What is a second mortgage loan?
A second mortgage is a loan secured by a registered second-ranking mortgage over a property that already carries a first mortgage. The existing first-mortgage lender is unaffected — Envision Private (via its funding partners) sits behind that lender on title, taking on additional risk in exchange for a higher rate of return to investors and faster, more flexible execution for the borrower.
Second mortgages are a well-established tool in Australian commercial finance. They let sponsors access equity trapped in an existing asset without disturbing a well-priced first mortgage, refinancing early, or triggering break costs.
When does a second mortgage make sense?
- Bridging finance — release equity while a property or project is sold.
- Development top-ups — cover cost overruns or GST/holding costs mid-project.
- Working capital — fund a business acquisition, stock, or ATO payment.
- Deposit funding — secure a new site while your existing bank facility stays in place.
- Residual stock — release equity trapped in completed unsold units.
Indicative loan parameters
| Loan size | $250,000 – $10,000,000+ |
| Combined LVR | Up to 75% (higher case-by-case) |
| Term | 1 – 24 months |
| Interest | Prepaid, monthly, or capitalised |
| Security | Registered 2nd mortgage, GSA where relevant |
| Purpose | Business / investment only (non-NCCP) |
How the process works
- Deal snapshot — submit the essentials (security, LVR, purpose, exit).
- Indicative terms — typically within 24 hours.
- Credit approval — valuation, title, and sponsor review.
- Documentation — loan agreement, mortgage, first-mortgagee consent.
- Settlement — often within 5–10 business days from indicative terms.
What we need from you
- Property address and current first-mortgage details
- Estimated value and any recent valuation
- Loan amount, purpose, and proposed exit
- Sponsor / borrower background