This paper presents a method for fast identification of coexistent loads and damages, in which the number of sensors is mainly decided by the number of unknown loads. The computational efficiency is improved by the Virtual Distortion Method (VDM), which allows the repeated estimation of system impulse response to be performed efficiently, and by a local interpolation of perturbations of the structural response with respect to damage parameters. The proposed methodology is verified by a numerical example of a multi-span frame.