Second Mortgage

What is a second mortgage?

Second Mortgage Definition: A second mortgage is when a second loan on another property is taken out while the primary, or first mortgage, is still in effect. When a second mortgage goes into default, the original mortgage is used as collateral that can be liquidated if the second mortgage needs to be paid off.

The second mortgage would receive payments only once the first mortgage is paid off, which means the interest rate for the second amount borrowed is higher than the first mortgage rate. To better understand how this process works, many homeowners considering a second mortgage may use a mortgage calculator to budget.

Jul 30 - Comparewise Mortgage Banner

Other mortgage terms:

Mortgage Help Centre:

How to Get a Shared Equity Mortgage
How to Save for a Mortgage Down Payment
How to Get a Joint Mortgage
How to Use a Mortgage Calculator
Equitable Bank
Credit Verify
Consolidated Credit Canada
Walnut Insurance
National Bank Syncro Mastercard
Capital One Guaranteed Secured Mastercard
CIBC Dividend Visa Infinite Card
PC Financial World Elite Mastercard


Didn’t find the information you were looking for?

Send us your questions and we will get back to you.

Car loan?
Personal Loan?

Top deals await you just a short
application away!