{"id":32683,"date":"2023-02-22T10:40:34","date_gmt":"2023-02-22T10:40:34","guid":{"rendered":"https:\/\/swoopfunding.com\/za\/?page_id=32683"},"modified":"2024-11-18T09:08:45","modified_gmt":"2024-11-18T09:08:45","slug":"what-is-a-commercial-mortgage","status":"publish","type":"page","link":"https:\/\/swoopfunding.com\/za\/commercial-mortgages\/what-is-a-commercial-mortgage\/","title":{"rendered":"What is a commercial mortgage?"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-page\" data-elementor-id=\"32683\" class=\"elementor elementor-32683\" data-elementor-post-type=\"page\">\n\t\t\t\t<div class=\"elementor-element elementor-element-728a682 e-flex e-con-boxed e-con e-parent\" data-id=\"728a682\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t<div class=\"elementor-element elementor-element-76aabd5 e-con-full e-flex e-con e-child\" data-id=\"76aabd5\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-6f1554d elementor-widget elementor-widget-heading\" data-id=\"6f1554d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h1 class=\"elementor-heading-title elementor-size-default\">What is a commercial mortgage?<\/h1>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-cbcff3a elementor-widget elementor-widget-text-editor\" data-id=\"cbcff3a\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p class=\"p1\">Commercial mortgages, or business mortgages, are usually used by business owners who want to buy property or land for commercial use.\u00a0<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0b0a155 elementor-widget elementor-widget-text-editor\" data-id=\"0b0a155\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p class=\"p1\">Similar to residential mortgages, the money is borrowed from a bank or specialist lender and then repaid in monthly instalments over a set term, with interest added on top. The main difference is that with a\u00a0<a href=\"https:\/\/swoopfunding.com\/za\/commercial-mortgages\/\">commercial mortgage<\/a>, the value of the land or property is usually much larger.\u00a0<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-f90ad47 e-flex e-con-boxed e-con e-child\" data-id=\"f90ad47\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-b52c148 elementor-mobile-align-justify elementor-widget__width-auto elementor-widget-mobile__width-inherit elementor-widget elementor-widget-button\" data-id=\"b52c148\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"button.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-button-wrapper\">\n\t\t\t\t\t<a class=\"elementor-button elementor-button-link elementor-size-md\" href=\"https:\/\/southafrica.swoopfunding.com\/stage\" target=\"_blank\">\n\t\t\t\t\t\t<span class=\"elementor-button-content-wrapper\">\n\t\t\t\t\t\t\t\t\t<span class=\"elementor-button-text\">Start your journey<\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-209caad elementor-position-inline-start elementor-widget__width-auto elementor-view-default elementor-mobile-position-block-start elementor-widget elementor-widget-icon-box\" data-id=\"209caad\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"icon-box.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-icon-box-wrapper\">\n\n\t\t\t\t\t\t<div class=\"elementor-icon-box-icon\">\n\t\t\t\t<a href=\"tel:0203%20868%200364\" class=\"elementor-icon\" tabindex=\"-1\" aria-label=\"0203 868 0364\">\n\t\t\t\t<svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"19\" height=\"19\" viewBox=\"0 0 19 19\" fill=\"none\"><path d=\"M18.9999 8.30393C18.9992 8.15069 18.9683 7.99923 18.9088 7.85801H18.9076C17.4213 4.35793 14.6319 1.57327 11.1294 0.0927373C10.8439 -0.0280659 10.5221 -0.0309641 10.2344 0.08473C9.94652 0.200423 9.71639 0.425322 9.59407 0.71027C9.53401 0.851092 9.50239 1.00254 9.50102 1.15552C9.49977 1.30863 9.52863 1.4605 9.58606 1.60244C9.64363 1.74436 9.72853 1.87345 9.83608 1.98252C9.94363 2.09145 10.0716 2.17815 10.2127 2.23752C13.1557 3.48117 15.5 5.82026 16.7501 8.76047C16.8715 9.0457 17.101 9.27128 17.3882 9.38795C17.6755 9.50448 17.9971 9.50268 18.2831 9.38284C18.4246 9.32403 18.553 9.23802 18.661 9.1295C18.7691 9.02099 18.8547 