Streamlining these types of loans for fast approvals and closing is important. Here are some tips for simplifying the process.

• Remember some lenders consider these risky because the asset has not been built yet. Although the amount of the down payment can vary depending on project type and lender, 20% of the entire project cost is an average benchmark.
• Understand the difference between construction loans and other types of products when it comes to amortization periods. For example, the maximum for one of these loans is one year. That compares to a maximum of 40 years for a commercial mortgage and 25 for the more conventional type.
• These loans are also called draw mortgages. They are paid out in stages during the construction. Typically for construction loans, there are four draws. A commercial mortgage and a conventional mortgage usually involve one lump sum each.

It’s also important to remember that many lenders only allow for four draws. However, there can be some flexibility depending on the institution you’re dealing with. Builders need to remember this. Lenders send an appraiser before each draw. Finally, construction loans don’t foreword the amount of any draw to a contractor.

There’s a Builder’s Lien Act that withholds 10% from any of the payments that you make to general contractors. These regulations are different province by province. You can read more about Ontario’s Construction Lien Act here.

If you need help applying for construction loans, get in touch with us. We have an excellent track record of being able to fund and structure complicated deals.

The post Here are Some Tips for Simplifying the Construction Loans Process. appeared first on OMJ Mortgage.

However, we’re just one of the team members that you need when you’re looking at buying or leasing commercial real estate. Here are a few other ones you need to consider.

• The accountant is important for your company’s financial metrics. They look at all of the numbers and can help you make the right decision about purchasing real estate. These are the professionals that can also help you with important items like up-to-date financial statements and a realistic budget.
• Once you decide to make an offer, a lawyer becomes extremely important. These professionals look after the necessary legal conditions. These are the experts that can take a look at contracts and perform any other aspects needed for due diligence. That could include anything and everything including zoning issues, any other encumbrances like court orders and even conducting a title search.
• Many lending institutions will require you have an environmental assessment report. That means you will also need to have an experienced and qualified environmental consulting firm on your team.

Other team members include a certified building inspector and an authorized appraiser. It’s important to understand any property’s fair market value before you commit. There’s a Canadian National Association of Real Estate Appraisers that certifies these professionals across the country.

Quick Mortgage Broker in Toronto Approvals

As your commercial mortgage broker in Toronto, we can add quick approvals and fast turnaround times as well as creative and customized commercial mortgage solutions. Take advantage of our proven track record by getting in touch with us today.

The post Here’s Some Other Experts You Need To Add To Your Commercial Mortgage Broker in Toronto Team appeared first on OMJ Mortgage.

Here’s a few steps that you can take to bump up your chances of getting financing.

• You’ll need to have your documentation in good order. That means current financial statements and a solid business plan. Including details on the industrial or commercial property you’re interested in helps.
• The state of your business matters too. If your enterprise is up and running, lenders will want to be sure that it is steady and profitable. Some institutions might want to see a minimum net worth so they can feel comfortable you’ll make payments on time.
• It’s good to have some flexibility in any lending institution’s offer. As your commercial mortgage broker in Toronto, we suggest looking into adding renovation costs into a term loan where possible. This is an excellent option if it adds value to the property.

Several different types of properties can be classified as commercial. It’s important to be clear on which one you are looking to finance. There’s some gray area. For example, you can finance a residential real estate purchase under a commercial mortgage if it’s bought as an investment property.

Commercial Mortgages For Offices

You’ll also be looking at commercial mortgages if you’re looking to fund an industrial, retail or office property.

Time Frame

There’s also a time frame to consider. Residential mortgages generally take about three months from start to finish. However, commercial mortgages take longer and the process might go on from two months to a full year.

We can help speed that along. In fact, as your commercial mortgage broker in Toronto it only often takes one or two days to get a letter of intent for commercial financing through us.

The post Commercial Mortgage Broker In Toronto Tips for Getting Finances   appeared first on OMJ Mortgage.

Here’s a few tips for making the whole process go smoothly. We will be there to help you with everything including the best mortgage rates along the way.

