Need cash from your home, but don’t want to break your mortgage—or your bank already said no? A second mortgage can unlock equity for debt consolidation, renovations, business cash flow or bridging. The catch: offers vary widely on rate, fees, speed and how you qualify. Some lenders care mostly about your credit and income; others focus on equity and combined loan‑to‑value. Terms can be fixed or variable, open or closed, and costs can include lender, broker, legal and appraisal fees. Choosing well can save thousands; choosing poorly can put your home at risk.
To help you compare real options for 2025, we’ve shortlisted six of the best second‑mortgage providers available to Canadians, from equity‑based private lenders to big‑bank HELOCs and brokered solutions. For each, you’ll see what they offer, who they’re best for, typical rates, fees and terms, plus how to apply—so you can match the product to your situation and move forward with confidence. Rates and terms can change—confirm before you apply. Let’s get straight to the lenders.
1. MyPrivateLender.com (Private Lender Inc.) — equity-based second mortgages across Canada
When the bank says no or a refinance would trigger painful penalties, MyPrivateLender.com leans on your home equity to move your deal forward. As a direct private lender with 20+ years’ experience, they prioritise collateral over credit and income, funding second mortgages nationwide with speed and flexibility.
What they offer
MyPrivateLender.com specialises in equity‑based second mortgages for Canadian homeowners who need fast access to funds without jumping through traditional hoops. Because decisions centre on available equity, they can tailor payments (including pre‑paying from the loan at closing) and structure short‑term solutions that bridge you to a refinance or sale.
- Equity‑first underwriting: Qualification focused on your property and combined loan‑to‑value, not credit scores or T4s.
- Flexible payment structures: Interest‑only and the option to capitalise payments from proceeds.
- Fast decisions and funding: Streamlined documents and clear guidelines to close quickly.
- Direct lender + broker friendly: Works with homeowners and mortgage brokers across Canada.
- Transparent process: Straightforward terms with scenario‑based guidance.
Who it’s best for
Ideal if you’ve been declined by a bank, can’t access a HELOC, or you’re self‑employed with fluctuating income. It also fits borrowers consolidating high‑interest debt, tackling renovations, covering tax arrears, or needing a short‑term bridge—especially when keeping a low‑rate first mortgage intact matters.
Rates, fees and terms
Private second mortgages typically carry higher rates and added admin fees than first mortgages due to lender risk (consistent with federal consumer guidance). In practice, second mortgages are often short‑term and structured for cash‑flow relief until you can refinance or sell.
- Term: Commonly 1–2 years, with open or closed options.
- Payments: Interest‑only available; payments can be pre‑paid from proceeds.
- Costs: Expect lender/broker fees, legal, appraisal and title insurance.
- Leverage: Approvals align with market norms for combined LTV, subject to property, location and equity.
How to apply
Start with an equity assessment and a quick scenario review—no credit or income thresholds required. Have your property address, estimated value, current mortgage statement, ID and property tax details ready.
- Share your scenario: Equity, purpose of funds, and payout needs.
- Provide documents: Basic property and mortgage details; appraisal arranged if needed.
- Review terms: Transparent offer outlining rate, fees, payments and exit plan.
- Close and fund: Legal signing and fast funding, with the option to pre‑pay interest at closing.
2. TD Canada Trust — HELOC and second‑priority financing
If you prefer a major‑bank experience for second‑priority borrowing, TD Canada Trust is a familiar name among second mortgage lenders. Rather than a traditional second mortgage, TD typically uses a Home Equity Line of Credit (HELOC) in second position, giving you structured access to equity without touching your first mortgage.
What they offer
TD frames second‑priority financing around its Home Equity FlexLine, plus alternatives like refinancing or a new mortgage for a second property. The focus is on using built‑up equity to meet larger funding needs with bank‑style underwriting and service.
- HELOC in second position: Additional financing behind your first mortgage; may be available up to 80% of home value.
- Refinance option: Renegotiate your existing mortgage to access equity instead of adding a second charge.
- Second‑property mortgage: Financing for cottages, rentals or a vacation home (separate mortgage).
Who it’s best for
Best if you qualify with conventional documentation and want ongoing access to funds from a recognised bank, or you’re purchasing a second home and comfortable with the required down payment.
- Bank‑quality borrowers: Strong credit, verifiable income, standard debt ratios.
- Planners and renovators: Prefer revolving access to equity for staged projects.
- Second‑home buyers: Need a mainstream lender for a cottage or investment property.
Rates, fees and terms
A HELOC generally carries a floating variable rate, and TD caps borrowing by equity and existing balances. Expect standard closing costs where applicable.
