Prime 2nd Mortgage Second mortgage behind a bank first
A second mortgage from a private lender, behind an institutional or conventional first, for equity takeout, debt consolidation, arrears or a short-dated cash need. Prime 2nd is the sharpest second-charge pricing Lendmax offers, available where the property sits in a market of 50,000 or more. Second mortgage rates are quoted per file, within two hours of a complete submission.
A second that clears high-rate consumer debt and lowers the household's monthly obligation is a defensible file. One that simply adds a payment is not, and we will tell you that before your client signs.
Arrears and CRA debt
Property tax arrears, mortgage arrears and CRA balances are workable where there is equity and an exit. They are underwriting facts, not automatic declines.
Speed as the whole point
Second mortgages fund in up to two business days once instructed. If the deadline is the reason the file exists, say so in the submission.
Private second mortgages — common questions
Do I have to pay fees again if the second mortgage is renewed?
Renewals are quoted on the terms available at maturity. We do not re-run a full origination fee structure on a mortgage that has performed — the renewal cost is disclosed in writing before the borrower commits, and your client should never be surprised by it. Ask the desk for the renewal terms on any file before your borrower signs the original commitment.
How high can a second mortgage go?
The ceiling is set by combined loan-to-value across the first and the second together, and it moves with location, credit band and property type. Ontario carries the highest ceilings; British Columbia and Alberta are tighter; condominiums are reduced with a two-bedroom minimum. The Pricing Calculator returns the ceiling that applies to a specific profile.
What if the first mortgage is with a private lender?
Then the file is Flex, not Prime. Flex 2nd is built exactly for that, and it also carries the highest ceilings in the suite.
Is bad credit a decline?
No. Credit sets the band and the price. Below the 600 band a file moves into the Flex family rather than being declined, and files with no established score are underwritten on equity and exit.
Do you fund second mortgages in BC and Alberta, or only Ontario?
All three. Prime 2nd is written in centres of 50,000 or more across Ontario, British Columbia and Alberta — Vancouver, Surrey, Calgary and Edmonton on the same terms as the GTA. Smaller centres and rural property go under Flex 2nd.
Can a private second mortgage clear mortgage arrears or a CRA balance?
Yes, and it is one of the most common uses. The second is sized to bring the first current or clear the tax debt, the file is written to a refinance once the arrears are behind you, and the bank refinance at maturity is the exit.
