How to Get 100 LTV Commercial Real Estate Financing

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How to Get 100 LTV Commercial Real Estate Financing

Is there such a thing as 100 LTV commercial real estate financing? Not exactly, but there are workarounds to get there. Here’s how.

For the uninitiated, loan-to-value (LTV) means the amount of the loan compared to the value of the property you’re buying. Let’s say the property you want to buy is valued at $100,000 and you get a loan for $87,000. That’s a LTV ratio of 87 percent. Some accredited private lenders will do a loan-to-value ratio of up to 90 percent in certain commercial cases, but 100 percent LTV really isn’t done in the industry.

That’ doesn’t mean it’s not possible, but you may have to get a little creative. Here are a few ways to get 100 LTV commercial real estate financing:

  1. Partner with someone who has cash. This could be a family member or another investor who’s willing to get into the game with you. He or she can help with the renovation budget or a down payment in exchange for back end money.
  2. Use a bridge loan for a part of the down payment. Using commercial real estate seller financing is one option as many hard money commercial lenders will do this. However, most will still require you to come up with around 10 percent out of pocket.
  3. Find more than one partner. Some commercial real estate developers use shareholders of members of an LLC to raise the money they need.
  4. Use capital stacking. That means using a combination of any of these methods. That could mean using equity partners, debt financing, and seller financing in conjunction to get to your 100 percent.

What About 100% for Rehab Costs?

While you may not be able to get 100 LTV for purchasing a commercial property, you may be able to get 100 percent of your rehab costs by going the hard money route. Hard money comes from private investors, so there’s more wiggle room when it comes to qualification and loan terms. For instance, by having a good plan, a good budget, and solid collateral, you may be able to get up to 90 percent LTV on the purchase, 85 percent on as-is value, and 100 percent of rehab costs.

Getting Commercial Financing in Arizona

Whether it’s your first commercial project or your 10th, if you can dream it, you can find a way to get the financing for it. You may have to get creative to get 100 LTV commercial real estate financing, but don’t give up. If you need help figuring everything out, give us a call today. We offer an ultra-fast approval process, funding in days, no prepayment penalties, and the best rates in the business.



Dennis Dahlber Broker Ri CEO Level 4 Funding LLC
Dennis Dahlberg

Broker/RI/CEO/MLO

Level 4 Funding LLC 
Hard Money Lender

Hard Money Loans

Hard Money Loan

Arizona Tel:  (623) 582-4444

Texas Tel:      (512) 516-1177

Dennis@level4funding.com

Dennis Dahlberg Broker/RI/CEO


NMLS 1057378 | AZMB 0923961 | MLO 1057378

22601 N 19th Ave Suite 112 | Phoenix | AZ | 85027

111 Congress Ave | Austin | Texas | 78701  

About the Author:  Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 43 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

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