8.89218 18.9129 8.75052C18.9711 8.60873 19.0007 8.457 19 8.30389L18.9999 8.30393Z\" fill=\"#2E9C8E\"><\/path><path d=\"M14.2599 8.32814C14.259 8.1749 14.2276 8.02331 14.1677 7.88207V7.88332C13.6001 6.55282 12.5371 5.49532 11.2037 4.93464C10.9181 4.8137 10.5963 4.8108 10.3086 4.92663C10.0209 5.04232 9.7906 5.26722 9.66828 5.55217C9.6085 5.69313 9.5773 5.84458 9.5762 5.99767C9.57523 6.15078 9.6045 6.30264 9.66234 6.44444C9.72019 6.58623 9.80537 6.71518 9.9132 6.82396C10.021 6.93274 10.1493 7.01903 10.2905 7.07812C11.0638 7.40353 11.6803 8.0168 12.01 8.78813C12.1318 9.0735 12.3615 9.29895 12.6489 9.41533C12.9365 9.53172 13.2585 9.52951 13.5442 9.40926C13.6859 9.3503 13.8143 9.26402 13.9224 9.15523C14.0303 9.04644 14.1158 8.91735 14.1738 8.77543C14.2318 8.63351 14.261 8.4815 14.2599 8.32813L14.2599 8.32814Z\" fill=\"#2E9C8E\"><\/path><path d=\"M13.3441 18.9317C10.2364 18.5231 7.40048 16.5876 4.90669 14.0935C2.41293 11.5985 0.477169 8.76377 0.0686053 5.65604C-0.339923 2.54831 1.18247 1.11974 1.82734 0.625642C2.48793 0.120905 3.07441 0.0584893 3.44689 0.0188695C3.46621 0.0167986 3.48485 0.0148658 3.50294 0.0127947C3.99816 -0.0417399 4.36262 0.0532451 4.77114 0.789533L6.49192 3.69058C6.81608 4.23688 6.71405 4.93628 6.24617 5.3662L4.67865 6.81265C4.65186 6.84551 4.62549 6.87561 4.60023 6.90447C4.4601 7.06448 4.35283 7.18694 4.40308 7.53704C4.49807 8.20443 6.29711 10.494 7.40157 11.5983C8.50589 12.7028 10.7954 14.5018 11.4628 14.5968C11.8135 14.6463 11.9358 14.5393 12.0961 14.399C12.1248 14.374 12.1546 14.3479 12.1872 14.3214L13.6336 12.7526C13.8425 12.5259 14.1229 12.3778 14.4279 12.3331C14.733 12.2883 15.0441 12.3496 15.3093 12.5069L18.2104 14.2288C18.9467 14.6373 19.0417 15.0019 18.987 15.4971C18.9851 15.5154 18.983 15.5341 18.981 15.5536C18.9413 15.9253 18.8787 16.5126 18.3743 17.1739C17.8802 17.8175 16.4517 19.3399 13.344 18.9314L13.3441 18.9317Z\" fill=\"#2E9C8E\"><\/path><\/svg>\t\t\t\t<\/a>\n\t\t\t<\/div>\n\t\t\t\n\t\t\t\t\t\t<div class=\"elementor-icon-box-content\">\n\n\t\t\t\t\t\t\t\t\t<h3 class=\"elementor-icon-box-title\">\n\t\t\t\t\t\t<a href=\"tel:0203%20868%200364\" >\n\t\t\t\t\t\t\t0203 868 0364\t\t\t\t\t\t<\/a>\n\t\t\t\t\t<\/h3>\n\t\t\t\t\n\t\t\t\t\n\t\t\t<\/div>\n\t\t\t\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-d6f3208 elementor-widget elementor-widget-text-editor\" data-id=\"d6f3208\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Swoop is a credit broker and does not provide capital. We work with a range of companies to offer clear comparisons that allow customers to make choices on financial products &amp; services. Swoop may receive a commission, which may vary by product but typically in the form of a fixed percentage of the loan amount. For certain lenders, we do have influence over the interest rate, and this can impact the amount you pay under the agreement.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-eb88da3 e-con-full elementor-hidden-mobile elementor-hidden-tablet e-flex e-con e-child\" data-id=\"eb88da3\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-7b164e8 elementor-widget elementor-widget-image\" data-id=\"7b164e8\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" loading=\"lazy\" width=\"459\" height=\"601\" src=\"https:\/\/swoopfunding.com\/za\/wp-content\/uploads\/sites\/7\/2024\/08\/mortgage.png\" class=\"attachment-large size-large wp-image-42477\" alt=\"\" srcset=\"https:\/\/swoopfunding.com\/za\/wp-content\/uploads\/sites\/7\/2024\/08\/mortgage.png 459w, https:\/\/swoopfunding.com\/za\/wp-content\/uploads\/sites\/7\/2024\/08\/mortgage-229x300.png 229w, https:\/\/swoopfunding.com\/za\/wp-content\/uploads\/sites\/7\/2024\/08\/mortgage-15x20.png 15w, https:\/\/swoopfunding.com\/za\/wp-content\/uploads\/sites\/7\/2024\/08\/mortgage-61x80.png 61w\" sizes=\"auto, (max-width: 459px) 100vw, 459px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-93b06fb e-flex e-con-boxed e-con e-parent\" data-id=\"93b06fb\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-ba4bd03 elementor-widget elementor-widget-text-editor\" data-id=\"ba4bd03\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Commercial mortgages are often used by business owners who want to buy bigger premises so that they can expand. They might choose to buy their own premises to avoid rising rents or higher maintenance fees.