Commercial properties with financially solid tenants and favorable lease terms can be a terrific wealth building strategy since it provides a consistent and dependable source of cash each month.
But if you need cash now to expand or improve the property, to acquire other properties, pay down current debts or take advantage of new opportunities and cannot wait months for the rent roll to accumulate, then selling those leases – even just part of them - will prove to be a very powerful cash flow tool by providing capital quicker than taking out a second mortgage and without having to incur any debt
Criteria
Commercial Properties
The properties that qualify as commercial are:
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Factories
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Warehouses
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Retail
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Research/Medical
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Office
Residential properties, including apartment complexes, are not considered
commercial properties.
Required Documents
- Articles of Incorporation
- Mortgage Agreement
- Credit Information or Tax ID of tenants
- List of tenants with addresses
- Tenants’ payment histories
- List of tenants’ monthly lease amounts
- Proof of Insurance
- Copy of commercial real estate leasing contracts