Commercial Owner Occupier Mortgages

Commercial Owner Occupier Mortgages are used to fund the purchase, or refinance of, commercial and semi-commercial properties that a trading business operates from.

Appointed Representatives to the Fiducia Commercial Network have access to an all-of-market commercial owner occupier mortgage options.

Here are some key features and considerations of commercial owner occupier mortgages:

1. Property Types

Commercial owner occupier mortgages can be used to finance various types of commercial properties, including office buildings, retail spaces, industrial units, warehouses, and mixed-use properties. The specific property type will be taken into account by the lender when determining the loan terms and conditions.

2. Loan Amount and LTV:

The loan amount for a commercial owner occupier mortgage is typically based on the sector in which the business operates, and an assessment of its historical and forecast trading performance.

The loan-to-value (LTV) ratio for commercial owner occupier mortgages is usuallY ranging from 50% to 75% of the property’s value.

3. Interest Rates and Repayment Terms:

The interest rates for commercial owner occupier mortgages can vary depending on factors such as the borrower’s creditworthiness, trading history, the property type, and market conditions. 

Repayment terms can vary, with options for interest-only or capital and interest repayment structures.

5. Deposit Requirements:

Commercial owner occupier mortgages often require a large deposit. The deposit amount can range often from 25% to 50% of the property’s value, depending on the lender and the specific circumstances.

6. Eligibility Criteria:

Lenders will consider various factors when assessing eligibility for a commercial owner occupier mortgage. These will include the borrower’s business sector, trading history, credit history and the type and profile of the property.