Commercial Real Estate Line of Credit
In addition to purchase and refinance loans, we even have a special “Real Estate Equity Line of Credit” for commercial and owner occupied properties that allows borrowers to access and re-access funds whenever it’s needed. It’s a great program to meet both anticipated and unexpected cash needs, such as property improvements or building repairs.
This line of credit is secured by owner-occupied commercial or investment real estate
and can be used to access working capital or buy or make improvements to real estate.
Features and Benefits
Flexible interest only minimum payment option for the first five years
An additional 10-year repayment period of principal and interest, giving you the option to either keep your variable rate or convert to an adjustable rate product
Because your repayment period is longer than a typical term loan, payments are lower
No annual fees
More attractive interest rates with commercial real estate being used as collateral
Easy access through Business Online Banking and checks
Business Equity Line Pricing
Pricing ranges from 175 - 250 basis points above LIBOR, or .5% to 4% above the Prime rate. One major advantage of an unsecured credit line in New York is the ability to avoid mortgage-recording tax, which is 2.75% in New York City for amounts greater than $500,000. Another advantage is the flexibility of being able to pay down a credit line without any prepayment penalty.