Commercial Modification » commercial loan modification

Keep Up Your Relationship With The Bank

CLR Staff — Fri, 04 Mar 2011 18:57:52 +0000

Utilizing our years of experience, we present the a series of tips for the commercial property owner in default.

Many inexperienced people recommend holding off making payments in order to show the bank you are having difficulties. If making payments is not too much of a hardship, it is a good idea to maintain your account in good standing. This is certainly a sign of good faith in the face of a hardship. And keeping your credit score at high levels will be important if new funding is necessary. In most cases, it isn’t true that the bank will not consider a negotiation if you are not past due. If the bank refuses payment, do not use your funds for other reasons. It may be necessary to show good faith payment during the negotiation process.

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Keep All Your Options Open

CLR Staff — Wed, 02 Mar 2011 19:00:27 +0000

Presented by the Commercial Loan Workout specialists at CLR — tips for the commercial property owner facing financial hardships.

If your primary objective is to keep your property, then don’t rule out possible terms that the bank is willing to accept. If their best offer still doesn’t make sense, then, of course, accepting those terms wouldn’t make sense. But if your ultimate goal involves a principal reduction and the bank cannot or will not accept that, then you should consider alternative solutions to improving your cash flow.

Technorati Tags: commercial loan audit, commercial loan modification, commercial loan review, commercial loan review checklist

The Commercial Financial Crisis

CLR Staff — Fri, 25 Feb 2011 19:05:01 +0000

In the above video from CNN, a Congressional panel looks at the state of the commercial real estate market in the wake of the financial crisis. President Obama’s plan makes residential properties affordable but completely leaves out the commercial property owner. Commercial Modification companies like Commercial Loan Review (CLR) take up the mantle on behalf of the commercial property owner by working with banks to stave off foreclosure and help with clash flow problems. Banks are willing to talk to residential property owners in order to comply with TARP (Troubled Asset Relief Program) but not to small and medium business owners with commercial properties. That’s why they need a third party like the experts at CLR working on your behalf to workout your discount note with the banks.

Technorati Tags: commercial loan modification, commercial loan review, commercial loan workout, commercial loss mitigation, TARP, Troubled Asset Relief Program

With The Right Loan Modification Foreclosure Doesn’t Have To Happen

CLR Staff — Wed, 26 Jan 2011 14:32:41 +0000

It is not easy for any business right now to be able to get by if they have any troubles coming their way due to financial problems. What is definitely going to need to happen is a very smart approach that is going to make sure the company is safe. When you can look into getting the best kind of loan modification foreclosure does not even need to happen. People who are trying to get a better deal for their company and keep the property are going to like hearing this, but you do have other options if your company is not interested in hanging on to the real estate. You can go the route of trying for a short payoff which a lot of lenders may agree to. The thing you need is good quality advice on your side if you want to make things work out as well as they can.

Anyone that is serious about getting the best for their company needs to have this kind of advice working for them. No matter what you are up against with a lender your company owes, the problems can be solved. If you choose to go with commercial refinance then you can normally get more affordable payments since companies would prefer to keep cash coming in than to have to pay all of the fees to sell a property. Those can add up quickly and are not cost effective for the company to have to deal with so that’s why this will work.

Technorati Tags: commercial loan modification, commercial refinance, loan modification foreclosure, short payoff

With Short Sales Commercial Lenders Can Be Easier To Work With

CLR Staff — Mon, 24 Jan 2011 16:39:30 +0000

Life can be so much simpler when we understand how to handle things. If you are looking to get your company out of any kind of trouble with loans then you definitely need to know the full range of your options so that you can choose one that will work out the best. When you consider that if you go with short sales commercial lenders are likely to agree, you can avoid foreclosure and they are going to be happy at this. What you need to keep in mind, however is that you really do need professionals on your side to make sure you get the best deal you can. The thing about a short sale is that the lender is going to work things in their favor and that could leave your company holding the bag. You really do want to make sure you invest wisely if you are going to get through things.

Plenty of us already know that we have options in these situations, but the expert advice available to you now is going to be a very big help. You do not have to worry about problems when you can find solutions that will work out for you. If you want to get the right kind of commercial loan modifications then you need to understand that this is easier to do than you might think. It is not all that tough if you want to be able to find a great value for the kind of money that you want. It is certainly a very smart idea that can help you out.

Technorati Tags: commercial loan modification, commercial loan modifications, short sale, short sales commercial

A Short Payoff Could Be An Easy Solution

CLR Staff — Sun, 16 Jan 2011 16:46:09 +0000

People around the world are still reeling from the recent economic crisis and if you have a company then you understand that it can be tough to deal with things these days, even if they are supposed to be getting better. We all want to have the best on our side and that often means we have to do what we can to get serious help to assist us. When you consider the fact that you could get out of a situation more easily if you had professional advice on the short payoff advantage that helps both lenders and borrowers work out a better deal, you can see why this might be something worth looking into. We all want to be able to get the best, but unless we do what it takes to get that, life can be pretty difficult to handle. Any of us can benefit when we do things the right way. The key is to make sure that we have got the right help.

In today’s world, lenders are going to act in their best interest so borrowers need solid help. A skilled commercial loan review is going to go a very long way towards making things easier to deal with. Many borrowers end up learning that they can gain a lot from the right kind of timely and well thought out commercial loan modification that can help them. If you think this is the way to go, then you will certainly be glad you chose it.