- Borrowing limit: May be up to 80% of appraised value; example: on $500,000, 80% is $400,000—if $300,000 remains on your first mortgage, you may access about $100,000.
- Rule of thumb:
Max HELOC = (0.80 × Appraised Value) − Mortgage Balance - Second property: Typically at least 20% down (less if immediate family occupies).
- Costs: Valuation, legal and registration fees may apply.
How to apply
Speak with a TD Mortgage Specialist to review eligibility and structure, or book a branch appointment. Bring recent mortgage statements, property tax details, ID and income documents.
- Discuss goals and equity: Outline purpose, amount and timing.
- Pre‑assessment: TD reviews credit, income and property.
- Appraisal and approval: TD confirms value and issues terms.
- Legal closing: Sign, register, and access funds via the HELOC or new mortgage.
3. Alpine Credits — fast home‑equity loans with flexible income documentation
Alpine Credits positions itself as a home‑equity lender for Canadians seeking second mortgages secured against their property. Rather than focusing solely on traditional underwriting, the emphasis is on the equity in your home to help unlock funds for renovations, debt consolidation, tuition or business needs. As with most second mortgage lenders, approvals and pricing reflect the added risk of a second‑priority charge.
What they offer
Alpine Credits offers second mortgages (home‑equity loans) registered behind your first mortgage, allowing you to access funds without breaking your existing term. The product can suit borrowers who want a clear lump sum and predictable repayment schedule.
- Equity‑secured second mortgages: Funding based on available home equity.
- Use‑of‑funds flexibility: Consolidate higher‑interest debts, complete improvements or cover tax arrears.
- Keep your first mortgage: Add financing in second position instead of refinancing.
Who it’s best for
Best for homeowners with meaningful equity who prefer an equity‑first view over bank‑style qualifying, and who need a straightforward second‑charge solution to manage near‑term cash needs.
- Credit‑bruised or self‑employed borrowers: When traditional income documentation is challenging.
- Debt consolidators and renovators: Seeking to replace higher‑interest credit or fund projects.
- Those avoiding refinance penalties: Preserve a favourable first‑mortgage rate.
Rates, fees and terms
Expect higher rates and added admin fees versus a first mortgage because second charges are riskier for lenders (as noted by federal consumer guidance). Overall cost depends on equity, property, and file strength.
- Pricing: Second‑mortgage rates are usually higher than primary mortgages.
- Fees: Lender/broker fees, legal, appraisal and title registration typically apply.
- Terms: Options vary; confirm fixed/variable and prepayment features before signing.
How to apply
Start with an equity and purpose‑of‑funds review, then complete standard property and identity checks.
- Outline your scenario: Equity, amount requested, and intended use.
- Provide documents: ID, recent mortgage statement, property tax details; appraisal arranged if required.
- Receive an offer: Review rate, fees, repayment and conditions.
- Close with a solicitor: Register the second mortgage and fund.
4. Home Trust — alternative second mortgages for credit‑challenged borrowers
When mainstream banks won’t approve a second charge, Home Trust is a recognised alternative lender that can step in with common‑sense underwriting. They’re frequently named among active second mortgage lenders in Ontario and across Canada, offering options to homeowners who need to tap equity for consolidation, renovations or cash‑flow gaps when credit or income isn’t picture‑perfect.
What they offer
Home Trust provides second mortgages registered behind your existing first mortgage, so you can access equity without breaking your current term. Underwriting looks at your overall profile and property equity, with more flexibility than big‑bank rules.
- Equity‑secured second mortgages: Access funds while keeping your first mortgage intact.
- Alternative underwriting: Considers broader credit history and non‑traditional income sources.
- Purpose‑flexible funds: Debt consolidation, home improvements, tax arrears, or short‑term bridge needs.
Who it’s best for
A fit for borrowers who need a reputable non‑bank option and a pragmatic review of their file rather than a strict tick‑box approach.
- Credit‑bruised applicants: Prior late payments, proposals or thin files.
- Self‑employed/variable income: Where traditional income proof is tricky.
- Penalty‑averse owners: Want equity access without refinancing the first mortgage.
Rates, fees and terms
As federal guidance and industry sources note, second mortgages generally carry higher rates and added admin fees versus first mortgages due to lender risk. With alternative lenders, pricing and limits depend on equity, property and file strength.
- Terms: Often short‑to‑medium (many market second mortgages run 1–2 years).
- Costs: Expect lender/broker fees, legal, appraisal and registration.
- Payments and prepayment: Vary by product—confirm features and any penalties up front.
How to apply
Most applicants work through a licensed mortgage broker who packages the file for Home Trust, though you can begin by gathering key details.
- Outline your scenario: Amount, purpose and current mortgage details.
- Provide documents: ID, recent mortgage statement, property taxes; income proof where available.
