercial and mixed use

JR Ramirez

Mortgage Broker · NMLS #2374415

Six years as a federal bank regulator and a stint as a community bank Chief Risk Officer. JR reads your file the way the underwriter is going to read it.

Read the full profile (714) 469-9577

Other programs

Compare it against the alternatives.

Most borrowers fit more than one program. Which one is best depends on how long you will hold the loan, not only on what you qualify for today.

Buying a homePurchase loans RefinancingLower it or shorten it ConventionalFrom 3% down FHA3.5% down, 580+ VANo down payment USDAZero down, eligible areas JumboAbove the limit Bank statementSelf employed InvestorDSCR and short sales CommercialFive units and up

Get a straight answer before you commit to anything.

Three minutes, no credit check, no obligation, and a named loan officer on the other end of it.

See what I qualify for Or call (714) 469-9577

August Mortgage Group, NMLS #2642110. Equal Housing Lender. This is not a commitment to lend. All loans subject to credit approval and property appraisal.