Bank Referral- commercial resedential

2 Replies

Hello everyone,

I have historically been dealing only in 4 unit and under sized buildings which has allowed me to work with traditional residential financing. I am now ready and currently getting ready to offer on a 16 unit building near Chicago. The problem is I have worked exclusively with 5/3 bank and they do not do commercial investment property financing. Does anyone have any experience or guidance with bank in the Chicagoland area that can work with me on commercial sized residential property financing? 

Thank you,

Alex

Hi @Alex Stariha , I would recommend you reach out to some commercial mortgage brokers in your area that have experience with the type of properties you're looking at.  They should only charge a fee after closing (usually around 1% of the loan), and should be able to save you more money than they cost.  I wouldn't do business with any broker that charges you up front.

Full disclosure, i'm a loan originator and am obviously bias!

@Alex Stariha I would recommend looking into Freddie Mac's Small Balance Loan Program for the 16 unit property in Chicago.  There's a lot of positive chatter about the Freddie SBL program here in the forums as well if you wanted to do a little research.  It offers up to 10-years fixed rates, 30-year amortization, non-recourse and interest only capabilities.  My group at CBRE originates Freddie Mac SBL loans very frequently in Chicago. Please, feel free to PM me if you'd be interested in a financing quote.  

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