A church commercial loan is really unique as the property cannot generate income without that specific business operating the property.

Start-up churches are very difficult to finance without substantial guarantees or loan loan-to-values. Small, corner based-churches are difficult properties, and cash-out transactions are virtually unheard of.

A start-up church that is affiliated with an established church is acceptable, if the parent church can co-sign and its operating history can be considered. Congregations of 1,000 or more members will diversify the lender risk more than a small church of 100. Churches run under the same denomination for many years is more attractive than one started from scratch last year.