Can I borrow against a Commercial Mixed Use Property

[Franky Juwana]

Hi Fellow Investors, 

    I'm not too familiar with commercial lending, so hopefully I can learn something. 

I have a Mixed use commercial property that paid off,  my questions are:

- Can I borrow against it? and what's the criteria for borrowing? is my credit score or property income matters most to the bank? 

- What's the max can I borrow ? Do they need to Appraise it ? 

- Any Recommendation of Commercial Lender?

Thank you in Advance, 

[Matthew Crivelli]

Hi Franky, 

You should be able to refinance and pull cash out. 

Your credit score will 100% matter (like always)

The property will need to be appraised for sure. I would expect no more than 70% LTV on the cash out.

The criteria for lending will be different every where. You could use a commercial lender from a bank or you could explore private financing if you are okay with holding the property under an LLC. Rates will most likely be high and you want the place fully rented. Also expect it to take some time to close. (45 - 60 days +)