Commercial Mortgages – Best way to Finance Your Business

If you require money to start a new business or to put a hike to your existing business then you can always use the help of loans. Here comes the need for Commercial Mortgage Loans for the sake of commercial requirements of money. This type of loan is often used for buying real estate and commercial properties that can be used for commercial purposes. They may be office buildings, theaters, shopping malls and many other such real estate for businesses.

Commercial mortgages as the name states are borrowed by businesses and not by individuals and thus the collateral is a business property rather than a residential plot. The seekers first need to file their requirements to the lender organizations. Wealthy individual investors and some privately owned lenders offer hard money, commercial mortgage platforms. The tenure of such loans generally vary from 3 to 10 years, but in some cases you can even stretch it up to 25 to 30 years.

Unlike personal mortgage loan, commercial mortgages is a bit difficult to apply for. You may take the help of loan brokers to find out more about the market. The lender generally decides how much to lend to the borrower depending on the later’s credit history. The interest rate is a bit high in such loans than compared to other mortgage loans in the market. But the major advantage is the rate of interest of the loan does not change accordingly and always remain the same throughout the time. People who do not have adequate amount of money to increase or grow their business, commercial loans are of a great help to them. If you are suffering from a financial crisis and need to stabilize your business, you can always take the help of such loans.

But there comes the decision to be taken solely by you. How will you find a proper commercial mortgage loan lender? There are many available lenders in the market. You can always take the help of a financial advisor by searching over the internet and take the advice of them. They will personally guide you through the loan process and help you to decide what type of commercial loan suites best to you according to your financial conditions.

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Forex Market

Forex is the short form for "Foreign Exchange". Forex Market is a worldwide market where traders buy, sell, exchange and speculate on currencies. Its a 24 hour market, where traders invest in foreign currencies. Traders buy foreign currencies at lower prices, they gain profit and sell at a higher price to buy another one at lower price. This buying and selling goes on for 24 hours round the world.



With the current advent of Information Technology, forex trading has become more and more popular and accessible to the traders, from any part of the world. There are some "Major" currency pairs, for which most of the trading is done:

Euro/ U.S. Dollar
US Dollar/ Japanese Yen
US Dollar/ Swiss Franc
US Dollar/ British Pound

As per popular saying "No risk no gain", Foreign Exchange trading carries high level of risk, with windfall gains. The results can be against your expectations, so before investing you should study market scenario minutely and seek advice from an independent financial advisor if you have any doubts. With the possibility of loss you should know how much you can afford to lose and therefore invest accordingly.

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Foreclosure (FCL)

Foreclosure is a situation in which the lender or the mortgagee, seizes and sells the property, if the homeowner or the mortgagor fails to make principle and/or interest payments on the mortgage. Under mortgage a borrower pledges to lender as security, an asset, like a house to secure the loan.

If the borrower defaults and the lender tries to repossess the property, courts of equity can grant the borrower the equitable right of redemption if the borrower repays the debt. In some cases, creditors try to make adjustments to allow the homeowner to retain ownership. This situation is known as a special forbearance or mortgage modification.

Deed in Lieu Of Foreclosure is a potential option taken by a mortgagor (a borrower) to avoid foreclosure under which the mortgagor deeds the collateral property (the home) back to the mortgagee (the lender) in exchange for the release of all obligations under the mortgage. This is done with the consent of both sides.

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401(k)

In US 401(k) refers to the retirement savings left with a former employer. 401(k) is a kind of tax-qualified deferred compensation plan in which an employee can elect to have the employer contribute a portion of his or her salary to the plan on a pretax basis. These are generally called deferred wages as they are deferred from current income taxes, on the saved money and earnings on it until withdrawal.

There is a limitation on how much percentage of salary can be kept for deferral contributions. There are also restrictions on how and when employees can withdraw these assets, and penalties may apply if the amount is withdrawn while an employee is under the retirement age as defined by the plan.

Advantages Of 401(k):

1) Increased Take Home Pay --> This tax deferred saving plan, reduces your current taxable income and simultaneously increases your take home pay. These savings are tax deferred until withdrawal.

2) Automatic Deduction --> In this plan your savings are automatically deducted from your payroll. So you don't get a second thought on whether to save or to spend.

3) A Company Match Can Help Your Investments Grow --> Certain companies offer contribution of certain amount to your account for every dollar that you contribute. In this circumstance you are bound with the work for certain number of years. This way your savings will grow manifold.

4) Emergency loans --> If any emergency you can take loan from this deferred savings account and pay it back later with the interest ( a fixed rate determined at the time of the loan).

5) Emergency Withdrawal --> Another benefit is that, you can withdraw it before retirement, when in heavy financial need, but you can't put it back after total withdrawal.

6) Updated Account Services --> Through statements, telephone and online account services 401(k) plan holders are kept updated on how their investments are working. Total account information are provided on time to time.

7) Portable --> The main beauty of this plan is that it can be transferred from one job to another, without withdrawing your total amount everytime you change your job

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