Mezzanine finance combines elements of debt and equity financing. It provides property developers with quick funding to bridge the gap between a senior loan and equity. The gap emerges from the capped Loan to Value Ratio (LVR) on traditional financing options.

Property developers usually take the help of mezzanine financing when they cannot raise enough capital to complete the project through traditional options such as banks because their project’s perceived risk is high.

Where Can You Use Mezzanine Finance

Mezzanine finance fills in the financial gaps for property developers and can be used for:

  • Property acquisitions
  • Property development
  • Property construction

Caveat Loans

A caveat loan is a type of loan where a lender provides funds to a borrower in exchange for a caveat being registered against the borrower’s property. This means that the borrower must put up their property as collateral for the loan. The lender can then sell the property to recover their funds if the borrower fails to repay the loan.

Caveat loans are typically used when a borrower needs to access funds quickly and cannot obtain traditional financing from a bank or other financial institution. These loans often come with higher interest rates than traditional loans due to the increased risk to the lender.

A second mortgage is exactly as it sounds- a type of short-term loan secured against a property already having a primary mortgage. The borrower takes out a second mortgage on the property, using the equity in the property as collateral. This type of financing is often used when a borrower needs to access funds quickly but does not qualify for a traditional loan from a bank or other financial institution.

Second mortgages are always ranked below the first mortgages so that in the event of a foreclosure, the first mortgage is paid back as a priority. A second mortgage is usually risky as failure to repay the loan can result in the lender foreclosing on the property. Additionally, due to the increased risk, second mortgages often come with higher interest rates than traditional loans.


Apply For Second Mortgage Loans From Lend & Co Private

If you’re looking for a second mortgage loan, start with Lend & Co Private. With knowledge and many years of experience in the finance industry, we provide tailored solutions that perfectly suit your business needs. Whether you’re a small or large property developer, we can help you get your second mortgage loan quickly and at a low-interest rate. Rest assured, our second mortgage loans are flexible and require minimal documentation for a faster process.

Short Term Property Loan for Business

Business owners can go through hardships at any time. Whether your business is seeking additional finance to grow or cover a short-term hole in cash flow, trust Lend & Co Private for the best short term loan funding options. 

Our short term loans in Melbourne have come to the rescue of thousands of business owners. As one of Australia’s leading finance marketplaces, we assure you to arrange the required short term loan in Australia on the best possible terms and as fast as possible. 

Some of the key features of our short-term finance include:

  • Super fast approvals and settlements within days Australia-wide
  • Low documentation
  • Terms and repayment schedules tailored to individual needs.

Role of Lend & Co Private

At Lend & Co Private, we understand the quicker your development project is completed, the quicker you can sell the assets, realize your profits and repay the loan. We can help you navigate easily through the complex world of mezzanine finance and achieve your financing objectives. In addition to providing quick cash and flexible repayment terms, we also provide valuable expertise and advice to companies looking to raise mezzanine finance.

We are a leading development and construction finance provider throughout Australia, and many project developers consider us when making funding decisions.

How Lend & Co Private Can Help With Your Loan Needs

At Lend & Co Private, we’ll take time to understand your need for caveat loans in order to give you the best offer that suits your needs. We can save you the time and hassle of arranging this type of finance yourself. We have experience in arranging these types of loans for clients who don’t meet the strict lending criteria of major banks or other financial institutions.

Talk To a Lend & Co Private's Professional Today

With years of experience and strong industry connections, Lend & Co Private has the expertise to provide the right solutions for all your short term loans hassle-free. Here are three reasons why you should choose us:

Reliable support

As a customer-focused service provider, we strive to provide reliable customer service before, during and after your short term loans for your complete peace of mind.

Faster loan processing

We always respond faster to all your loan-related queries. As a result, we can help you get a loan in the shortest time frame.

Trustworthy Finance

Short term loans can involve hidden costs, complicated fees and clauses that could potentially lower your equity. Lend & Co Private has long-standing relationships with a network of trustworthy and reliable financiers to help you choose the right capital partner.

To discuss our residual stock finance solutions and other funding options, speak to our specialists today!