Establish accepted property value
Verify property type, postcode, title, marketability and lender-accepted value.
First mortgage finance · business purpose only
First mortgage business loans secured by Australian property.
A first-ranking mortgage may support eligible commercial funding where the purpose, accepted property value, existing debt, total cost and repayment exit form one credible structure.
Direct lending and facilitated optionsEvidence-led assessmentAustralia-wide enquiries
Start with the structure
A first mortgage is senior security—not automatic approval.
Visual first-mortgage pathway
Senior security can simplify the capital stack—but every condition still matters.
A first-ranking facility is structured from the property and purpose forward. Existing interests are addressed before the new lender advances net funds, and the repayment exit is documented before settlement.
Map and clear senior interests
Confirm existing mortgages, caveats, payouts, limits and settlement adjustments.
Document first-ranking security
The new lender’s mortgage position and conditions are established through legal due diligence.
Calculate net business funds
Deduct payouts, retained interest, fees, valuation, legal and other approved costs.
Execute the repayment exit
Service, refinance, sell or repay from verified business proceeds within the agreed term.
The complete facility: senior ranking + sufficient net funds + sustainable obligations + a credible exit.
Compare the security position
First mortgage vs second mortgage vs caveat finance.
The right structure depends on what is already registered, what must be repaid, the combined leverage and whether the proposed interest can be documented. A lower-ranking structure is not automatically faster or more suitable.
First mortgage business loan
Security positionThe new lender holds the senior registered mortgage after approved payouts are cleared.
Often considered whenExisting property debt can be refinanced or the property is unencumbered.
Main trade-offReplacing suitable senior debt and paying discharge or establishment costs may reduce the benefit.
Second mortgage business loan
Security positionThe new lender ranks behind an existing first mortgage, subject to documents, consent and priority.
Often considered whenA suitable first mortgage may be retained and sufficient usable equity remains.
Main trade-offCombined exposure, first-mortgage terms and subordinate risk can restrict leverage and increase cost.
Caveat finance
Security positionA caveat may protect a genuine legal interest where appropriate; it is not automatically mortgage security.
Often considered whenA short-duration business requirement and legally supportable interest can be clearly established.
Main trade-offAvailability and priority are case-specific and require solicitor review.
Start with the complete capital stack: accepted value, every existing payout, retained interest, fees and costs determine the usable funds and true combined LVR. The lender’s and borrower’s solicitors establish the legal security position.
Eligible commercial uses
Capital for a defined business or property outcome.
The predominant use of funds must be genuine, documented and compatible with the selected lender’s policy.
Commercial property
Acquire or refinance eligible commercial, industrial, mixed-use or selected investment property.
Business equity release
Access eligible property equity for working capital, expansion, acquisition or documented liabilities.
Debt refinance
Replace qualifying commercial debt where the new facility improves timing or creates a workable exit.
Development and bridging
Support a time-bound project, settlement or transition to a verified longer-term facility.
Indicative product matrix
First-mortgage business-loan pathways at a glance.
These published parameters are an assessment guide, not an offer. The complete transaction determines the available amount, price, term, conditions and net funds.
Up to 90% LVR*Selected qualifying scenarios only—not a standard maximum.
3–24 months*Indicative short-term policy range, matched to a credible repayment exit.
| Finance pathway | Eligible commercial purpose | LVR and structure focus | Term and repayment exit | Property, postcode and evidence |
|---|---|---|---|---|
| Commercial property acquisition | Purchase eligible commercial, industrial, mixed-use or selected investment property for a genuine business purpose. | Deposit, accepted value, acquisition costs and total first-ranking debt assessed together. | Matched to serviceability, refinance, sale or another evidenced commercial take-out. | Australian metro and established regional property preferred; contract, valuation, entity and contribution evidence required. |
| Business equity release | Working capital, expansion, acquisition, stock, equipment or documented business liabilities. | Net usable equity after payouts, retained interest, fees and other approved deductions—not headline property value alone. | Repayment may rely on business cash flow, refinance, asset sale or property sale, subject to evidence. | Property type, location, liquidity, title and borrower authority affect lender appetite. |
| Commercial debt refinance | Replace qualifying bank, non-bank or private commercial debt with a workable first-mortgage structure. | Current payout, arrears, enforcement position, total costs and post-refinance leverage reviewed. | Term must allow the documented stabilisation, refinance or sale strategy plus realistic contingency. | Current statements, formal payout, default notices, valuation and exit evidence commonly requested. |
| Settlement or bridging requirement | Fund an eligible time-critical commercial settlement or a defined purchase-to-sale timing gap. | Conservative leverage is assessed against the deadline, existing debt, costs and approved interest treatment. | Short term and exit-led; settlement timing is never guaranteed before conditions are cleared. | Contract, settlement statement, solicitor details, security and immediate repayment evidence are central. |
| Development-related first mortgage | Eligible acquisition, holding, approved works, completion or development-exit requirements. | Current value, senior debt, cost to complete, contingency and completed-value assumptions may all be tested. | Structured around verified project, certification, sale or refinance milestones. | Metro, growth-corridor and established regional projects considered; approvals, QS data, experience and exit required. |
*Important: The published policy ceiling and term range apply only to selected scenarios. Eligibility, amount, LVR, accepted value, security, postcode appetite, ranking, interest treatment, pricing, fees, term, timing and approval remain subject to lender criteria, valuation, verification, legal due diligence, documentation and cleared conditions. See the Business-Purpose Lending Policy. Basic Finance may lend directly or facilitate an appropriate lender.