\u00a0<\/p><p>However, commercial mortgages are also used by investors who want to buy property to lease to other businesses. A residential property owner might also choose to use a commercial mortgage to buy several properties to rent to tenants.<\/p><div class=\"wp-block-kadence-spacer aligncenter kt-block-spacer-32683_b19484-8e\">\u00a0<\/div>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-6f3ff21 e-flex e-con-boxed e-con e-parent\" data-id=\"6f3ff21\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-0b5af17 question elementor-widget elementor-widget-heading\" data-id=\"0b5af17\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">How can I get a commercial mortgage?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7efa703 answer elementor-widget elementor-widget-text-editor\" data-id=\"7efa703\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>One of the best ways to get a commercial mortgage is to speak to a mortgage broker who will be able to help you find the right deal. You can also apply directly to the lender, but commercial mortgages aren\u2019t as easy as residential mortgages to research yourself online.\u00a0<\/p><p>When you apply for a commercial mortgage, similar checks to those for a residential mortgage will be carried out by the lender. For example, the lender will check your affordability, financial health and your business credit record.\u00a0\u00a0<\/p><p>As part of your application, you might need to provide the following documents and information:<\/p><ul class=\"wp-block-list\"><li>Two to three months of business bank account statements<\/li><li>Assets and liabilities statements<\/li><li>Proof of identity and address<\/li><li>Lease and\/or tenancy agreements<\/li><li>Performance figures, both current and projected<\/li><li>Three full years of audited certified financial accounts\u00a0<\/li><li>Details of your partners and directors\u00a0<\/li><\/ul><p>To apply, you will usually need to fill out an online form and submit the appropriate information about your business. You will also need to arrange a property valuation on the premises you are looking to buy. Once the lender has carried out the necessary legal checks and gone through the paperwork, you should then receive a formal mortgage offer (if you\u2019re approved).<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c45b236 question elementor-widget elementor-widget-heading\" data-id=\"c45b236\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">What are commercial mortgage terms?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-bc147e0 answer elementor-widget elementor-widget-text-editor\" data-id=\"bc147e0\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Commercial mortgage terms vary. You might be able to have a commercial mortgage for as little as three years, but terms also stretch up to 25 years.\u00a0<\/p><p>The term of your deal will often depend on the size and value of the property, or the size of your deposit.\u00a0<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-80181ff question elementor-widget elementor-widget-heading\" data-id=\"80181ff\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">How much is a deposit for a commercial mortgage?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-071c847 answer elementor-widget elementor-widget-text-editor\" data-id=\"071c847\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Deposit requirements for commercial mortgages are usually much higher than they are for residential mortgages which might only ask for 5% of the property\u2019s value. Commercial mortgage deposit requirements are usually between 20% and 40%.\u00a0<\/p><p>The type of business you have can also affect how much deposit you need. If a lender views your business as higher risk, if it\u2019s a\u00a0<a href=\"https:\/\/swoopfunding.com\/za\/sectors\/restaurant-loans\/\">restaurant<\/a>\u00a0for example, you might be asked for a higher deposit.