Show Patience

The whole process takes longer when you’re investing in commercial real estate. The due diligence that’s involved usually takes months rather than days. Keep in mind even something like finding new tenants can take longer. The same can be said for renovations and the length of leases.

Use Property Types to Assess Risk

The idea of assessing risk is completely different when you’re deciding on commercial real estate as opposed to residential properties. Here’s the kind of thing that you need to consider. Two residential properties situated right next to each other might have similar success stories. On the other side of that coin, two commercial buildings often have very different outcomes financially.

Know a Good Deal

We can help you as your commercial mortgage broker in Toronto. We have a team that’s made up of senior ex commercial bank managers. These experts can help you get faster approvals and closings.

As far as buying a commercial property goes, knowing some of the factors that go into a good deal helps.  It’s important to keep an eye out for any damage that you’llneed to repair. It’s always a good idea to do some spot calculations to make sure the property is in line with your financial goals.

Don’t forget to have a good team working for you that includes our commercial mortgage broker in Toronto squad.

The post Good Tips on How to Invest from Your Commercial Mortgage Broker in Toronto appeared first on OMJ Mortgage.

Our experts also know how important good employees are to any business. That’s why we’ve put together some tips on employee recruitment that we hope will help.

Working Conditions

First step is writing a good job description. Outlining the working conditions, requirements and tasks will save time by attracting qualified candidates. There’s a few things a good job description has including a clear position title. It’s suggested you use one that’s generic and not unique to your individual company.

The job description is the meat and potatoes. Here you’ll need to summarize the most essential tasks you require. It’s also a good idea to write in what makes the job exciting and unique.

Screening Applicants

Screening the applicants is an important step. This comes after you’ve received a bunch of different resumes and selected interesting candidates. Here’s a few different methods you can use to screen candidates.

• Talking to them on the telephone or communicating through email works. It’s a good way to get a sense of whether they are actually interested in the job.
• One of the other ways to find the right candidates is through standardized testing. You’ll get the best results if you use certified specialists and companies that work exclusively in this field.
• Asking the right type of questions helps to eliminate bad candidates. For example, the best way to predict a candidate’s future behavior is by asking how they’ve handled themselves in the past. These are  behavioural questions. Another type, situational questions, ask about events and circumstances a candidate could face on the job.

Once you put together your staff, our commercial mortgage broker in Toronto experts can help locate the ideal place for your business.

The post Here’s Some Tips On Employee Recruitment From Your Commercial Mortgage Broker in Toronto appeared first on OMJ Mortgage.

Commercial real estate transaction volume dropped in Q2 and the big dip can’t be blamed on retail properties alone. This is the big news from Morguard’s  2020 Canadian Economic Outlook and Market Fundamentals.

The report highlighted decreases of almost 60% percent in Q2 for transactional volumes for office, retail and multi-suite residential units.

Keith Reading directs the research department at Morguard. He told MortgageBrokerNews recently the downward spikes were the result of the pandemic and not a structural flaw in multi family or office properties.

Commercial Mortgage Broker in Toronto Reporting on The Silver Lining

There was at least one silver lining to Reading’s comments.

“I think you’ll see investors toward the end of the year really jump back into the market,” he told MortgageBrokerNews.

Other interesting tidbits from the report include the fact the industrial sector was outperforming its commercial competition. That reflects a shift in consumer behaviour towards a spike in online shopping.

The thinking behind the spike centres around the need for more storage space. Online retailers need to outpace their competition by getting products to consumers quickly. That means they need more properties near the bigger urban centres.

“Companies need more storage space. They need more last-mile delivery space,” Reading says in MortgageBrokerNews. “That’s really driving this demand for industrial space, and I don’t see that slowing down any time soon.”

The report stayed clear from drilling down into the often covered struggles of retail. Still, it’s optimistic about some of the malls and shopping centres finding non-retail tenants like banks and medical offices. That’s another good sign.

As your commercial mortgage broker in Toronto, we keep a careful eye on the  changing commercial landscape.

