Commercial Mortgages
Unlocking commercial real estate opportunities
Navigating the world of commercial mortgages requires specialized knowledge, strategic planning, and access to the right lending solutions. At Better Mortgage Select, we specialize in securing the best financing options for real estate investors, developers, and business owners looking to expand their portfolios, acquire commercial properties, or optimize their cash flow.
As Warren Buffett wisely said, “Risk comes from not knowing what you’re doing.” Our mission is to provide investors and business owners with the expertise and guidance needed to confidently structure commercial mortgages that align with their investment strategies and long-term financial goals.
What are commercial mortgages?
A commercial mortgage is a loan secured by a property used for business, investment, or multi-unit residential purposes. Unlike residential mortgages, commercial financing focuses on income potential, cash flow stability, and property value appreciation rather than just the borrower’s personal financial profile.
Types of properties financed with commercial mortgages:
- Multi-family residential buildings (5+ units)
- Retail spaces and shopping centers
- Industrial properties and warehouses
- Office buildings and business complexes
- Mixed-use developments (residential & commercial units combined)
Key differences between commercial
and residential mortgages
| Aspect | Commercial Mortgages | Residential Mortgages |
| Property Type | Non-residential or multi-family (5+ units) | Single-family homes or small residential units |
| Approval Criteria | Based on property income, cash flow, and borrower/business stability | Based on borrower’s income and credit history |
| Loan Terms & Interest Rates | Typically 5–25 years; rates vary based on property risk and income generation | Up to 30 years; lower interest rates |
| Down Payment Requirements | Typically 20%–40% | As low as 5% for insured loans |
| Amortization Periods | 15–25 years (can be extended with CMHC-backed loans) | Up to 30 years |
The CMHC MLI Select Program:
A game-changer for multi-family investors
The MLI Select Program by Canada Mortgage and Housing Corporation (CMHC) is a groundbreaking initiative designed to support the development and preservation of multi-unit rental housing. It provides unmatched loan insurance benefits, making it easier and more affordable for investors to secure commercial financing.
Key features of CMHC’s MLI Select Program
1. Eligible properties
- Multi-unit residential properties with 5 or more rental units
- Mixed-use buildings (residential & commercial spaces)
- New construction and existing properties eligible
2. Scoring system for enhanced benefits
Properties are assessed based on a scoring system that provides better loan terms to investors who prioritize:
- Affordability – Keeping rental rates below market averages
- Energy Efficiency – Using sustainable building materials and energy-saving upgrades
- Accessibility – Incorporating features to accommodate persons with disabilities
3. Higher loan-to-value (LTV) ratios
- Up to 95% LTV for projects meeting high affordability and sustainability thresholds
- Lower down payment requirements (as little as 5%–15%) compared to traditional commercial loans
4. Longer amortization periods
Extended up to 50 years for high-scoring projects, allowing for lower monthly payments and improved cash flow.
5. Lower interest rates
CMHC-backed insurance allows investors to access some of the lowest commercial mortgage rates on the market.
6. Reduced mortgage insurance premiums
Discounted insurance rates for properties meeting high sustainability and affordability benchmarks.
How Better Mortgage Select helps investors secure MLI Select Financing
Securing CMHC-backed financing requires expertise in navigating the complex MLI Select application process and scoring system. Better Mortgage Select ensures you maximize the program’s benefits by providing:
- In-depth assessment of your property’s eligibility and potential scoring.
- Tailored financing strategies to help you secure the most competitive terms.
- Full application and approval support from start to finish.
How Better Mortgage Select helps investors
secure MLI Select Financing
Securing CMHC-backed financing requires expertise in navigating the complex MLI Select application process and scoring system. Better Mortgage Select ensures you maximize the program’s benefits by providing:
In-depth assessment of your property’s eligibility and potential scoring
Tailored financing strategies to help you secure the most competitive terms
Full application and approval support from start to finish
Private & alternative commercial mortgage solutions
For investors and business owners who may not qualify for traditional bank financing, we offer alternative commercial mortgage solutions, including:
Private commercial mortgages for investors who need quick funding
Short-term bridge loans for acquisition or construction
Equity-based lending where property value is prioritized over credit score
Interest-only payment options for improved cash flow management
Case study:
How an investor used MLI Select to expand their portfolio
The situation:
A seasoned real estate investor wanted to purchase a 30-unit apartment building but faced challenges securing traditional financing due to the high LTV needed and strict debt service ratio (DSR) requirements from banks.
The solution:
By leveraging the CMHC MLI Select Program, the investor secured a 95% LTV loan with a 50-year amortization, resulting in lower monthly payments and improved cash flow. The property’s below-market rents and planned energy-efficient upgrades helped it score high on CMHC’s evaluation scale, maximizing program benefits.
The outcome:
- Lower down payment requirements (15% vs. 25%-40%)
- Improved cash flow due to extended amortization
- Secured competitive interest rates far below private financing options
- Ability to reinvest funds into future real estate acquisitions
Is a commercial mortgage right for you?
A commercial mortgage is an excellent financing solution for:
- Investors expanding their rental property portfolio
- Developers constructing or retrofitting multi-unit buildings
- Business owners acquiring office, retail, or industrial properties
- Real estate professionals seeking CMHC-backed funding for long-term growth
At Better Mortgage Select, we specialize in structuring customized commercial mortgage solutions that align with your investment goals.
Finance smarter. Grow faster.
From multi-family units to mixed-use developments, we structure financing that fuels growth, maximizes returns, and supports your vision.
Partner with Better Mortgage Select for
your commercial mortgage needs
At Better Mortgage Select, we don’t just secure loans—we help investors build wealth through strategic financing. Whether you’re leveraging the CMHC MLI Select Program or exploring private lending solutions, we ensure you receive the best financing options tailored to your goals.
“The best investment on Earth is earth.” – Louis Glickman
Let’s structure the right commercial mortgage solution for your investment success. Contact Better Mortgage Select today!