Costello Commercial
Estate Planning Made Easy
Over 40 Years of services
COST APPROACH
This is the simplest and most readily-available way to estimate a commercial property’s value . The estimation is a bit rough because you only need to add together the land and construction costs to get an approximate valuation.
INCOME CAPITALISATION APPROACH
Another way to value a property is by looking at its potential income.
This begins by looking at the capitalisation or ‘cap’ rate of the commercial property. This is the net annual rental income divided by your estimate of the current value of the commercial property. You can get this value by looking at sales of similar properties in the area.
SALES COMPARISON APPROACH
This approach relies on the value of other similar properties going in the local area. It is possible to match your property to one with a similar square footage and facilities nearby. This will give you an estimation on how much your property could possibly sell for. It’s not the most accurate value, but it is a quick way to come up with a valuation figure.
COMMERCIAL BRIDGING LOAN
How much money needed? What is the purpose?
Be it in a bank or with a commercial mortgage lender, expect this as the first question when you apply for a loan. The loan amount you request to plays a key role.
Commercial mortgage lenders, especially the private ones, very well know that most cases of borrowers who reach out to them are the ones who were rejected by banks. It’s important they build the right relationship with the borrower and answer for this question will set them up for the rest.
Next important point to consider is the purpose of the loan. For a business, it could be for different reasons like invest in the property improvements, purchases equipment for the business, or to pay off existing debt, and so on. It’s important for the lender to know where the money will be spent by the borrower.
Experience You Can Trust
What is the property?
Lenders first try to understand the property, its use and how the borrower will use the property. They also inquire about the value of the property, when the borrower purchased it, what amount they paid, the current worth of the property, and the present condition.
Most lenders prefer the property to be in suburbs or across metropolitan areas. They will perform an assessment with the help of reputed organizations to know the actual property value.
Tip: Be sure to provide the right information to the lender for a hassle-free process. If you have existing mortgages on the property, make sure you let the lender know about it and provide details to support the claim.
The more you pay, you will need a lesser loan from the lender, and you can maintain a lesser LTV ratio. This becomes easy and less risky for the lender.
Tip: Have a higher limit of what you can repay the lender every month. This will help you to put in the right upfront down payment and maintain a lower LTV ratio.
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Welcome to Costello Commercial, where expertise meets excellence!
Introducing :
John Costello – The Mastermind
With over 35 years of invaluable experience, John Oliver Costello is a distinguished Chartered Surveyor. Boasting prestigious qualifications, including a Masters in Philosophy Urban Regional Planning, a Bachelor of Science in Surveying, a Diploma in Environmental Economics, and a Diploma in Arbitration Law, John’s expertise knows no bounds. As a revered Fellow of the Society of Chartered Surveyors and the Royal Institution on Chartered Surveyors, he leads with unwavering professionalism. John has also served as the esteemed Past Chairman of the General Practice Division and as a Past President of the Society, embodying unparalleled leadership and dedication.
Join us at Costello Commercial, where we combine vast experience, unparalleled expertise, and innovative thinking to deliver exceptional services in the commercial property realm. Connect with us today, and let’s turn your real estate aspirations into a breathtaking reality!
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Sunday – 08:00 am to 11:30 am
Holidays – 08:00 am to 3:00 pm
Contact Info
Address:
Hamilton House
28 Fitzwilliam Place
Dublin 2 Ireland
Phone:
Port :+353 87 256 5490