Quick answer
A fast first mortgage replaces the existing loan on a property with a new one, usually from a non-bank lender, and can release extra cash for business purposes at the same time. It suits emergencies where a bank has pulled a facility, the first lender won't consent to a second mortgage, or one clean loan is better than two. Up to $5m is possible within 24–48 hours for property-secured business loans.
Key points
- Refinances existing property debt and can release cash in one step.
- Useful when a bank has called in a loan or won't consent to a second mortgage.
- Property-secured business loans of $20k to $5m; up to $5m possible within 24–48 hours.
- Often used as a bridge back to a bank once the business recovers.
- Amounts
- $20,000 to $5,000,000
- Speed
- Up to $5m possible within 24–48 hours
- Best for
- Refinance + cash, bank exits
What is a fast first mortgage?
A first mortgage is the main loan registered on a property’s title. A fast first mortgage, in an emergency context, usually means refinancing that loan with a non-bank lender that can move quickly, and borrowing extra on top for the business need.
For example, if your commercial premises is worth a good deal more than the bank loan on it, a new first mortgage can pay out the bank and release the difference as working capital, all in one transaction.
When does a first mortgage suit an emergency better than a second?
| Situation | Better fit | Why |
|---|---|---|
| Bank has called in the loan | First mortgage refinance | The existing loan has to go anyway |
| First lender won’t consent to a second mortgage | First mortgage refinance | Avoids the consent problem |
| Small existing loan, large need | First mortgage refinance | One clean loan, simpler to exit |
| Good existing home loan, extra need | Second mortgage | Keeps the good loan in place |
| Very short-term bridge | Caveat loan | Fastest, no refinance needed |
The common thread: if the first loan is a problem — being called in, reduced or blocking other options — replacing it often makes more sense than layering another loan behind it. Our page on a bank that has pulled your facility covers that scenario.
What does the lender look at?
Non-bank first mortgage lenders concentrate on:
- The security: the property, its location and type, and the amount you want to borrow relative to it.
- The exit: how the loan will eventually be repaid — refinance to a bank, sale, or trading.
- The story: what has happened and why this loan fixes it.
- Your trading: recent bank statements, especially if the loan is also funding working capital.
Past credit issues and ATO debt are considered case by case. Being declined by a bank doesn’t rule you out.
How fast can it settle?
Up to $5m is possible within 24–48 hours for property-secured business loans. Refinances have one extra step compared with a second mortgage: the existing lender has to provide a discharge and payout figure. Ask for the payout figure early, and have authority forms ready so the new lender can deal with the old one directly. The settlement timeline guide explains what happens at each stage.
Illustrative example: a bank exit with cash out
Illustrative only. A Geelong engineering firm owns its factory with a $900,000 bank loan. After a difficult year, the bank gives notice that it won’t renew the facility and wants it repaid within 60 days. The firm also has $220,000 of ATO debt.
A non-bank first mortgage of $1.2 million over the factory pays out the bank, clears the ATO debt and leaves a working-capital buffer. It settles well inside the bank’s deadline. The firm plans to refinance back to a bank in two years once its improved results are lodged.
What are the trade-offs?
Non-bank lending is generally priced higher than mainstream bank lending, and short-term emergency loans are priced on the circumstances. A refinance also has costs: discharge fees, legal and registration costs. Weigh those against the cost of the alternative — a forced sale, a missed settlement or a collapsed facility. You’ll see the full cost in writing before committing.
What documents does a refinance need beyond a second mortgage?
A first mortgage refinance has a few extra steps, because the existing lender has to be paid out:
- Payout authority signed by you, so the new lender can request the payout figure.
- Existing loan statements showing balances, account numbers and any redraw.
- Discharge forms for the old lender, usually handled by the settlement agents.
- Details of any other facilities cross-secured with the same property — business overdrafts or guarantees linked to it.
That last point catches people out. Banks often secure several facilities against one property. Refinancing the property may mean paying out or restructuring those facilities too. Tell the specialist about every account you have with the existing lender so nothing is missed.
Can I refinance only part of what I owe?
Sometimes. If a bank is willing to keep a home loan but wants a business facility repaid, a second mortgage or caveat loan might clear the business facility while leaving the home loan in place. If the bank is exiting the whole relationship, a full first mortgage refinance is usually cleaner. A specialist can tell you which structure fits once they see the bank’s letter and your facilities.
See if a refinance solves it
If your existing property loan is part of the problem, a fast first mortgage may be the cleanest fix. Start a 60-second enquiry with the property details and your deadline.
There’s no credit check when you first enquire, and we won’t shop your details around a crowd of lenders — one specialist builds the plan and calls you back. Please be accurate about the existing loan, the property and the amount you need so we can line up the right refinance first time. See if you qualify.
Frequently asked questions
Why would I refinance in an emergency?
If your bank has called in a loan, reduced a facility or won't consent to a second mortgage, refinancing the whole property debt to a new lender can solve the deadline and release extra funds in one step.
Is a non-bank first mortgage permanent?
It can be, but many businesses use it as a bridge for a year or two while financials recover, then refinance back to a bank.
What property can be used?
Residential or commercial property, including the business's premises or the owners' home, for business-purpose lending.
How long does a refinance take?
With clean security and documents ready, property-secured loans up to $5m are possible within 24–48 hours. Discharging the existing lender can add time, so start early.