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Wells Fargo Commercial Equity Line of Credit

Leverage the equity in your business or investment property with a Wells Fargo Commercial Equity Line of Credit. Our Commercial Equity Line of Credit (CELOC) has a 60 month draw period for large and/or multiple purchases such as real estate/vehicle/large equipment/capital assets, property improvement, and business expansion. The total balance then converts at month 61 to a Prime-based variable loan with a 15 year amortization schedule and term.
Ideal ForBusiness owners and real estate investors who want to borrow against the equity in their property for large business expenditures.
How it Works
  • Save time with the streamlined application.
  • Pay no application, appraisal or title fees and save thousands of dollars.
  • Access a secured line of credit with:
    • Telephone transfers.
    • Wells Fargo Business Online® Banking.
Does it work for you? Visit a Wells Fargo location near you.

Additional Information

Credit Amount
  • CELOC: $50,000 to $500,000 (up to 75% LTV on first lien position and up to 70% on second lien position)
Terms
  • CELOC: 60 month revolving equity line of credit that converts to a Prime-based adjustable interest rate 15 year term loan with a 15 year amortization schedule. The monthly payment will adjust whenever there is a change in the Prime Rate during the draw period; and during the 15/15 loan period, the interest rate will adjust when prime changes, but the monthly payment will only adjust annually.
Interest RatesVariable rate tied to Prime-Based1
Collateral
  • Business or investment property valued up to $3 million2 (No second homes).
  • Investor or mixed-use properties welcome.
Fees
  • Application Fee: None.
  • Title Fee: None.
  • Appraisal Fee: None.
  • Origination Fee: 1% of line amount, due at closing.3
  • Early Closure Fee: $3,000 early closure fee applies if you close your line of credit within 3 years of origination.
  • Annual Fee:
    • 1st Year: Waived
    • Year two through the 60 month draw period: One quarter of one percent (0.25%) of the line size, subject to a $250 minimum and $1,000 maximum.
Optional Features
For More Information
  • Review our Frequently Asked Questions.
  • Compare our business lines of credit.
How to Apply
 
1 The index for the Prime-Based loan is the Wells Fargo Prime Rate. The interest rate for the loan will be adjusted with each change in the Wells Fargo Prime Rate. The payment will be fixed for 12 months and adjust only once per year on the anniversary of the loan. Any over or under payment of accrued interest resulting from a rate change, will be applied to the borrower’s balance. The reamortized payment will be calculated annually, using the remaining term, current balance and Wells Fargo Prime Rate then in effect. Restrictions may apply. Some properties may require an environmental loan insurance policy. Only loans/lines in 1st position are eligible. Policy costs range from $800-$1,200. This is a one-time cost and varies based on risk, loan term and loan amount.
2 Most property types are eligible. Environmentally sensitive properties may require an environmental loan insurance policy. Property located in a flood zone may require flood insurance. These expenses if applicable, are the borrowers responsibility. Collateral properties located in rural areas may not be eligible for this offer. Certain residential properties are not eligible. Please contact us for details. Note on Texas properties: Commercial property owners having a personal residence situated on, or adjacent to, the collateral property are not eligible for this offer.
3 You will need to pay a non-refundable deposit of up to $1,000 when accepting the terms of any loan or line of credit. Your deposit will be credited at closing against the origination fee (if any) and environmental insurance fee (if any) payable by borrower in connection with the transaction. If your deposit exceeds the origination and environmental insurance fees due at closing, you will be reimbursed for any overage. If the state or other taxing authority imposes a tax or fee on the filing of a mortgage or a deed of trust, or if the bank determines that environmental or flood insurance is required, any applicable fees are your responsibility. All financing is subject to credit approval.
Terms for credit products are subject to final credit approval of the business and its owners. A physical address is required to receive a Wells Fargo business credit product. You must be an owner of this business and not already have this product. See Terms and Conditions for details at account opening.
Equal Housing Lender