Successful $3.5M Second Mortgage Deal Settled Fast

Semper has successfully settled a $3.5 million second mortgage term loan, enabling an experienced entrepreneur to unlock capital for a time-sensitive business opportunity. The deal is a strong example of Semper’s ability to move decisively, structure finance with flexibility, and work efficiently alongside multiple existing lenders.

In today’s lending environment, speed and confidence are critical — particularly for borrowers with complex needs or fast-moving commercial ventures. This transaction demonstrates Semper’s strength in delivering tailored, private credit solutions that align with both borrower urgency and investor confidence.

Deal Snapshot

Loan Amount: $3,500,000
First Mortgage Sums: $11,000,050
Loan-to-Value Ratio (LVR): 65%
Rate to Borrower: 16.95% p.a.
Fees: No line fees or monthly fees
Minimum Term: 6 months
Maximum Term: 12 months

Flexible Interest Structure

To help manage cash flow in the early stages of the project, the loan included a uniquely structured interest arrangement designed to support borrower flexibility and investor certainty:

• The borrower prepaid interest for the first six months, which was deducted directly from the loan proceeds at settlement.

• After this initial period, the borrower had the option to:

  • Extend the loan, switching to monthly interest payments; or

  • Exit early, if their anticipated liquidity event occurred as expected.

This structure balanced the needs of a cash-conscious borrower with the requirement for predictable returns for capital providers. It also offered optionality — a key consideration in a shifting economic environment where plans may evolve.

The Scenario: Capitalising on a Time-Sensitive Venture

The borrower, a seasoned entrepreneur, required urgent funding to support the capitalisation of a joint venture alongside several business partners. The venture was time-sensitive, and repayment of the loan was expected to coincide with a planned liquidity event projected to complete within 6 to 8 months.

The complexity of the security added another layer to the deal. The loan was backed by two separate properties, each encumbered by different first mortgage lenders:

• One with a well-regarded third-tier lender

• The other with a major Australian bank

Despite the dual-security setup, Semper was able to act quickly and decisively:

• An existing valuation on one property enabled immediate analysis and approval

• A second valuation was arranged and finalised within 48 hours, ensuring fast decision-making didn’t compromise diligence

This rapid yet thorough approach allowed the borrower to secure funding within a tight window, keeping their venture on track and giving their partners confidence in the execution.

Partner With Us

At Semper, we specialise in providing fast, flexible second mortgage and private lending solutions that work for borrowers and brokers alike. If you’re managing a time-sensitive scenario, navigating around existing mortgage arrangements, or require custom structuring, we can help.

We work closely with mortgage brokers, financial advisers, accountants, and direct borrowers to develop solutions that traditional lenders typically can’t accommodate.

Contact our team today to discuss how we can help support your next transaction — whether it’s a second mortgage, bridging loan, or a complex private credit requirement.