Commercial property, without the runaround.

Once a building crosses into commercial territory — a 5+ unit apartment building, a storefront with units above, an office or warehouse — the loan works differently: the property's income drives the deal, terms are negotiated, and every lender has its own appetite. We broker these the same way we broker home loans: compare real options, translate the terms into plain language, and tell you honestly which structure fits — in English or Spanish.

Modern glass-and-metal office building against a clear blue sky

Who this is for

How it works

  1. Start with the property's numbers

    Rent roll, operating expenses, and the net income the building actually produces. Commercial lenders underwrite that income first — so that's where we start too.

  2. Match the deal to the right lenders

    Banks, credit unions, agency multifamily programs, and private capital all want different deals. We shortlist the lenders whose appetite actually fits your property and your plans.

  3. Compare terms that actually differ

    Commercial quotes vary on more than rate — amortization, loan term, prepayment penalties, recourse. We put them side by side in plain language so the tradeoffs are clear.

  4. Close with the paperwork managed

    Appraisal, environmental review when required, entity documents — commercial closings have more moving parts, and we keep them moving so your timeline holds.

One broker for the whole spectrum

From a 5-unit building to an industrial space, we know which lenders actually want each property type — so you're not cold-calling banks one by one.

Terms translated, not just quoted

Prepayment penalties, balloon dates, recourse — we explain what each term costs you in real life before you pick a loan.

Underwritten on the building's income

Commercial loans lean on the property's net operating income, which can work in your favor when your personal tax returns don't tell the whole story.

Refinances that beat the balloon

Many commercial loans come due in 5 to 10 years. We start the refinance conversation early so a maturity date never forces a bad decision.

Today’s sample rates

Common questions

What counts as a commercial loan?

Generally, financing for property that's primarily business-oriented: apartment buildings with 5 or more units, mixed-use buildings, retail, office, industrial, and buildings a business buys to operate from. Rentals with 1–4 units usually stay on the residential side — often a DSCR loan — and we handle those too, so you don't have to guess which bucket your property falls in.

How is qualifying different from a home loan?

The building carries more of the weight. Lenders focus on the property's net operating income and how comfortably it covers the proposed payment, alongside your experience, credit, and reserves. Terms are also more negotiable than residential loans — which is exactly where having a broker compare offers pays off.

How much do I need to put down?

Most commercial purchases land somewhere between 25% and 35% down, depending on the property type, its income, and the lender. Strong multifamily deals tend toward the lower end; specialty properties ask for more. We'll give you a realistic read on your specific deal before you write an offer.

What loan terms should I expect?

Commercial loans often carry a 5-to-10-year term with a longer amortization, which means a balloon balance comes due at maturity — refinancing at that point is normal and planned for. Prepayment penalties are also common. None of that is a problem if you see it coming, and we make sure you do.

Can I buy the building my business operates from?

Yes — owner-user purchases are a big part of commercial lending, and some programs are built specifically for them. Owning the building can turn rent into equity, and we'll compare owner-user options against standard commercial terms for your situation.

Is a 5-unit building really that different from a 4-unit one?

Financing-wise, yes. Four units can still use residential-style loans; at five, you're in commercial territory with different underwriting, terms, and lenders. If you're deciding between properties on either side of that line, we'll show you both sets of numbers so the loan doesn't make the decision for you.

California commercial mortgage requirements and financing options

A commercial mortgage finances the purchase or refinance of real estate such as apartment buildings with five or more units, retail, offices, warehouses and mixed-use property. Home Central Financial acts as a mortgage broker comparing financing options. This service is different from selling or leasing property, property management, or calculating real estate agent commissions.

For a commercial loan review, gather the rent roll and occupancy, leases, operating income and expenses, purchase price or estimated value, current loan balance and maturity date, and ownership-entity documents. A lender may also require credit, liquidity, experience, tax returns, an appraisal and environmental review. The final checklist depends on the property and program.

Commercial DSCR divides annual net operating income by annual debt payments. Illustrative example: $120,000 in net operating income ÷ $96,000 in debt payments = 1.25. Net operating income deducts operating expenses; it is not gross rent. A 1.25 result does not guarantee approval: valuation, reserves, occupancy and lender criteria also matter.

To pull equity out, a cash-out refinance replaces the existing mortgage. Illustrative example: $750,000 new loan − $500,000 payoff − $25,000 costs = $225,000 before other deductions. Value and cash flow must support the loan; confirm prepayment penalties, reserves and additional liens. This is not a loan offer.

What to review for each financing goal
QuestionAnswer and limitation
What types of financing are available?Compare commercial purchase or refinance loans, multifamily programs and short-term private financing. Property type, occupancy and the planned exit determine which options are worth reviewing.
Can mixed-use property get a residential mortgage?Not automatically. Legal use, commercial share, dwelling count, occupancy and program rules matter. A storefront with apartments may need commercial underwriting; do not treat it as a house without reviewing those details.
Can I get a commercial second mortgage?A second mortgage keeps the first loan in place. Review first-loan restrictions, consent where required, combined debt and available cash flow. Ask whether an option exists for your situation; availability is not guaranteed.
What changes with a small-balance commercial loan?A smaller balance does not eliminate appraisal, legal review or other costs. Compare lender minimums and total cost, not just the rate. This is different from an unsecured loan for business expenses.
Is the loan term the same as amortization?No. A loan may calculate payments over 25 years but mature sooner. Review the balloon balance at maturity, prepayment penalties and personal liability before choosing.