Commercial mortgages

Retail, office, industrial, rental buildings with 5+ units and mixed-use properties. Mostly about whether the property's income covers the payments.

Who it's for

✓ Buying retail, office or industrial
✓ Buying a 5+ unit rental building
✓ Refinancing a commercial property
✓ Mixed use / storefront below

Rates

Commercial loans are priced case by case on property type, rent and borrower strength; banks rarely publish rates. Use the commercial loan tool to estimate.

Key terms

Loan-to-value: Typically 65-75%; Conventional; 5+ unit rentals under CMHC programs can go higher.
Debt service coverage (DSCR): Typically 1.20-1.30x; Net operating income / annual debt payments; big banks are strictest.
Amortization: Typically around 25 years; CMHC MLI Select rentals can reach up to 50 years based on points.
Approval: Property income + borrower strength; Leases, vacancy, operating history, plus the borrower's assets and experience.

What's your situation?

Buy commercialDoes rent cover the payments?5+ unit rentalPositive or negative cash flow?RefinanceHow much equity can I access?Mixed useResidential or commercial rules?

Documents you'll usually need

Personal / corporate ID and company documents
Rent roll and current leases
2-3 years of property operating statements, financial statements and tax returns
Appraisal, environmental report (for some properties)

Build the full list for your case →

How it works

1Describe the property and use; we estimate LTV and DSCR
2Gather leases and financials
3Lender appraisal, approval and term sheet
4Lawyer closes once conditions are met

FAQ

How is commercial different from residential?

Residential looks mainly at your personal income; commercial looks mainly at whether the property's rent covers payments, and usually needs more down.

Is a 5+ unit rental commercial?

Yes. These can use CMHC multi-unit insurance programs (e.g. MLI Select) with potentially higher LTV and longer amortization than conventional; current CMHC rules apply.

How long does approval take?

Longer than residential, often several weeks, because of appraisal and reviewing leases and financials.

New business or unstable rent?

Harder: you may need more down, a personal guarantee, or a private loan as a bridge.

Residential mortgages →Buying a home or first home Private & second mortgages →Declined by a bank (income proof, damaged credit)

General rules and typical ranges from public sources, not an approval or commitment. Rates, loan-to-value and terms are subject to the lender's written approval.