\u00a0<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-fbdc8cf question elementor-widget elementor-widget-heading\" data-id=\"fbdc8cf\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">What is a part-commercial mortgage?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-d8f33c4 answer elementor-widget elementor-widget-text-editor\" data-id=\"d8f33c4\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>A part-commercial mortgage is a mortgage for a property that is half business and half residential. This could be a flat above a shop, for instance. Because this type of property won\u2019t usually qualify for a standard residential or commercial mortgage, you\u2019ll need to apply for a completely separate mortgage product.<\/p><p>You\u2019re more likely to get a competitive mortgage rate if you have experience in running commercial properties or you have owned more than one buy-to-let property for more than two years.\u00a0<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-5a2c1cf question elementor-widget elementor-widget-heading\" data-id=\"5a2c1cf\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">What are the benefits of using a commercial mortgage broker?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7a9065f answer elementor-widget elementor-widget-text-editor\" data-id=\"7a9065f\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>A commercial mortgage broker can help you compare the different commercial mortgage deals available so that you can find the ones you\u2019re most likely to qualify for. Mortgage brokers can also advise on how long lenders take to process applications and can help guide you through your application, making sure you provide the correct information.<\/p><p>At Swoop, we can support a business in the following ways:<\/p><ul class=\"wp-block-list\"><li>Property purchases<\/li><li>Purchasing existing trading business \u2013 such a as trading hotel or car home<\/li><li>Business expansion<\/li><li>Property development<\/li><li>Property investments<\/li><li>Business refurbishment<\/li><\/ul><p>We have access to lenders that the general public are not aware of as some South African lenders only deal with intermediaries. This means the only way you can access them is through Swoop.\u00a0<a href=\"https:\/\/southafrica.swoopfunding.com\/get-started?fundingReason=propertyFinance&amp;version=v2\">Register with Swoop<\/a>\u00a0today to get started.\u00a0<\/p><p>Bear in mind that many brokers charge a fee. Those that don\u2019t will typically only use lenders that pay them the highest \u2018introducer fee\u2019 and might not be fully transparent about this. At Swoop, we believe in putting our customers first, as well as full disclosure and transparency. Our standard arrangement fee is 1.5% of the loan amount payable on a success only basis.<\/p><p>However, each deal is individually priced by our experienced Commercial Finance Managers who will take the time to understand your requirements and tailor a solution with bespoke pricing. Contact us today to discuss your requirements.\u00a0\u00a0<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-77d6b36 question elementor-widget elementor-widget-heading\" data-id=\"77d6b36\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">What to consider before applying for a commercial mortgage?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-f135c33 answer elementor-widget elementor-widget-text-editor\" data-id=\"f135c33\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>One of the most important points to consider before applying for a commercial mortgage is whether you can afford to repay it. You\u2019ll need to factor in any existing loan repayments before you agree to a commercial mortgage so that you can work out what will be affordable.\u00a0<\/p><p>Keep in mind that a commercial mortgage is a type of secured loan which means the property is used as collateral against the loan. Failing to keep up with your monthly mortgage repayments could result in the lender repossessing the property and also damage your credit rating.