ILLUSTRATIVE FUNDING SCHEDULE
A $1 million facility is not $1 million of new business cash.
Illustrative arithmetic only—not a client case, quote, available product or indication of approval. Assume the hypothetical facility includes the following deductions:
Gross facility$1,000,000
Less existing mortgage payout− $650,000
Less assumed funded or retained interest and costs− $50,000
Remaining funds for the stated business use$300,000
The $50,000 is a hypothetical combined deduction, not a fee or rate quotation. Actual interest treatment, fees and costs vary. Check for costs payable outside the facility, further deductions or reserves, and outstanding drawdown conditions before relying on the remaining amount.
The gross loan still needs repayment under its agreed terms; the $300,000 is not a measure of total debt. Ask for the complete funding schedule, total repayment obligations and a plan for delays before committing.
Review the people, costs and document-sharing questions →Assessment framework
Value. Priority. Purpose. Capacity. Exit.
- Borrower entity and genuine business-purpose evidence
- Property type, location, title and accepted value
- Existing secured debt, payouts and proposed first ranking
- Requested amount, net usable funds and complete LVR
- Interest treatment, fees, default provisions and total cost
- Primary repayment exit with timing and documentary support
A lender-ready processStep 01 Step 02 Step 03 Step 04
Four disciplined steps from scenario to settlement.
Triage
Confirm purpose, amount, deadline, borrower, property, debt and repayment source.
Evidence map
Identify valuation, title, financial, use-of-funds and exit evidence required.
Structure
Compare direct and facilitated options across net funds, price, term, conditions and risk.
Conditions
Coordinate lender approval, valuation, legal documents, payouts and settlement requirements.
Prepare once
Documents commonly requested.
- Borrower and entity details
- Business-purpose evidence
- Property title and rates notice
- Current valuation or market evidence
- Existing loan statements and payouts
- Financials, BAS or bank statements
- Use-of-funds schedule
- Repayment and contingency evidence
A direct point of contact
Aaron Sterenzon
Director, Basic Finance Loans
Bring the complete scenario: purpose, required amount, timing, property, existing debt and proposed exit. Aaron will identify the evidence required and whether a direct or facilitated first-mortgage pathway is worth assessing.
Frequently asked questions
First mortgage business loans FAQs.
What is a first mortgage business loan?
It is business-purpose finance secured by a first registered mortgage over eligible property. The first-ranking lender has priority over later secured interests, subject to applicable law and the loan documents.
Can Basic Finance lend directly or facilitate another lender?
Both pathways may be considered. The appropriate route depends on the transaction, security, amount, location, timing, risk, documentation and repayment strategy.
Do you guarantee the lowest interest rate?
No. Where we facilitate, we seek competitive terms from suitable options for the verified scenario. No lender, rate, term, LVR, approval or settlement timeframe is guaranteed.
Can a residential property secure a business-purpose loan?
Potentially, where the true predominant use is eligible business or commercial activity and the property, borrower, loan structure and legal requirements satisfy lender policy. We do not provide consumer home loans.
How much can I borrow?
The available amount depends on accepted value, property type and location, existing debt, first ranking, interest and fees, borrower capacity, requested term and the strength of the repayment exit.
How quickly can settlement occur?
Timing depends on a complete file, valuation, title and identity checks, credit approval, legal documents, payout figures and all conditions being cleared. No settlement timeframe is guaranteed.
Personal or owner-occupied enquiry?
Basic Finance directly assists with eligible business-purpose and corporate-borrower investment finance. For regulated consumer credit, we may—with your consent—introduce you to a separate appropriately licensed or otherwise authorised provider for its own assessment. Basic Finance does not provide, recommend or assess regulated consumer credit. No approval is implied, and any referral benefit will be disclosed before your contact details are shared.
Enquire about a referral pathwayDiscuss the complete position
Purpose. Amount. Property. Debt. Deadline. Exit.
Share those facts so we can identify the information required for a meaningful first-mortgage business-loan assessment.
General information only. Business-purpose finance only. This page is not financial, legal, tax or accounting advice, an offer of credit or an approval. Eligibility, security, accepted value, LVR, amount, ranking, pricing, term, fees, timing and approval remain subject to lender criteria, verification, valuation, legal due diligence, documentation and cleared conditions. Property may be at risk if obligations are not met.