A commercial mortgage is secured against property held to produce income rather than to live in, retail, office, industrial, multi-unit residential and mixed-use. The lender underwrites the building's income first and the borrower second, which is the fundamental difference from a residential application.
The brokers listed here arrange commercial mortgages and commercial real estate loans across Canada. Terms are negotiated rather than posted, so who presents the file, and how, changes the outcome more than it does on a house.
The brokers below have told us they take on commercial files. Narrow by city to see who works in your market, most lending decisions still turn on where the property sits.
5 of these brokers have a mapped office. Tap a pin to open that profile.
I’m a mortgage broker and co-founder of Miracle Financial, helping homeowners and buyers across Ontario find practical mortgage solutions. A large part of my work involves refinancing, debt…
As Licensed Principal Broker, I’m dedicated to providing you with all the information you need to make a well-informed decision on your mortgage financing needs. My mortgage industry knowled…
With 10 years of extensive, hands-on experience in the Canadian mortgage industry, your agent specializes in turning complex financial scenarios into clear, actionable pathways. Providing co…
I’m a Level 2 Mortgage Agent with Get A Better Mortgage, serving residential clients in Ottawa and commercial clients across Ontario. Known as the “Mortgage Matchmaker,” I connect borrowers…
As a Level 2 Mortgage Broker serving clients across Ontario, I help individuals, self-employed professionals, investors, and business owners secure financing tailored to their needs. My serv…
With over 13 years of experience in financial services, I help homebuyers, homeowners, and self-employed professionals navigate mortgage financing with confidence. Specializing in residentia…
I'm P. Michael Thomas, AMP, Mortgage Broker, helping homebuyers, homeowners, investors and business owners find practical mortgage and financing solutions. With almost 10 years of experienc…
The central measure is the debt service coverage ratio, the property's net operating income divided by its annual debt payments. Lenders want a cushion above 1.0, and the required cushion rises with the perceived risk of the asset class and the tenant covenant.
Loan-to-value limits are lower than on residential, and vary sharply by property type. Multi-unit residential is treated most favourably, and there are federal insurance programs for purpose-built rental that improve terms substantially where a project qualifies.
Terms are shorter and amortisations often longer, which leaves a balance outstanding at maturity that has to be refinanced. Rates are quoted per deal rather than posted. Personal guarantees are common, and whether the loan is recourse or non-recourse is negotiable and consequential.
Fees are also structurally different: expect an application or commitment fee, and appraisal, environmental and legal costs that are yours whether or not the deal completes. Budget for them at the outset.
A loan secured against income-producing property, retail, office, industrial, multi-unit residential or mixed-use. The lender assesses the property's income and the strength of its tenants before it assesses the borrower, which is the main difference from a residential mortgage.
They are quoted per deal rather than posted, and sit above residential rates. Pricing depends on the asset class, the debt service coverage ratio, the loan-to-value, the lease profile and the borrower's experience. Two similar buildings can price quite differently on tenant quality alone.
More than residential, and it varies by property type. Multi-unit residential is treated most favourably; specialised or single-tenant properties require the most. The figure follows the loan-to-value the lender will accept for that asset class, not a fixed percentage.
Net operating income divided by annual debt payments. A ratio of 1.0 means the property exactly covers its financing; lenders require a cushion above that, and the size of the cushion rises with the risk of the asset class. It is the single most important number in a commercial application.
Yes, and buildings above a certain number of units are financed commercially rather than residentially. Multi-unit residential generally receives the best commercial terms available, and federal insurance programs for purpose-built rental can improve them further where a project qualifies.
