Are you planning on opening a car dealer supply shop or other business in Henderson, Nevada? Will you be following the small business route? If so then the mortgage you'll be in the market for will be a commercial one rather than a residential one. There are differences, so even if you've taken out a residential mortgage before you may not be prepared to handle things alone. Let us help you by giving you a little advice on commercial mortgages in Henderson.

Get Pre-Approved

There's nothing more frustrating than finding the perfect property to house your new food and beverage public relations offices only to find out that you can't get the financing you need in time to buy the property from the current owner. To avoid watching some other business owner setting up shop in YOUR dream property, submit your applications to lenders before you even go shopping for a property. Although you won't be able to know the exact cost until you've chosen, having a lender behind you already gives you significant clout during negotiations.

Shop Around

This advice applies to everything from purchasing a case of check valves to taking out a residential mortgage. The simple fact of the matter is that not all lenders are created equal. Though your circumstances will not have changed, one lender may offer you better terms than another. Interest rates are a major concern, like they are with any mortgage, but commercial lenders have other tricks up their sleeves to part you with your money like balloon payments and prepayment penalties that you may be able to avoid if you can manage to pit lenders against one another to win your business.

Differences from Residential Mortgages

Balloon payments, while not unheard of in residential mortgages, are very common in commercial ones. With a balloon payment, a large sum is set for payment in 3-10 years in exchange for lower interest rates, which often forces borrowers to refinance early on unfavorable terms if their Canadian franchises aren't doing well enough to meet the balloon payment. Commercial lenders also require more proof of your ability to pay, so securing one takes longer while they check you out. You'll have to come prepared with asset statements and income projections to meet their scrutiny. They'll probably also want to see your quarterly statements while you're under obligation to them.

Using a Broker

Commercial mortgage brokers can be extremely helpful if you're pressed for time, since they have access to dozens of lenders and will do the legwork for you. They're essentially selling your business, though, and are being paid by the lender, so be wary of them pushing a lender that offers THEM the best terms, not you.