• Login:
Welcome, Register Here
follow PropertyTalk on facebook follow PropertyTalk on twitter Newsletter follow PropertyTalk on LinkedIn follow PropertyTalk on facebook
Page 1 of 2 1 2 LastLast
Results 1 to 10 of 17
  1. #1
    Join Date
    Mar 2007
    Posts
    122

    Default Commercial Interest Rates

    Hi - can someone give an idea about fixed and floating commercial loan interest rates?

    We have had variable rate mortgage for some time and interest has been about 5.3 - 5.6 %.

    Cheers.

  2. #2
    Join Date
    Mar 2015
    Location
    Brisbane Wellington Auckland
    Posts
    819

    Default

    Quote Originally Posted by King13 View Post
    Hi - can someone give an idea about fixed and floating commercial loan interest rates?

    We have had variable rate mortgage for some time and interest has been about 5.3 - 5.6 %.

    Cheers.
    Best i have heard of is floating 3.7% with HSBC but you do need to your have your residential with them
    My commercial is a lot higher at 4.2pc floating BNZ. Westpac was priced at 4.1pc . ASB also 4.1pc
    Just some quick question
    1: Loan under or over $25m
    2: Portfolio under or over $50m
    3: LVR under or over 50pc
    4: WALT under or over 5yrs
    5: P & I under or over 12yrs
    6: Interest cover by Net Rental under or over 2.5 cover

  3. #3
    Join Date
    Mar 2007
    Posts
    122

    Default

    Quote Originally Posted by Beano View Post
    Best i have heard of is floating 3.7% with HSBC but you do need to your have your residential with them
    My commercial is a lot higher at 4.2pc floating BNZ. Westpac was priced at 4.1pc . ASB also 4.1pc
    Just some quick question
    1: Loan under or over $25m
    2: Portfolio under or over $50m
    3: LVR under or over 50pc
    4: WALT under or over 5yrs
    5: P & I under or over 12yrs
    6: Interest cover by Net Rental under or over 2.5 cover

    Thanks Beano

    - Loans about $3m (so long way from $25m)
    - Portfolio of $5-6m
    - LVR about 64%
    - WALT over 5 years
    - P&I about 12 years
    - Interest cover by net rents about 2.5

    Wondering if banks offer fixed term for commercial loans.

    Where are you based? Would like to meet some time and get advice.

  4. #4
    Join Date
    Apr 2009
    Posts
    994

    Default

    Yes banks offer fixed term for commercial loans, just as they do residential.
    Your bank lending manager will give you your options, and you should also ask a commercial lending broker such as Strata Funding.
    Last edited by DaveW; 18-05-2019 at 11:53 AM.

  5. #5
    Join Date
    Mar 2007
    Posts
    122

    Default

    Thanks, DaveW.

    Will ask the manager to see what they offer. Cheers.

  6. #6
    Join Date
    Sep 2007
    Location
    Auckland
    Posts
    8,333

    Default

    Quote Originally Posted by DaveW View Post
    Yes banks offer fixed term for commercial loans, just as they do residential.
    Your bank lending manager will give you your options, and you should also ask a commercial lending broker such as Strata Funding.
    What sort of interest rates do Strata Funding charge DaveW?

    Just for normal commercial property investment I mean.
    Squadly dinky do!

  7. #7
    Join Date
    Apr 2009
    Posts
    994

    Default

    They are broker Davo. They will source funding at prevailing rates.

  8. #8
    Join Date
    Apr 2009
    Posts
    994

    Default

    Additionally they source second tier lending. Keep them on file for when the market tanks and the lowering of interest rates cannot continue to prop up the property market then it's brokers like these that are a useful source of funds.

  9. #9
    Join Date
    May 2007
    Location
    Hamilton
    Posts
    3,616

    Default

    Hi King13,

    Why do you have $3 million on floating?

    Whether commercial or residential, you can normally save around 1% by fixing.

    Some then say, "but I think interest rates might go down and I want to be ready to act". If so fix for 6 months. But in generally these people are still floating 1 year later and have just paid an extra 1% than they should.

    Ross
    More Profit from Property? TEACH ME MORE
    Ross Barnett - Coombe Smith Property Accountants
    Proud to give the best property advice for over 13 years.

  10. #10
    Join Date
    Mar 2007
    Posts
    122

    Default

    Thanks, Rosco.

    We've just continued with this over time as it allows adjustment with cashflow. But with the lower interest rates, it may be time to fix.


 

Thread Information

Users Browsing this Thread

There are currently 1 users browsing this thread. (0 members and 1 guests)

Similar Threads

  1. Replies: 0
    Last Post: 05-10-2017, 03:02 PM
  2. Commercial Interest Rates
    By King13 in forum Commercial Property (NZ)
    Replies: 4
    Last Post: 06-04-2015, 12:15 AM
  3. Commercial Questions of interest
    By Orkibi in forum Commercial Property (NZ)
    Replies: 19
    Last Post: 27-06-2014, 11:12 AM
  4. Interest Rates
    By hasheem kamal in forum Property Investment (NZ)
    Replies: 11
    Last Post: 25-01-2014, 12:12 PM
  5. Commercial Interest Rates
    By King13 in forum Commercial Property (NZ)
    Replies: 10
    Last Post: 31-07-2012, 10:01 PM
  6. Replies: 2
    Last Post: 04-05-2009, 08:46 PM
  7. 1% Interest Rates
    By Don and Liz in forum Property Investment (NZ)
    Replies: 5
    Last Post: 26-03-2008, 11:14 AM
  8. Interest rates: up or down
    By casacamo in forum Finance, legal and tax (NZ)
    Replies: 11
    Last Post: 21-05-2007, 12:17 AM
  9. interest rates
    By Belinda in forum Finance, legal and tax (NZ)
    Replies: 7
    Last Post: 31-01-2007, 09:43 PM
  10. American Mortgage Rate feeds
    By sarahk in forum Property Investment (USA)
    Replies: 0
    Last Post: 26-06-2005, 08:28 PM

Tags for this Thread

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •