Commercial Mortgages 101: Everything You Need to Know to Create a Winning Loan Request Package Paperback - 2010

Whether you're a residential mortgage broker looking to break into the commercial mortgage brokerage business or a beginner real estate investor looking to transition from small residential properties to large commercial investment properties, learning how to think and speak like a commercial real estate lender will put you on an even playing field with the professionals. Commercial Mortgages 101 takes you step-by-step through the entire process of applying for a commercial real estate loan and putting together a professional loan request package. Clarifying common industry terms such as "debt-service-coverage-ratio" and "balloon payment," and including a sample Real Estate Owned (REO) Schedule, this easy-to-follow beginner's guide touches on all key aspects of what can all too often be a mystifying and confusing process. You'll learn how to:

- Correctly apply and use a variety of commercial mortgage terms and phrases.

- Read and interpret a lender's preliminary loan proposal.

- Quickly size and underwrite a basic commercial real estate loan.

- Prepare a persuasive and professional looking loan request package.

- Identify the different types of non-income and income-producing commercial properties.

- Prepare a personal cash flow statement and calculate your true net worth and liquidity.

- Create and use the all-important Real Estate Owned (REO) Schedule.

- Choose the right form of ownership, (including LP, LLC, co-tenancy and others).

There's never been a more opportune time to get involved in commercial real estate. Commercial Mortgages 101 gives you all the tools and information you need to put your best foot forward, secure the most favorable terms, and navigate the process like a pro.

Michael Reinhard is an independent commercial mortgage banker for Texas Commercial Mortgage, which specializes in commercial real estate lending across the country. He has originated and underwritten over $300 million in commercial real estate loans since 1995 covering apartment buildings, retail centers, office buildings, industrial warehouses, and more.