Clients came to me to help purchase a medical suite for their growing business. Clients had already spoken to their bank who offered them a very competitive business loan to be secured against both the commercial property, and their owner occupied home, on which they had a small loan balance with the same lender. I was able to obtain for the clients a residential home loan over 30 years to purchase the commercial property. In the process I also refinanced their existing home loan and the new lender only used the residential property as security. The end result was not only a lower interest rate on their existing home loan, but also a much lower interest rate on the purchase, as home loan rates are traditionally lower than business loan rates. More importantly financing the purchase over 30 years instead of the maximum 15 year business loan term meant that the clients would have a greater cash flow during this expansion phase.