\u00a0\u00a0<\/p><p>If you have a poor business credit rating or a lack of business credit history, lenders might view you as higher risk. For this reason, you might have fewer lenders to choose from and those that are willing to offer you a commercial mortgage might charge higher interest rates. Some lenders might look at your personal credit score instead, and they might require you to sign a personal guarantee. This means that you will be personally responsible for paying off all or part of the loan if your business is unable to.\u00a0<\/p><p>Finally, also remember to factor in fees. Commercial mortgage fees can include the following:<\/p><ul class=\"wp-block-list\"><li><strong>Arrangement fees:<\/strong>\u00a0These are paid to the lender for arranging the loan. Fees can vary between 0.5% to 2.5% of the amount borrowed. If you choose to add the fee to your mortgage, you\u2019ll be paying interest on this amount over the mortgage term.\u00a0<\/li><li><strong>Valuation fees:<\/strong>\u00a0Before your mortgage can be approved, the lender will arrange for a valuer to visit the property and state how much it is worth. Fees can start from around R500 for a straightforward valuation.<\/li><li><strong>Legal costs:\u00a0<\/strong>You will need to pay both your own legal fees and that of the lender. They can start from around R500 each, but will vary depending on the complexity of the work involved. Legal fees might include insurance, site surveys and preparing legal documents.<\/li><li><strong>Broker fees:<\/strong>\u00a0As mentioned, if you\u2019re using a mortgage broker, you\u2019ll also need to factor in their costs.\u00a0<\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-a0e1acc e-flex e-con-boxed e-con e-parent\" data-id=\"a0e1acc\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-605bffe elementor-widget elementor-widget-ucaddon_auto_page_related\" data-id=\"605bffe\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"ucaddon_auto_page_related.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\n\n\t\t\t\n\n\n\n <div class=\"container-auto-page-related\">\n <p class=\"title-related text-center\">Related pages<\/p>\n <div class=\"auto-page-related\">\n <ul>\n <li >\n <a href=\"https:\/\/swoopfunding.com\/za\/commercial-mortgages\/bridging-finance\/\">Bridging finance explained &#8211; what is it? <\/a>\n <\/li>\n <li >\n <a href=\"https:\/\/swoopfunding.com\/za\/commercial-mortgages\/\">Commercial mortgages &amp; property finance <\/a>\n <\/li>\n <li >\n <a href=\"https:\/\/swoopfunding.com\/za\/commercial-mortgages\/development-finance\/\">Development finance <\/a>\n <\/li>\n <li >\n <a href=\"https:\/\/swoopfunding.com\/za\/commercial-mortgages\/how-to-finance-property-development\/\">How to finance property development <\/a>\n <\/li>\n <li >\n <a href=\"https:\/\/swoopfunding.com\/za\/commercial-mortgages\/how-to-get-a-business-mortgage\/\">How to get a business mortgage <\/a>\n <\/li>\n <\/ul>\n <\/div>\n <\/div>\n\n\n\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-d25f1d9 e-con-full e-flex e-con e-parent\" data-id=\"d25f1d9\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-3e0d7b2 elementor-widget elementor-widget-template\" data-id=\"3e0d7b2\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"template.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-template\">\n\t\t\t\t\t<div data-elementor-type=\"section\" data-elementor-id=\"11997\" class=\"elementor elementor-11997\" data-elementor-post-type=\"elementor_library\">\n\t\t\t<div class=\"elementor-element elementor-element-db4fd27 e-con-full e-flex e-con e-parent\" data-id=\"db4fd27\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t<div class=\"elementor-element elementor-element-5de8fca e-flex e-con-boxed e-con e-child\" data-id=\"5de8fca\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t<div class=\"elementor-element elementor-element-df32f97 e-con-full e-flex e-con e-child\" data-id=\"df32f97\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-982ddef elementor-widget elementor-widget-heading\" data-id=\"982ddef\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-heading-title elementor-size-default\">Ready to grow your business?