- Appraisal and review: Property value confirmed; conditions issued.
- Legal close and funding: Register the second mortgage and receive funds.
5. CMI (Canadian Mortgages Inc.) — private second mortgage marketplace
Among private second mortgage lenders, CMI is often cited as an active option for arranging second‑charge financing through private channels. In practice, borrowers usually access CMI via licensed brokers who can shop files to investor capital, aiming for fast approvals when banks won’t help.
What they offer
CMI provides access to private second mortgages secured behind your first mortgage, with flexible use of funds for debt consolidation, renovations, tuition, tax arrears or short‑term cash‑flow gaps. Underwriting emphasises equity and property strength over traditional “tick‑box” scoring.
- Equity‑based decisions: Focus on combined loan‑to‑value (CLTV) and property.
- Short‑term solutions: Often structured to bridge to a refinance or sale.
- Flexible repayment: Interest‑only options are common in private deals.
- Broker‑driven access: Files are packaged and negotiated by licensed brokers.
Who it’s best for
A strong fit if you need speed and flexibility over bank‑style underwriting—especially if you’re self‑employed, rebuilding credit, or trying to keep a low‑rate first mortgage intact while accessing extra funds.
- Credit‑bruised or thin‑file borrowers
- Self‑employed/variable income earners
- Debt consolidators and renovators needing quick funding
Rates, fees and terms
Private second mortgages generally cost more than first mortgages due to higher lender risk. Market guidance suggests many private lenders allow CLTV in the ~80–85% range, subject to property and file strength.
- Typical term: 1–2 years; often interest‑only.
- Costs: Lender/broker fees, appraisal, legal and registration.
- Rule of thumb:
Potential 2nd = (Max CLTV × Value) − 1st Mortgage Balance − Other Charges
How to apply
Most borrowers work through a mortgage broker who knows private channels and can position your file.
- Share your scenario: Amount, purpose, property details and equity.
- Provide documents: ID, mortgage statement, property tax; appraisal arranged if needed.
- Review the offer: Rate, fees, payments and exit plan (refinance/sale).
- Legal close and funding: Register the second charge and receive funds.
6. True North Mortgage — broker access to second and third mortgages nationwide
If your bank won’t add a second charge, True North Mortgage can broker solutions by working with your existing lender or placing a new second (or even third) mortgage behind your first. They take a personalised approach, handle complex files, and often charge fewer fees than some alternative or private options.
What they offer
True North arranges separate second or third mortgages secured by your home, so you can leave your first mortgage and rate intact. They can also compare refinancing and HELOC routes, then structure a plan that lines up with your goals and renewal dates.
- Second and third mortgages: Separate loan, own rate and term, behind your first charge.
- Flexibility on lender choice: Your current lender or another willing to sit in second position.
- Fixed‑rate predictability: Avoid HELOC rate volatility with set payments and term certainty.
- Complex file expertise: Collateral charges, tax arrears, non‑standard income, and timing to refinance.
Who it’s best for
Best for homeowners who need extra funds but want to keep a low first‑mortgage rate, or whose bank won’t permit a second charge.
- Credit‑bruised or self‑employed borrowers
- Debt consolidators, renovators, tax arrears
- Those needing a third mortgage with limited lender options
Rates, fees and terms
Second/third mortgages are higher‑risk for lenders, so expect higher rates and added admin fees than a first mortgage. Strength of equity, CLTV, credit and purpose all affect pricing.
- Typical shape: 1–2‑year terms; fixed rates common; interest‑only options may be available.
- Costs: Lender/broker fees, legal, appraisal and title/registration.
- Planning: Many clients refinance at renewal into one mortgage and one payment.
How to apply
Speak with a True North broker, outline your goals and equity, and they’ll source a fit among second mortgage lenders and mainstream options.
- Discovery call: Amount, purpose, property and existing mortgage.
- Document review: ID, mortgage statement, property taxes; income/credit where applicable.
- Valuation and terms: Appraisal arranged; clear offer with rate, fees and exit plan.
- Legal close: Register the second/third mortgage and fund swiftly.
The bottom line
Second‑mortgage success comes from fit, not hype. If you qualify cleanly and want revolving access, a bank HELOC can work. If you need flexibility, speed or credit‑forgiveness, alternative or private options—via a specialist lender or a broker—can bridge you to a refinance or sale. Always price the whole deal (rate + fees + legal + appraisal), confirm combined LTV, choose fixed vs variable consciously, and document your exit plan before you sign.
Ready to unlock equity without bank hurdles? If you’ve got sufficient home equity, start with MyPrivateLender.com for a transparent, equity‑based second mortgage nationwide—flexible payments, clear terms, and fast funding.