The post Industrial Outperforms Commercial Sector in Q2 and Other News from Your Commercial Mortgage Broker in Toronto appeared first on OMJ Mortgage.

For today’s businesses, that can mean investing in technology. Here’s a few things you need to know if you’re taking your company down that route.

Start at The Beginning

If you need a tech solution, it usually means you’ve got a gap in your information flow. Some businesses are still keeping paper records. Other organizations want to reduce errors by automating some processes. The first thing you’ll need to do is get input about whether a technology purchase is the right answer.

Mapping out your business processes is a good first step. Then you can make a list of what kind of technology can support each area of your enterprise. The idea is to be able to pinpoint any information gaps and highlight how information flows.

Be Specific

When you are looking for the best mortgage rates, we are the commercial mortgage broker in Toronto that gets specific. It’s the same when you’re investing in technology. There is a wide scope of products available that allows for more specialization. For example, software as a service (SaaS) and cloud computing are ways that your enterprise can save on maintenance costs.

Understanding how the latest tech can be used in your business vertical helps you to pick the right one

One of the other boxes you’ll need to check has to do with potential vendors. Make sure that you have a diverse list of larger and smaller suppliers.

Getting the right technology helps you run your business more efficiently. Our commercial mortgage broker in Toronto services can help find the perfect location for your enterprise.

The post How to Invest in Tech from Your Commercial Mortgage Broker in Toronto appeared first on OMJ Mortgage.

Put Aside a Month

Even after we’ve helped you with the best mortgage rates, there’s work to be done before you sign on the dotted line. Thirty days is the accepted time between reaching an agreement and finalizing a deal. That gives your legal team the time to look through all the important paperwork like insurance policies, title documents and even leases with current tenants.

Financing Tips From Your Commercial Mortgage Broker in Toronto

OMJ Mortgage Capital is the commercial mortgage broker in Toronto with a proven track record. We can help you and advise you. For example, it’s a good idea to take a look at your cash flow projections and business plan when you’re deciding how much you can afford.

This part is really a balancing act. Unforeseen costs are the dark cloud that lingers on your financial horizon. Don’t forget to look for all of the details. There’s a good chance you’ll need an environmental assessment to go with your building inspection before you can get financing.

There’s a lot to think about before you buy a commercial building. Due diligence needs to be a big part of the purchase. Make sure you’re not dealing with any liens or other obligations.

Use Your Team

When scouring through the paperwork, make a list of the things that need to be looked at. Then assign them to the right member of your team. That includes accountants, real estate agents, building inspectors, lawyers and of course your commercial mortgage broker in Toronto.

The post Buying Tips from Your Commercial Mortgage Broker in Toronto appeared first on OMJ Mortgage.

There’s inventory and staffing. Having an advertising budget is another financial ball you need to juggle.  Long story short is there’s lots to consider when you’re running a business.

 Commercial Mortgage Broker in Toronto Tips

Here’s a few tips on getting the most from that important part of your business toolkit.

• Make sure that your allocating the money properly. As your Toronto commercial mortgage broker, we can look after aspects like terms and the best mortgage rates. When it comes to advertising, there is a simple formula to follow. Usually a B2B company should spend 5% of their total revenue on marketing. That’s double when you’re a B2C outfit.
• You need to be able to tweak the numbers as you go along. Some things will look good at first and not work out. Others won’t look that promising but will hit a note with your target market. Being able to tell the difference and adjust accordingly is a good recipe for success. Web analytics are a great way to decide what goes and what stays. Use them to do a quarterly and annual checkup to see if your projections line up with your spend.

Make no mistake, there’s lots of different avenues to pursue when it comes to choosing your advertising tools. Regardless of the business you’re in, you’ll need a website. These are the modern-day business cards and you should have some web analytics built-in.

Different costs include the design and build as well as monthly hosting. Don’t forget when your company starts to expand, we’re here as your commercial mortgage broker  in Toronto  of choice.

The post How to Get the Most from Your Advertising Budget from Your Commercial Mortgage Broker in Toronto appeared first on OMJ Mortgage.