<\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7886947 elementor-align-center elementor-widget elementor-widget-button\" data-id=\"7886947\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"button.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-button-wrapper\">\n\t\t\t\t\t<a class=\"elementor-button elementor-button-link elementor-size-md\" href=\"https:\/\/southafrica.swoopfunding.com\/stage\" target=\"_blank\">\n\t\t\t\t\t\t<span class=\"elementor-button-content-wrapper\">\n\t\t\t\t\t\t\t\t\t<span class=\"elementor-button-text\">Get started<\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-efe67bd elementor-widget elementor-widget-html\" data-id=\"efe67bd\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"html.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\n\n<script type=\"text\/javascript\" src=\"\/\/widget.trustpilot.com\/bootstrap\/v5\/tp.widget.bootstrap.min.js\" async><\/script>\n\n\n\n\n<div class=\"trustpilot-widget\" data-locale=\"en-US\" data-template-id=\"53aa8807dec7e10d38f59f32\" data-businessunit-id=\"5b437d760db9da00019935a0\" data-style-height=\"95px\" data-style-width=\"160px\" data-theme=\"dark\" data-token=\"75678bf0-071e-4356-8a6b-93beb5a68f32\">\n <a href=\"https:\/\/www.trustpilot.com\/review\/swoopfunding.com\" target=\"_blank\" rel=\"noopener\">Trustpilot<\/a>\n<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>What is a commercial mortgage? Commercial mortgages, or business mortgages, are usually used by business owners who want to buy property or land for commercial use.\u00a0 Similar to residential mortgages, the money is borrowed from a bank or specialist lender and then repaid in monthly instalments over a set term, with interest added on top. [&hellip;]<\/p>\n","protected":false},"author":52,"featured_media":0,"parent":16759,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"elementor_header_footer","meta":{"_acf_changed":false,"footnotes":""},"class_list":["post-32683","page","type-page","status-publish","hentry"],"acf":[],"featured_image_urls_v2":{"full":"","thumbnail":"","medium":"","medium_large":"","large":"","1536x1536":"","2048x2048":"","image_blog":"","image_blog_full":"","image_podcast":"","image_banking":"","image_blog_internal":"","image_blog_medium":"","image_single_banking":""},"post_excerpt_stackable_v2":"<p>What is a commercial mortgage? Commercial mortgages, or business mortgages, are usually used by business owners who want to buy property or land for commercial use.\u00a0 Similar to residential mortgages, the money is borrowed from a bank or specialist lender and then repaid in monthly instalments over a set term, with interest added on top. The main difference is that with a\u00a0commercial mortgage, the value of the land or property is usually much larger.\u00a0 Start your journey 0203 868 0364 Swoop is a credit broker and does not provide capital. We work with a range of companies to offer clear&hellip;<\/p>\n","category_list_v2":"","author_info_v2":{"name":"edwardz","url":"https:\/\/swoopfunding.com\/za\/author\/edwardz\/"},"comments_num_v2":"0 comments","_links":{"self":[{"href":"https:\/\/swoopfunding.com\/za\/wp-json\/wp\/v2\/pages\/32683","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/swoopfunding.com\/za\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/swoopfunding.com\/za\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/swoopfunding.com\/za\/wp-json\/wp\/v2\/users\/52"}],"replies":[{"embeddable":true,"href":"https:\/\/swoopfunding.com\/za\/wp-json\/wp\/v2\/comments?post=32683"}],"version-history":[{"count":5,"href":"https:\/\/swoopfunding.com\/za\/wp-json\/wp\/v2\/pages\/32683\/revisions"}],"predecessor-version":[{"id":42923,"href":"https:\/\/swoopfunding.com\/za\/wp-json\/wp\/v2\/pages\/32683\/revisions\/42923"}],"up":[{"embeddable":true,"href":"https:\/\/swoopfunding.com\/za\/wp-json\/wp\/v2\/pages\/16759"}],"wp:attachment":[{"href":"https:\/\/swoopfunding.com\/za\/wp-json\/wp\/v2\/media?parent=32683"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}