Church Mortgage Application Process
The BC Conference exists to facilitate and equip Christ centred churches and conference ministries for effective Spirit empowered ministry and mission. Our goal is to support our churches and conference ministries to proclaim the Gospel of Jesus Christ in their context and community.
Integral to this growth is having the proper facilities to gather as believers where the body of Christ can worship God, serve and minister to each other, and be a blessing to its community. As such, from time to time, churches or Conference ministries may need to acquire property or facilities, or address their facilities due to expansion or age of the building(s). The role of the Stewardship Advisory Committee, in conjunction with CCMBC, is to guide the applying church or conference ministries through the process to ensure that the loan request facilitates growth rather than hindrance.
Reasons to Apply for a Mortgage
The following criteria(s) will be considered when a church or camp is applying for a mortgage or loan:
Reasons to Apply
- Real Estate: Acquire new or additional land.
- Expansion of Facilities: A church may need to expand its facilities due to an increase in ministry participation and activities. This may also apply to purchase of a second (off-site) location which will serve as a satellite or campus of the principle Church.
- Relocation of Facilities: From time to time, a church may find itself in a situation where it needs to relocate due to lack of space to expand its facilities, or it may be that the building is too old for repairs and rather than rebuild from new, a new facility is available that will serve its needs.
- Major Renovation: If a church has experienced growth and needs to upgrade its facilities to accommodate its ministries or weekly activities.
- Major Repairs: Either unexpectedly or due to slow deterioration of structure, the church may find it needs to undergo major repairs such as roofing, structural integrity issues, mechanical issues, etc.
Process of Applying
When a church or conference ministry requests funding for one of the above reasons, the following items need to be included in the application.
- 1. Last three years of financial statements: The aim is to provide the Stewardship Advisory Committee with a snapshot of the financial state of the church and the ability to carry additional debt.
- 2. Attendance records for the last three years: This will provide the Stewardship Advisory Committee with a picture of trends in attendance. It will help in determining debt serviceability.
- 3. Congregational Support: When major expansions or renovations are undertaken, it is vital that the majority of the church family supports this undertaking.
- 4. A copy of plans for expansion/renovation and due diligence with the City: This will provide the Stewardship Advisory Committee not only with the ability to speak intelligently into the project, but also may highlight things that the church might not have considered – which may impact the overall cost of the project.
- 5. Spreadsheet of the total project cost along with major quotes from licensed contractors: This will show that the church has done its due diligence in understanding the impact and scope of the project and is aware of the complexities that come with such an undertaking.
- 6. Church’s Contribution: In preparation for the renovation/expansion project, the church has ideally already started to set funds aside to help cover the costs. This would also include any savings that might be incurred through donations in kind to offset the project’s costs.
In addition to the above mentioned criteria, the following considerations will also be used in determining the ability of the church to carry the additional financial burden:
- Percentage of budget allocated to Staff and Ministry expenses.
- Percentage of budget allocated to total debt servicing.
- The church’s support of the Conference in the last 3 years, i.e., 5% of of total annual budget.
Once you have prepared the materials listed above, please fill out the online application below, taking care to attach each file according to the requirements listed (format and naming convention). If you would prefer to submit hard copies of your application and documents, download the Application PDF below and submit to the BCMB Office.