Second Charge Mortgages
Additional finance option for homeowners
Second charge mortgages (or secured loans) are secured against your existing property and allow you to use your equity to raise finance. It can be a loan of anything from £20,000 upwards, depending on your income and the amount of equity you have in your properties.
From £20,000
Equity-secured finance
Free consultation
Ask about a second charge mortgage
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What it is
Secured against your existing property
Second charge mortgages (or secured loans) are secured against your existing property and allow you to use your equity to raise finance. It can be a loan of anything from £20,000 upwards, depending on your income and the amount of equity you have in your properties.
01
From £20,000
Loan amounts from £20,000 upwards, subject to income and available equity.
02
Equity-secured
Finance is secured against your existing property, using the equity you have built up.
03
FCA-regulated
An FCA-regulated product with the same paperwork, contract and process as a first-charge mortgage.
Capital raising
A regulated product with familiar process
A second charge mortgage is an FCA-regulated product with the same paperwork, contract and process as a first-charge mortgage.
There are a wide range of acceptable reasons for capital raising via a second charge mortgage including for business purposes, debt consolidation, tax bills, weddings, school fees and property purchase.
Is it right for you?
Why consider a second charge mortgage?
Capital raise
To capital raise from existing residential or buy to let properties
Keep your rate
In order to keep a competitive rate on your first charge mortgage which would be lost if you remortgaged
Interest Only first charge
To keep your existing first charge mortgage as an Interest Only mortgage
Avoid ERCs
To avoid high Early Repayment Charges on a current mortgage
Credit status changed
If your credit status has changed
Funds needed quickly
When funds are needed quickly
Declined remortgage
Maybe a remortgage or further advance has been declined
Unsecured debt
If you are stuck in debt management or you have a large amount of unsecured debt in the background
Income changes
You have had changes to your income/employment or if COVID has affected your self-employed income over the past few years
Business or tax
You want to raise funds for business use or repay a tax bill
Affordability
You are looking for a higher income multiple, are failing on affordability or are wanting to use projected income if self-employed
It’s important to think carefully before securing other debts against your home, so we recommend a free consultation with our second-charge team to find out whether this could be the right option for you.
Next step
Speak to our second-charge team
It’s important to think carefully before securing other debts against your home. Book a free consultation to find out whether this could be the right option for you.
Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.
Think carefully before securing other debts against your home.