Prime Mortgage Rate Cycles
With interest rates being so low in recent years, it is easy to forget that mortgage…
News / Articles / Information and Resources for Bed and Breakfast Inn Owners and Aspiring Innkeepers; Financial Related Articles; Articles about loans to purchase or refinance an Inn.
What should I look for when shopping for the inn of my dreams?
ANSWER: Aspiring innkeepers should attend industry conferences and aspiring innkeeper seminars to get a feel for…
Owners Quarters
ANSWER: Aspiring innkeeper’s needs vary based on many factors. Moving from a single-family home into an…
Location, location, location….
ANSWER: We have all heard this before. As it related to financing, hospitality properties may represent…
Are inns offered “For Sale by Owner” worth considering?
ANSWER: They could be, but it is difficult for a seller to impartially establish the value…
How can I know how much of a loan I qualify for to purchase a B&B/inn?
ANSWER: A pre-qualification encompasses reviewing the loan application and supporting documentation. The review includes data and…
What does a Pre-qualification accomplish?
ANSWER: The Pre-qualification process establishes a range in purchasing power a buyer/s has as it relates…
How does a Pre-qualification differ from a Pre-approval?
ANSWER: A Pre-approval differs from Pre-qualification in commercial lending in that the “Pre-approval” or Term Sheet/Letter…
How do I determine a fair asking/offering price for the inn/s I am considering?
ANSWER: It is difficult to know until all financial documentation has been provided by the seller. …
How much do I need to have for a down payment to purchase an inn?
Depending on the financial history of the B&B/Inn, buyers should have 30% to 40% of the…
Is seller financing a useful tool when financing an inn?
ANSWER: Yes, it can be used, particularly when the property has been underperforming for any number…
How long does it take to process and close a transaction once I/we have identified a hospitality property?
ANSWER: After the contract has been negotiated and accepted, the inspections and mortgage contingency period will…
Can I really use my retirement funds to open a business without taxes or penalties?
ANSWER: In most cases, yes. Our plans are designed to meet the IRS requirements for qualified…
What if I have more than one retirement savings account?
ANSWER: Not a problem; you can consolidate all your retirement accounts in the new retirement plan…
Can I really use my retirement funds to open a business without taxes or penalty?
Answer: In most cases, yes. Our plans are designed to meet the IRS requirements for qualified…
What if my accountant (or lawyer) isn’t familiar with this type of financing plan or isn’t sure it could be done?
Answer: Retirement planning is a highly specialized field; for this reason, we recommend that you use…
What if I have more than one retirement savings account?
Answer: Not a problem. You can consolidate all your retirement accounts in the new retirement plan.
Using Retirement Assets to Purchase a Bed & Breakfast or Country Inn
Few investors or entrepreneurs realize that they have the ability to self-direct their own retirement assets. Most believe the only two options are to borrow or withdraw from their account/s if they wish to invest in real estate or purchase/start up a new business. The downsides are…
- Borrowing from the account/s would require repayment of the principal with interest
2021 Inn Financing Update
By Richard K. Newman, Founder - Commercial Capital Network, LLC The last time we had interest…
Determine Market Value Before Marketing Your B&B or Country Inn
All Bed & Breakfasts/Inns are unique by design; in fact, it is that special and unique…
