If you’re applying for a commercial mortgage—whether it’s for an apartment building, mixed-use development, or other income-producing property—having the right documents ready can make or break your deal.
At Federal Hill Mortgage, we work with all types of commercial borrowers nationwide. To give you the clearest roadmap, we’ve compiled this comprehensive guide on commercial real estate loan documents—including a downloadable checklist to stay organized.
Why Documentation Matters
Commercial mortgage applications are more detailed than residential ones. You’re not just applying based on your personal income—you’re also proving that the property itself can service the debt. Lenders evaluate you and the asset through documentation, which means clarity and preparation count.
Complete Commercial Real Estate Loan Documents Checklist
Let’s break down the four major document categories most lenders will require:
Business & Personal Financials
These help lenders assess both borrower and business strength.
Business Financial Documents
- Last 2–3 years of business tax returns
- Year-to-date profit & loss (P&L) statement
- Balance sheet (assets, liabilities, equity)
- Cash flow statement (past and projected)
- Debt schedule (listing all current business debts)
Personal Financial Documents
- Last 2–3 years of personal tax returns
- Personal financial statement (PFS)
- 3 months of personal and business bank statements
- Credit report (pulled by the lender but know what’s in it)
Tip: If applying for a DSCR loan, lenders will rely less on your personal income and more on the property’s net cash flow. Still, you’ll need to show financial solvency.
Property-Specific Documents
These demonstrate income, risk, and the asset’s ability to support the loan.
For All Properties:
- Rent roll with lease terms, unit mix, and current occupancy
- Trailing 12-month income and expense statement
- Capital improvements summary (if recently renovated)
- Property photos (or a full Offering Memorandum if listed)
- Appraisal (lender usually orders, but you’ll pay for it)
- Property insurance policy
If Purchase:
- Signed purchase & sale agreement (PSA)
- Proof of escrow funds/deposit
- Contact info for listing agent or seller
If Refinance:
- Mortgage statement(s)
- Payoff letters
- Lease agreements (especially if leasing back to your own business)
Legal & Entity Documentation
Proves you have the legal authority to borrow, and that the business exists in good standing.
- Articles of incorporation / operating agreement
- Business license or registration certificate
- EIN verification letter (IRS)
- Entity organizational chart
- Resumes of principals / guarantors
- Corporate resolution to borrow (if applicable)
Additional Docs (as requested by lender):
- Environmental questionnaire
- Title report / survey
- UCC-1 financing statement (for pledged equipment/personal property)
Underwriting Support & Loan Forms
Beyond numbers, lenders want to understand your vision and repayment strategy.
- Loan application
- Business plan (especially for reposition, ground-up, or SBA deals)
- Loan proposal / executive summary
- DSCR worksheet or projected rent roll (for investment properties)
- Schedule of real estate owned (SREO)
- Sources & uses statement
What If You’re Applying for a DSCR Loan?
Debt Service Coverage Ratio (DSCR) loans are popular for investors financing rental properties based on cash flow rather than tax returns.
You’ll still need many of the same documents, but lenders will focus more on:
- Rent roll and lease terms
- 12-month income/expense summary
- P&L for the property (not the business)
- Appraisal showing projected rental value
FAQs About Commercial Loan Documentation
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What if I don’t have a business yet?
You can still qualify under your personal name or newly formed LLC, but you’ll likely need a robust business plan and personal guarantees.
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Are bank statements really required?
Yes. They verify cash reserves, income trends, and help underwriters spot inconsistencies.
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Can I apply without a tax return?
For DSCR and some P&L loan types, yes. But most conventional and SBA lenders will require at least 2 years.
Ready to build your commercial portfolio?
Apply with a Lender That Knows Commercial
At Federal Hill Mortgage, we specialize in financing commercial real estate nationwide—ranging from apartment buildings and mixed-use spaces to SBA-eligible business properties.
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