Hire an Attorney Before Submitting Your Commercial Loan Application
Homeowners and commercial property owners have been told time and time again that an attorney is the best resource to help them avoid the foreclosure of their property. Many people only learn about the benefits of hiring an attorney after facing a financial hardship, but few understand the important services that attorneys can offer before a financial hardship hits.
Many private business owners don’t have direct access to the cash they need to launch the business of their dreams, making a commercial loan a necessity. In order to get that loan, the business owner must apply for the loan from a commercial loan lender that is willing to accept the risk of issuing the loan.
Applying for a loan can be a lengthy and in depth process for many would be business owners. Most would be business owners lack the experience in the lending industry necessary to ensure their lenders do not take advantage of them by issuing a loan that is loaded with legal violations and/or evidence of predatory lending practices.
Potential borrowers can minimize the risk of future foreclosure trouble and disputes with their lenders by ensuring that their mortgage contracts are properly written and include the terms that they want them to include. If the contract is written correctly from the beginning, without inflated fees or acts of predatory lending, the borrower can be sure that their loan rate is one that they will be able to afford from day one of the loan being issued.
An experienced foreclosure attorney can review any mortgage documents before the borrower signs them and can advise the borrower on what exactly their mortgage contract entitles them to. This type of responsible planning by the borrower can help them avoid the fate of foreclosure because they will know exactly what to expect from their loan. Even better, the attorney of the borrower can negotiate better loan terms on behalf of their client and can confront the lender on any contract terms that appear questionable. This is especially beneficial for borrowers who need to borrow more than the average small business owner.
Many borrowers don’t like confrontation, especially when they have to confront and question the organization that stands between them and their dream of business ownership. Attorneys, on the other hand, are trained and paid to confront. They have no problem confronting the lenders on behalf of their clients.
Many will agree that the commercial loan application is the first step a person must usually take to realize their dream of business ownership. The second step, therefore, should undoubtedly be the hiring of an experienced attorney who can ensure the commercial mortgage contract is written legally and in favor of the borrower as much as possible.
Making sure that a mortgage contract favors the borrower as much as possible will help keep business doors open. A commercial loan is a s
ured loan, which means the lender can take possession of their borrower’s property in order to cover the cost of any losses they suffer. Being able to avoid foreclosure will mean the borrower will be able to avoid the idea of losing their property and therefore will be given the highest chance to succeed. This increased chance of success is only possible if they have an experienced professional to look over their loan documents.