Commercial mortgages are available across a wide range of property types from factory units to shops. The determining factor however is that the borrower will not normally be living at the security which makes them unregulated by the FSA.
With semi-commercial mortgages (such as a shop with a flat above), the borrower will have permission to live in the residential part of the building. Mortgages with a commercial element are currently viewed by the lender as higher risk than those without and as such it is a much lengthier process requiring additional checks, the mortgages available are usually based on a LTV of 75% or below and rates are higher than with other mortgage types.
Many commercial and semi-commercial mortgages allow the borrower to let out the property although an additional premium is usually payable.
A specialist commercial mortgage tailored to your requirements can be far more flexible than a traditional property loan. Choose from an extensive range of fixed-rate and variable loans, with the option of switching from a variable mortgage to a fixed-rate deal at any time.
Request an interest only repayment holiday to temporarily reduce your monthly outgoings where required.
Repay your commercial mortgage over a period of anything from 12 months to 40 years, in accordance with your requirements and your budget.
No restrictions whatsoever on how you use your commercial capital. It is yours to invest in any way you like.