Hickory Capital
Commercial real estate and business loans

Company & Industry News

Industry and market information for commercial real estate and business loans and processes

Stated Income Commercial Real-Estate Loans

Are you thinking about refinancing or buying commercial real estate, but you already know that you won’t qualify for a traditional commercial loan? If so, don’t give up or think that your real estate dreams can never become a reality, because there are still commercial real estate financing options available to you, including stated income commercial real estate loans. Although the name is a mouthful, the idea behind this type of loan is quite simple: as long as the property you are trying to acquire has a large enough income value to service the insurance, mortgage, and taxes, you can most likely receive approval for a stated income commercial loan.

What Is It?

When it comes to commercial real estate financing, a stated income commercial real-estate loan is a very desirable type of loan because it doesn’t rely as much on the borrower’s credit history as it does on the quality of the piece of real estate in question. The loan is ideal for borrowers who are looking to refinance or purchase commercial real estate. Unlike traditional loans, a stated income commercial real estate loan is much quicker to obtain because the borrower doesn’t have to present as many documents as they would need in order to qualify for a traditional loan. Property taxes, insurance information, and mortgage information is not required in order to receive this type of loan.

Individuals who are unable to obtain a traditional commercial loan due to inability to provide adequate income, lack of credit, property constraints, tenant issues, and other similar issues should try their luck at being approved for other types of commercial real estate financing, including stated income commercial real estate loans.

Because financing institutions that offer stated income commercial loans have a greater underwriting risk tolerance, they can avoid many of the common restrictive financial covenants that are common with traditional commercial lending. So even if you have been declined for a traditional commercial loan from a bank or other lending institution, you have a good chance of receiving approval for a stated income commercial loan.

What Types of Property Can Be Financed?

Commercial real estate financing can be used to finance apartment buildings, warehouses, restaurants, retail real estate, office real estate, mixed-use, automotive services, and many others. Whether you need financing in the amount of $50,000 or $1,500,000, you can get the financing you need with a stated income commercial loan.

If you are ready to realize your dream of obtaining a piece of commercial real estate, you can now do so thanks to convenient and flexible stated income commercial loans.