Right now, we’re going to discuss the commercial real estate loan process.
René Nelson, Eugene commercial real estate broker
Isaac Grant, Eugene commercial loan officer
René Nelson: Today joining me as my guest, Isaac Grant from Oregon Community Credit Union. Hey Isaac.
Isaac Grant: Hey René.
René Nelson: Okay. You know I was a lender for 23 years before I joined the dark side with commercial real estate. I just feel like a kid in a candy store. I’m with my favorite lender. I get to ask tons of questions, so here we go. Tell me about the first phone call a borrower, when they call you on the phone, walk me through the process. What do you say to them? What are you looking for? How does that initial phone call start? Because that’s a scary process initially.
Isaac Grant: That’s a fantastic question, René. I think the first phone call is extremely important. For me as the lender, I want to ascertain the experience and the background of the person that I’m talking to. Is this somebody that’s got a commercial real estate loan before and they have a big portfolio and so we can kind of maybe cut to the chase a little bit more because they want to cut to the chase, or is this somebody that we want to go through the process from start to finish because they haven’t done this before, they’re looking at a lot of these forms and the requests and wondering, “How do I fill some of these forms out? Why do you need some of these things? Help me through the process.”
The most important thing is to understand, okay, what’s your end goal? As the borrower, the applicant coming to me, what’s your end goal? What’s the information that you need? And then we can discuss where to move from there through the application process.
René Nelson: Okay. I know a financial statement is one piece of the puzzle. Talk to me about the financial statement. What are you looking for on that?
Isaac Grant: I think what you’re referring to is the personal financial statement, so we get a personal financial statement, which is kind of an elongated type of financial statement that you would maybe fill out for a residential mortgage loan. But then on the commercial side, there’s maybe a few more boxes for you to fill in. The main thing that we’re looking for there is to get an idea at a high level, what’s this individual’s assets and liabilities so we can see your net worth position and then what at a high level would be their income and expenses as well? So we can capture a lot of their information in one form.
René Nelson: Boy, I’ve seen your smooth form. It auto-fills with balances and just you fill in the basics and the form does the rest and what you’re short on, Isaac will help you with. Isaac, give him your phone number.
Isaac Grant: It’s 541-681-6418.
Join Eugene, Oregon, real estate experts: Bob Nelson, Real Estate Investment Broker with Pacwest Real Estate Investments, and Marcia Edwards, Residential Real Estate Broker with Windermere Real Estate, daily at 5:30pm on KPNW for the “Real Estate Today” radio show.