What type of Mortgage?

Buck2919

Hi, I am looking to purchase a row of 3-story properties - The property consists of 4 ground floor commercial units and 2 residential units about. The floor coverage is 33% Commercial and 67% Residential

We live in one of the residential Units and will be renting the other flat to my mother in law upon completion. 3 of the 4 ground floor commercial units are currently tenanted with the 4th commercial unit will be used by my wife's business.

What type of mortgage would this require?


Thanks

ACG

Commercial finance by the looks of it.

Buck2919

ACG wrote: »

Commercial finance by the looks of it.

Is it the fact my wife's business will occupy one of the units which makes it
commercial finance as oppose to a semi commercial mortgage?

ACG

It is more the fact that you are going to struggle to find a residential lender to lend against a property with a commercial element.

You could buy them on a bridging loan and split the titles so that the residential properties are on their own title/lease, remortgage one of those on a residential mortgage (the one you are living in) and another on a regulated buy to let (the property the mother in law is in) and the remainder on commercial terms.

Im not sure if it will be cheaper or not to do it that way once you factor in the legal costs etc.

You need to really sit down with a commercial mortgage broker rather than a "normal" mortgage broker. If this hit my desk, I could probably do it but I do not for one minute think I would be the best man for the job, you need someone specialised in that field really.

Buck2919

Thank you so much, really appreciate you taking the time to come back to me.