Finding a small commercial mortgage for your borrower is tough enough without the added inconvenience of waiting around for a lender. Some small commercial lenders really take their time when it comes to approving loans, underwriting files, and closing deals. If you need to get your borrower financing but don’t have much time, here are the questions you need to ask a lender before submitting the loan scenario.

• What do you need to look at this deal? First, you’ll want to find out what information your lender will need to look at the scenario. If you’re dealing with banks or SBA lenders, you’re going to need to gather up a lot of documents before they can proceed. This can be time consuming, and since these institutions are subject to stricter guidelines, you also run a higher risk of getting a “no” and wasting your borrower’s time.
• Will I get a quick yes or no? Banks, SBA lenders, and even some private lenders who handle small commercial mortgages might take days to get back to you about whether or not they can get your borrower a loan. If you’re working on a time-sensitive deal, you’re going to want to know quickly whether or not a lender can provide financing. Those extra days some lenders spend looking over a file can make or break your borrower.
• How quickly will the loan close? Once a lender has approved your borrower’s loan, the next thing you’ll need to know is how long the deal will take to close. A small commercial deal can take as little as two weeks, but it can also take as long as two months. If your borrower needs this money right away, a long wait for closing isn’t going to work.

These questions are all important and discriminating brokers will ask them frequently. Asking these questions lets a lender know that the broker understands the nature of the deal and is committed to helping the borrower get the financing he or she needs.

For reference, APEX requires only a loan summary, a completed 1003 or personal financial statement, and a tri-merge credit report to look at a deal, so you don’t need to waste time collecting paperwork. We’ll let you know within 24 hours of your submission if the deal is doable, so you’re not waiting around for days just to be told no. The average APEX loan closes in 2-3 weeks, so your borrower gets the money they need fast. So, be sure to ask your lenders the three questions above. If they can’t get it done for you, call APEX Mortgage Corp.

If you have any questions or you would like to discuss a loan scenario, please call us at 800-262-2739.

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