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Updated almost 8 years ago on . Most recent reply

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Eugene G.
  • Buffalo, NY
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Anyone else have experience cash out refi a commercial building?

Eugene G.
  • Buffalo, NY
Posted

Have a commercial building that was purchased about 4.5 years ago with a private mortgage.  In 6 months the mortgage has a call option if I want to refinance.  The remaining balance is around $70k and the building market value is around $350k.

I would like to cash out refinance to lower monthly payments, lower current interest rate of 8%, extend the term, and leverage the additional equity.  

The commercial building is one of many properties owned in an LLC, however the LLC has claimed a loss for 7 consecutive years. Are there any options for refinancing? Should the property be transferred to my personal name for loan qualification? Which banks or online lenders are a good place to start? Anyone else have experience cash out refinancing a commercial building?

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