Who do you turn to when your bank says no?
If you are reading this blog right now, then it is very likely that you’ve been declined by the lender you have approached, or your search for a suitable commercial mortgage wasn’t successful.
Finding a commercial mortgage to realise your dream of buying your own Guest House or Bed and Breakfast can be a complex and time-consuming process and your chances of being successful with your own loan application are marginal to say the least, especially when hotels, guest houses and bed & breakfasts have all but been closed for the last 12 months.
So, the question is, how can how confident can I be that once I’ve made an offer to purchase a Guest House or Bed & Breakfast, that I can secure a commercial mortgage on the most competitive terms in the short time possible, and convincing the sales agent and ultimately the vendor that I’m a credible purchaser.
The first step would be to engage with a firm of specialist brokers such as Stewart Hindley & Partners who specialise in guest house and bed & breakfast finance who’ll provide you with a lenders in-principle decision within 48 hours.
Assuming a positive result, this will then give you the confidence to make an offer via the sales agent that should be made subject to valuation and finance which is the norm when purchasing a guest house or bed & breakfast.
Once your offer has been accepted, Stewart Hindley will then review the trading accounts and present a full business plan and undertake all the lenders due diligence to facilitate a formal loan application to ensure a satisfactory and timely outcome, whilst providing regular up-dates to the sales agent, who in-turn will be able to fully support your offer to the vendor, on the basis of Stewart Hindley’s track record of providing guest house and bed & breakfast finance solutions.
In summary, when searching for a commercial loan for a guest house or bed & breakfast don’t be tempted by headline rate and loan to values as these are often seen as attention grabbers when in reality it is never about borrowing the money it’s all about managing the lenders’ risk and trading expectations.
For further information on how we at Stewart Hindley can help you with your guest house and bed & breakfast financing go to our web site www.stewarthindley.co.uk and review our case studies.
Remember, we can provide you with a lenders’ in-principle decision within 48 hours so you can proceed with confidence in a particularly challenging market.