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Zoned commercial with apt, can I mortgage individually

Found a neat property i would love to buy. It ia commercial store front, detached with a luxury apartment upstairs. Then there is a giant warehouse outback with an full upstairs. The price is less than I planned on buying on a home with a detached garage. I can afford 38% down with 15k held to close. I know I d have to seek a commercial lender but will the lend to me with the intentions of not running a full time business? I'd like to use the ware house for my car collection , and turn the store into more living space . by Gozirramotorsport... from , California. Apr 27th 2017 Reply


William J Acres (William_Acres)
#1 ranked lender in Arizona - 8,007 contributions

Much more info needed, but in general.. This is going to be very difficult to obtain any type of conforming financing.. if you were just purchasing the residence, then possibly, but buying the entire "Mixed Use" building? You will definitely need commercial financing for that.. and to be honest, 38% down might not be enough. One of the considerations when lending on commercial property is the future potential of the property.. in your scenario, the future potential is to revert it back to a residence (assuming zoning will allow the change) , and this will typical mean the property will be worth less, since it will be a residential property in a commercial location. This will be a problem for most commercial lenders.. so you might be forced to look at private money (Hard Money).. Obviously, I can only speculate since you didn't provide enough info, just understand that this is going to be very difficult to get any decent financing.. Another thing you need to consider, is that as difficult it is to obtain financing now,,, it might be just as difficult for the new buyer to obtain financing in the future if and when you decide to sell. I'm a preferred Lender with Arizona and California being my primary markets. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com NMLS# 226347 / RPM Mortgage NMLS 1541014 / AZMB0121893

Apr 28th 2017
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William J Acres (William_Acres)
#1 ranked lender in Arizona - 8,007 contributions

Just as I commented on your inquiry, I come across a lender that specializes in this type of property.. Give me a call and I'd be happy to discuss it with you... I'm a preferred Lender with Arizona and California being my primary markets. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com NMLS# 226347 / RPM Mortgage NMLS 1541014 / AZMB0121893

Apr 28th 2017
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Larry Gray (lgray_312_247)
#565 ranked lender in California - 1,127 contributions

We have a commercial lending affiliate but I have done a similar property minus the giant warehouse as an FHA loan...the luxury apartment simply has to be the bigger space. I would have to look into how the warehouse out back might be viewed of course. That could be a problem in regards to that option.

Apr 28th 2017
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Larry Gray (lgray_312_247)
#565 ranked lender in California - 1,127 contributions

We more likely would do it as a commercial loan...we go through our wholesale commercial affiliate who I do 1 to 4 unit properties for. They do a fantastic joband what's more they service most of their loans so you loan very well might remain with your same loan originator and funder. Otherwise, I am not certain still,but suspect when I get a hold of FHA they may count the commercial warehouseas more square feet thus expanding the commercial area of the two structures as larger than the luxury apartment. But certainly as a commercial we can get it done for you. www.graylending.com www.mmcdcorp.com; lgray@mmcdcorp.com nmls 335290

Apr 28th 2017
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