Types of BDC mortgages
The only mortgage option offered by BDC is commercial real estate financing. Commercial real estate financing from BDC aims to help Canadian business owners buy buildings and land or cover construction or renovation costs. BDC is ready to provide 100% financing to cover real estate expenses for up to 25 years. In addition, you can get the advantage of principal payment postponement for up to 36 months at the start of the loan.
How to apply for a BDC mortgage
Click the “Apply now” button on the Commercial real estate financing page to apply for commercial real estate financing from BDC. You can also click “Request a business loan” on the “Contact us page.” Then, you will need to answer the quiz questions by providing the following information:
How long your business has been in operation
The amount you want to borrow
Your first name and last name
Your email
Your business phone number
Your job role
How did you hear about BDC
Information about your business (your company name, business type, industry, company foundation year, number of employees, annual sales, and address)
Why do you need financing
Information about your project and how will you use the loan
Requirements
To qualify for commercial real estate financing from BDC, you must be a Canadian resident of at least the age of majority in your province or territory. In addition, your business must be Canadian-based and meet the requirements for the minimum time in operation.
To be eligible for commercial real estate financing as a newcomer to Canada, you must have immigrated to Canada 3 years ago or less. You must be either a permanent resident of Canada or have a protected person status. Your business must have been in operation for 12 months or more and have generated revenue already. When applying, have a viable business plan handy.
Pros and cons
Let’s outline the benefits of commercial real estate financing from BDC:
Terms and conditions aren’t subject to change without due cause
There is no need to leverage personal assets as security for the loan
Early repayment of your loan is penalty-free
Principal payment postponement is available for up to 36 months at the start of the loan
The drawbacks are:
The lack of mortgage solutions for individuals
The lack of transparency about the rates before applying for a loan
The absence of applying for a loan feature in the BDC Mobile app
The absence of paying for a loan feature in the BDC Mobile app