Stated Income Commercial Real Estate
Use a Stated Income Loan for Your Next Commercial Real Estate Purchase
Loan rejections seem like a part of the business process, especially when it comes to buying and selling commercial property. Conventional loans are not developed with real estate in mind, meaning the process typically moves at a snail’s pace, risking the loss of a potentially lucrative opportunity. Here, at Skyline Commercial Capital, we want to see you succeed while avoiding frustration and wasted time, which is why the stated income loan program was developed.
Traditional Loan Programs Can Take Too Long
The highly regulated process of applying for a loan in a traditional bank can extend the approval process significantly. The amount of paperwork and follow-up questioning can lead to significant back and forth paperwork processing and clarifications. When dealing with commercial real estate, that can often mean the difference between getting the property you want or losing it.
When we review applications for the stated income loan program, we are looking more at the property value than the business or borrower’s credit history or creditworthiness. As long as the property can meet specific requirements or expectations, we often do not have an issue with the application. However, we require all applicants to have a minimum credit score of 600 and present W-2 or self-employment documentation.
Understanding the Specifics of a Stated Income Loan
Beyond the need for the applicant to have a qualifying credit score of 600, stated income loans have few restrictions, especially on the property type. Many borrowers will find the structure of a stated income loan to be favorable, including the:
- Fixed interest rate
- 25-year amortization
- Loan limits of up to $500,000
- 65 to 75% loan-to-value ratio, depending on the property type
Contact Us Today
If your business needs a commercial real estate loan soon, do not hesitate to contact us. At Skyline Commercial Capital, we pride ourselves on our rapid approvals and quick funding, typically within three weeks.