Commercial property financing options

[Jacob Stahl]

Hello All,

I am looking at a commercial property and would like some advice on financing the deal, specifically the down payment.

I will be securing a commercial loan through conventional financing, 20% down with 5 year balloon and 20 year amortization rate.

I do have the cash for the 20%, but that would exhaust the vast majority of my reserves. My debate is should I use a home equity loan or a HELOC for part of the down payment OR use all cash for down payment and use HELOC for any personal expenses as needed after that?

Thanks in advanced!