21 Jan, 2008
Commercial Mortgages has tipped 2008 as the year for commercial
mortgage brokers to prosper, as businesses seek professional help
in response to tightened lending terms.
Paul Marland, sales & marketing director at Base Commercial,
says: "Continuing uncertainly in the credit markets has resulted in
many traditional banks tightening lending criteria and reducing
"This is causing business owners real problems and they are
increasingly turning to professional commercial mortgage brokers
However, Marland warns about the potential dangers of residential
mortgage brokers diversifying into commercial lending - a trend,
which is emerging as the housing and mortgage markets continue to
He says: "Commercial lending is, however, a very different
discipline to residential lending and has plenty of potential
pitfalls for brokers who are not familiar with handling
applications from businesses as opposed to individuals.
"There are a far wider range of issues to be taken into
consideration, including more complex valuations and the status of
the business making the application."
He adds: "My recommendation is for residential brokers to consider
forming business alliances with professional commercial brokers in
their area, to enable them to offer the best possible service to