Caveat Loans. $10k to $1m
Loan Terms: 1 – 6 months
A caveat loan is a short term business loan that is secured over real estate with a caveat. Most caveat loans sit behind a current first mortgage, which makes it ideal for accessing the equity in your real estate without disturbing your current 1st mortgage.
What is a caveat? A caveat is a document that can be lodged on the government records of ownership (a Property Title) of the secured real estate. It acts like a 2nd Mortgage.
Our Caveat Loans (or Short Term Business Loans as they are also known) can settle in as little as 24 hours!
The benefits are…
• Fast 24 hour settlement
• Short terms of between 1 and 6 months
• No valuations required
• No Financials or Tax Returns required
• No Regular cashflow required
• Poor credit history and loan arrears are ok
• Perfect for business start ups
• All interest and costs are capitalised for the entire loan term
(meaning no upfront fees, & no interest payments during the loan term)
• 1 minute application process
More About Our Super Fast Caveat Loans
Caveat Loans must be used predominantly (more than 50%) for ANY business or investment purpose other than residential investment.*
*Companies and Trusts can borrow for any worthwhile purpose.
What do we look for when assessing a caveat loan?
The Purpose:
The loan purpose must be predominantly for any worthwhile business and or investment purpose other than personal residential investment.
Possible purposes are:
– Purchase a business
– Buy new plant or equipment
– Buy stock
– Pay tax or other work related expenses eg. wages, legal fees, advertising etc
– Business repairs and maintenance
– Working capital
– Council approvals/Head works
– Bridging the unexpected “gap”
– Fund a commercial or industrial property purchase whether the bank cannot settle in time.
– Fund a residential investment property purchase where the property is to be owned in a trust or company name
The Exit:
An Exit Strategy is how you intend to repay the caveat loan at the end of the loan term. As caveat loans are purely Short Term Business Loans and are usually only for a period of 1 to 6 months, and Exit Strategy is very important.
Possible exit strategies are:
– Refinance
– Sale of Asset/ Stock
– Working Capital
– Inheritance
– Outstanding work / Invoices
The Security:
All caveat loans require some type of real estate security.
Types of security are:
– House
– Unit / Apartment
– Flat / Duplex
– Vacant land
– Commercial Property
– In fact, almost ANY type of real estate, ANYWHERE in Australia.
Our unique caveat loan features:
– No application fees
– No financials
– No tax returns
– No credit checks
– No valuations
– No penalty for early payout
– Approval within minutes
– Same day funds availability