What is a commercial full doc loan ?
A commercial loan is a mortgage secured by commercial, retail, or industrial property. When looking at a commercial full doc loan, you will be looking at a loan facility secured by commercial property supported by verifiable income documents like:
- Tax returns
- Profit and loss statements
- Balance sheets
- Assessment notices
- Group certificates
When a lender assesses your affordability position with any of the above supporting income documents, the process is then called a ‘fully documented and supported assessment’. Hence the term ‘full doc loan.’
Commercial full doc loans are fully verified loans assessed using the most current financial and income statements available at the time of application. Commercial Full Doc Loans are the primary commercial loan type found with most commercial lenders in Australia.
Which lenders offer commercial full doc loans?
Most Australian banks and non-bank lenders offer commercial full doc loans. Some of the lenders are well known whilst others may be unknown to the general public. Some of Australia’s best full doc loan lenders are:
- Commonwealth Bank
- National Australia Bank
- St George
- Bank of Melbourne
- Bank of South Australia & many more
You will even be able to get a full doc commercial loan from overseas lenders and banks like;
- ING Bank
- Barclays Bank
- Arab Bank & many more
There are many commercial lenders in Australia offering full doc commercial loans. To find the most suitable lender for your particular scenario, it’s best to speak to a Mortgage Providers Broker as we specialise in commercial mortgages. We have an extensive list of lenders on our panel to get you the most competitive deal on the market. Some of our lenders are listed here.
What costs are associated with a commercial full doc loan?
Most well known commercial full doc loan lenders will generally charge an establishment fee to set up a commercial loan. However, there are some aggressive lenders who will waive establishment fees, or application fees and other costs for good quality commercial loan borrowers. Some lenders will even rebate the cost of valuation fees after settlement in some circumstances.
Interest rates for commercial full doc loans?
Commercial full doc loan interest rates vary between lenders. For a large enough transaction and good cash flow and affordability, some lenders will give a very competitive interest rate for the right borrower. The interest rates offered can even be lower than home loan rates.
Maximum LVR for full doc commercial loan?
The maximum LVR for a full doc commercial loan is 82% LVR. This high LVR can only be found with 2 lenders in Australia. Most lenders who offer full doc commercial loans generally offer these types of loans at either 65% LVR, some at 70% LVR and small number at 75% LVR. When considering which loan and LVR is suitable for you, please contact us direct and ask to speak to a Mortgage Providers commercial loan specialist.
Loan purposes for commercial full doc loan
You could take out a commercial full doc loan for almost any type of commercial loan purpose. These can include any of the following;
- Purchase property
- Debt consolidation
- Cash out
- Equity release
Maximum loan term for a commercial full doc loan
The maximum loan term you will be able to a get a commercial full doc loan for is 30 years. This maximum loan term can only be found with 2 lenders. In most cases however, commercial loan lenders will generally lend you to 15 year terms with a small number also lending either 20 and 25 year terms.
When looking for a commercial full doc loan, it’s best to call the brokers at Mortgage Providers. Our brokers specialize in commercial loan products and policies of many different lenders. We can save you the hassle of running around by matching you to the lender who will offer you the best loan terms and facilities.