Caveat Loans

Secured and Quick Caveat Loans from Instant Business Finance

If you are a small business owner or a director of a company, it sometimes becomes quite tough to get access to business capital. When time is an essential factor, a business cannot go through the lengthy bank loan approval process. Sometimes the traditional banks also deny the applications due to trivial and irrational reasons.

But at Instant Business Finance, we understand the various difficulties business owners can encounter. That’s where our Caveat Loans become the perfect solution. Our relaxed lending criteria make getting urgent business funding as simple as ordering a pizza.  Caveat Loans are secured against real estate, and are therefore less reliant on other factors such as credit scores and financials.  We can also prepay the interest, which means you don’t have to pay any payments during the first 6 months of the loan term.

What exactly is a Caveat Loan?

A caveat loan is a short-term business loan which is secured against real estate by way of a caveat.  A caveat is a legal instrument that is like a mortgage, and it gets placed on the property title to register the debt on that title.  In many states of Australia, we have to secure our loan against real estate using a caveat, as it is substantially faster to do it that way than to try and register a mortgage.  Registering a mortgage in states such as Western Australia, South Australia, Tasmania, the Australian Capital Territory, and the Northern Territory can take several weeks.

Caveat Loans have shorter loan terms and much faster turnaround times. You only have to provide minimal documentation to qualify, as the process is supported by security over your property. Caveat loans are perfect for almost any business type, with funds used for different reasons, including:

  • Expanding your current business
  • Renovating or rebranding the business
  • Immediate cash flow for equipment or inventory purchase
  • Particularly helpful for companies in need of capital
  • Perfect for a seasonal established business requiring cash flow for non-peak times

How do fast caveat loans work?

A short-term caveat loan is secured business finance that uses your land or property as security for the funding. You can borrow from $20,000 to One million dollars, depending on the property value you offer as collateral. Instant Business Finance offers loan amounts up to 75% of your property value.

Caveat loans are similar to a second mortgage, as the lender will take a charge over the property to secure the loan. If a property is sold then the caveat finance is repaid when the property settles, and its the same of a property is refinanced.

We approve caveat loans in Australia within a few hours with funding in as little as 24 hours.  Our caveat loan terms are between 1 to 12 months. You can capitalise all costs of the caveat loan and repay when the loan expires. The caveat loan cost is primarily determined by the interest rate, loan amount and loan term. The borrower has to pay some additional fees for fast caveat loans in Australia, including application and legal charges, all of which can be added to the loan.  (not physically paid up front)

Advantages of caveat loans

Let us now have a quick look into the benefits of caveat loan offers to borrowers. They are as follows.

  • Rapid access to the funds

Instant Business Finance approves and funds caveat loans within one day. However, in emergencies, we also approve and fund the loan the same day.

  • Flexible funding amount

A person can usually apply for caveat finance amounts from $20,000 to One Million Dollars, based on the property value and available equity.

  • Low documentation

The borrower does not have to provide evidence of trading revenue and trading history for this loan type. We need only minimal documents for approval.

How to tell if a Caveat Loan is perfect for you?

Fast Caveat loans in Australia are one of the best options for business owners if they have a property to use as collateral. Thus, you can apply for the caveat loan if you meet the below criteria.

  • Have land or property to use as collateral against the funding
  • You require immediate funds for your businessand do not have the time to wait for traditional financial solutions
  • You have an exit strategy for repaying the loan on time

A caveat will be placed on the property and will remain until the loan is repaid in full. When there is a caveat on the property, the borrower cannot use it to gain further funding unless it is repaid. However, there are three ways through which a borrower can remove the caveat from the property. It includes:

  • The lender removes it once the loan is repaid and lodges it in the relevant registry
  • Refinancing the debt with another lender
  • Selling the property

Reasons to select Instant Business Finance for the fast caveat loans

The experts of Instant Business Finance can help almost any business owner with bad credit.  Bad Credit caveat loans as they are often known, are a valuable financial solution for business owners who have been through a rough patch.  Through some simple questions, we can examine your circumstances and offer the most appropriate solution within the required time. Below are some reasons that have made us a renowned lender for short-term caveat loans.

  • A borrower with commercial or residential property equity can get urgent caveat loans up to 75% LVR
  • Flexible funding amounts determined by equity
  • Dedicated financial specialists and streamlined application procedures make sure to provide the funds within 24 hours
  • No hidden charges

Do you want to apply for  a fast caveat loan? Do you know the exact amount you wish to borrow? Check with our experts for more information on fast caveat loans in Australia and turn your business dreams a reality.

Frequently Asked Questions

 

Loan amounts range from $20,000 to $5M and are determined by the available equity in your real estate asset.

A caveat loan can be funded in as little as 24 hours.

Yes, credit history is not relevant to our funding, however in some cases we may require any court judgments to be repaid from the loan proceeds.

Along with completing our online application, you will need to provide ID, rates notice and a current mortgage statement.

Any business owner with a registered ABN or ACN can apply for a business loan, provided the funds are being used for a business purpose and you have sufficient equity in real estate.