A second mortgage may be required when you obtain additional finance through a private lender. Generally, the initial contact with the department is from that private lender.
If the department's loan is secured by a mortgage to the Queensland Housing Commission or its successor, the State of Queensland through the Department of Housing and Public Works, the department will require:
- a Notice of Intention of the proposed loan and its purpose;
- a Privacy Act Authority signed by all the mortgagors;
- evidence of a current home insurance policy; and
- a signed copy of the proposed second mortgage.
If your application is approved
If the application to register a second mortgage is approved, the department will provide a General Consent form to be lodged with the mortgage documents.
In some cases, a lodgement in conjunction will be required to enable registration of the second mortgage at the Department of Environment and Resource Management, and a production fee will be payable.
If the department's loan is secured by a mortgage in the name of the Public Trustee of Queensland (now vested in the State of Queensland through the Department of Housing and Public Works as statutory successor in title), the department's consent is not required.
To find out more detailed information about additional mortgages, contact the department.