A 2nd mortgage is a type of financing that is popular among people looking for a lump sum of cash with a fixed interest rate. 2nd mortgage loans are worth considering when you are looking at a large one time expense such as a pool for the back yard, new cabinets for the kitchen or even a family summer vacation to the beach. If you're thinking about applying for a 2nd mortgage, it's important to understand some basic information about the loan process.