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A Few Things About Commercial Loan Workout Procedures

CLR Staff — Sat, 31 Jul 2010 14:24:27 +0000

Technically speaking, what we’re talking about when we talk about a commercial loan workout is likely to be a modification to prevent foreclosure. And when it comes to modification, practically any loan can actually be modified. What is required is that both parties agree to come to the table to talk and discuss points of the contract that was previously signed and agreed to. Actually, this sounds a lot easier and more straightforward than it actually is. In reality, especially if you’re working with a big box bank, such as any one of those that you see on TV, you’ll find that even getting to the table to discuss this sort of thing can prove to be very problematic, very difficult, and very sort of ambiguous about what the clear path is to get to this point.

And in fact, that might be the hardest thing; harder than the commercial loan review, harder than the internal commercial loan modification proceedings about whether or not to approve certain modifications; harder than all of those things might be actually convincing somebody or some people at the bank to hear you out, hear you and your concerns out. Now, at the very tip of the real estate and financial world, these things are ironed out in very procedural ways. There’s an established legal protocol for this sort of thing. And while hiring an attorney to send to your local bank’s branch and office might not be the best use of your scarce resources at present, there are a few things to draw from this.

Technorati Tags: avoid foreclosure, commercial loan modification, commercial loan review, commercial loan workout

Commercial Loss Mitigation Solution

CLR Staff — Wed, 28 Jul 2010 19:43:41 +0000

The dangers of foreclosures always loom above commercial and residential properties in the United States. In December of 2009, over 3.9 million notices were served on over 2.8 million properties. The tops ten states contributing to these figures with high foreclosure rates were California with 4.75%, Utah with 2.93%, Idaho, 2.72%, Georgia, 2.68%, Michigan, 2.61%, Illinois, 2.50%, and Colorado with 2.37%. During this times of weak economic performance, it is never easy to address a problem of this magnitude. For this very reason, financial institutions and the government are offering viable solutions to keep these commercial properties afloat. One strategy that is also commonly advised to commercial property owners is to go to their lender and negotiate a restructuring of the remaining loan amount. This is one commercial loss mitigation option which can greatly reduce the original mortgage payments but which could mean an extended period of years in order to pay the full amount. Banks and lenders will most likely agree to this strategy rather than a foreclosure. They need to continue with business operations and with commercial properties foreclosed, selling them could be more difficult than before. Before the approval of any loss mitigation procedures, commercial property owners need to undergo a commercial loan review as an assessment guide for banks and lenders on the financial standing of the owner and the property. To help you secure a more favorable restructuring program, look for firms that specializes in commercial properties because an extensive experience is necessary. They can negotiate better terms and conditions in your behalf.

Technorati Tags: commercial loan modification, commercial loan review, commercial loan workout, commercial loss mitigation

Your Commercial Loan Review Checklist and Unprofessional Mistakes

CLR Staff — Mon, 26 Jul 2010 18:28:32 +0000

There are a few things to look over before you meet with your business’s banker for a possible commercial loan modification. But first, you’ve got to sort of psych yourself up for the meeting. It’s an underestimated thing to do, but meditating about these meeting’s issues can really help with your negotiations at the table. Loan reviews often occur during audits as a consequence to what bankers are calling “irregularities” in mortgage and loan applications. What’s happening is that bankers are really seeing no end in sight when it comes to these bad mortgages, and in order to kind of head these things off, they’re really having to do a bit back stepping; they’re going back over the past year’s mortgages and loans, to see if they’ve haphazardly approved folks and businesses that weren’t supposed to be approved, and then, usually, initiating reviews, audits, even modifications at the banker’s request.

So here are a few things to put onto your commercial loan review checklist. To start with, you definitely want to have your books in order. Now everybody talks about having their books in order, and best practices about bookkeeping, but the fact of the matter is, especially with burgeoning commercial real estate developers, the books are quite vague, quite messy, and hardly ever up to snuff when it comes to accounting standards. So those need to be formatted and put into correct order. The last thing you want to do is to have a banker look at a summary sheet, and to see things that are just completely unprofessional or amateur.

Technorati Tags: commercial loan audit, commercial loan modification, commercial loan review, commercial loan review checklist

Apartment Loan Modification Program

CLR Staff — Fri, 23 Jul 2010 18:36:22 +0000

Property investments are lucrative but risky. Owning an apartment, for example, can bring in the income that will use for payment of real property taxes and other expenses. But this is on the premise that all the rooms in your apartment building are all occupied. What if only half of these are occupied and the other half remains idle for months? The number of idle months translates to the number of times you may need to shell out more from your pocket to pay for the expenses than what the building churns out for you. The global financial meltdown has immensely affected home and commercial property owners. Many were not able to update their premium payments and were left homeless. For commercial properties, like apartment buildings, the value of the building may not even be enough to cover for the minimum expenses. Foreclosures were made here and there on homes while businesses struggle to make up for the losses. In this case, you need to consult with a commercial loan workout specialist so that you can make an informed decision regarding your next move.

Financial institutions may be able come up with an apartment loan modification program specifically made to help you out on your situation. To site an example, you bought a 200 unit apartment building for $10 million and your mortgage payment is at $120,000 a month. Then here comes the crisis and your occupancy rate drops from 95% to 45%. Filling in the gaps brought about by a poor performing economy is too much considering you may need to pay more than half to make up for the lost income. But if you apply for a commercial loan modification program, this can bring in the much-needed resources to continue your business operations.

Technorati Tags: apartment loan modification, avoid foreclosure, commercial loan modification, commercial loan workout, commercial loan workout specialist