Is it true that commercial mortgage loans are all ARM’s?
MrsSilentWarrior asked:
When we got our commercial loan, our loan officer told us that “all commercial mortgages are ARM.” Although we got in on the low interest rate boom 4 yrs ago, our payments are now almost doubled. Any suggestions?
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When we got our commercial loan, our loan officer told us that “all commercial mortgages are ARM.” Although we got in on the low interest rate boom 4 yrs ago, our payments are now almost doubled. Any suggestions?
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August 2nd, 2008 at 11:04 pm
fix it! i have never heard such a thing……and i mean fix it by putting it in a fixed mortgage.
What is the rate? and the loan amount?
August 5th, 2008 at 9:39 pm
I think you are being lied to. I have never heard you cannot get a fixed commercial mortgage.
August 8th, 2008 at 2:03 am
NO, that is totally incorrect. I’d look into refinancing the property into a fixed rate. Also I’d look around for a different commercial broker to deal with. This person either doesn’t know what he’s talking about, or lied to you. Either way, he’s hurting your business
August 11th, 2008 at 9:41 am
Not all are ARM but most are.
August 11th, 2008 at 5:43 pm
Not true. There are plenty of fixed rate loans out there. Look into your refinancing options. Call your existing lender first and then shop around.
August 15th, 2008 at 12:29 am
Most commercial mortgages are offered as ARM. However, this does not mean that fixed rates aren’t available. And there are also ARM programs that are fixed for 10 years.
If your rate is going up, you should consider refinancing.
Good luck,
Barry
August 16th, 2008 at 11:43 pm
If it is a commercial loan then most of the programs are ARM’s. Most of them also have a balloon payment. However, there are fixed rate options. The rates are usually so ugly though it isn’t worth doing it (at least on the commercial side). Some of the rates on commercial are in the 5’s right now. E-mail me with your scenario and I can give you a quote on another 5 year ARM, a 10 year fixed, and a 15 year fixed. Depending on the property type will depend on whether you can get a term any longer than 15 years.
August 19th, 2008 at 6:12 pm
any real estate loan can be whatever the lender and borrower agree on.
There are even seller backs where the borrower puts up no cash whatever.