Milan Melas

Mortgage Calculator

Understanding ICI financing expenses..

Purchasing a commercial property usually requires obtaining a mortgage loan. Unlike residential mortgages, the Loan to Debt Ratio requirement of financial institutions for Industrial, Commercial and Investment ‘ICI ‘ Properties is much greater. Traditionally Class ‘A’ Banks require a Loan to Debit Ratio of 60/40 for ICI properties. In addition, commercial loans are at a higher interest rate than residential. You may be able to find a Class ‘B’ Lender or Private Lender that may accept less than 40% down but at a higher interest rate than Class ‘A’ Banks. For your convenience, below is a mortgage calculator that will provide you the monthly payments that you could expect given your particular financing situation.

Financial Institutions require various reports to be provided prior to being approved. For a typical industrial freestanding building, these reports include a Building Inspection of the structure, electrical and mechanical systems of the building, Environmental Phase 1 and or Phase 2 Report, Appraisal, Financial Statements, Corporate Returns and Legal Mortgage Documents, all provided by recognized professionals at the borrower’s cost. Providing these Reports is costly ranging from $10,000 and up, depending on the particular property’s current condition and previous uses. Industrial Condo’s are slightly easier to finance, due to the structure and common area repairs and maintenance being managed by the Condo Corporation and the mandatory upkeep of the Reserve Fund.

Mortgage Calculator

Purchase Amount: Down Payment:
Interest Rate: % Payment Interval:
Mortgage Term (Years)    
Closing Costs ($): Closing Costs (%):
Loan Amount:
Interest Rate:
Payment Interval:
Mortgage Term:
Total Payments:
Total Amount Paid:
Total Interest Paid:
This calculator is for information purposes only. Users should not use this calculator to make any financial decisions and should speak with their bank or mortgage broker. The website owner does not guarantee the accuracy or reliability of any information or calculations provided by this calculator. The website owner is not liable for loss or damage of any kind arising from the use of this tool.

*** This tool is designed to estimate potential mortgage costs based on the information you have provided. In no way does Milan Melas represent or provide mortgage rates committments or represent a financial institution*** Please verify all your information with your deisgnated lender. ***

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