How Does a Commercial Mortgage Work?
A Commercial Mortgage functions similarly to a residential mortgage, but with key differences. It involves borrowing funds from a commercial lender to purchase or refinance a commercial property in Toronto. The loan is secured by the property, and borrowers make regular payments towards the principal and interest over a set term. Commercial Mortgage Brokers assist in securing competitive interest rates and loan terms. Depending on the loan structure, borrowers may have fixed or variable interest rates, and the repayment terms can range from several years to decades, depending on the agreement with the lender.