Imagining how you're going to enjoy the new comforts of a home renovation after you've been approved for a home equity loan can be relaxing. The expanded living room, bigger bathtub, new game room or whatever else you've been dreaming of can seem like a carefree time that you'll soon be enjoying.
Commercial mortgage loans differ from residential mortgages primarily because they're used to finance commercial property. The property may technically be a residence, but if it's used as a commercial venture-for example, a large apartment building rented out for its income potential-a commercial real estate loan is generally required. The volume of commercial loans grew 16 percent in 2005 to $1.3 trillion, as lenders provided business loans for various ventures, developments, investments, and construction projects.