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Second Mortgages

Get fast second mortgage rates online and apply for your chosen product!

 
 
 
 

Want a loan to consolidate debts, fund home improvements or make a large purchase?

A second mortgage could be the ideal option. 

Check rates online, then our team will help find the best deal available for your needs.

Loans are secured - your home may be repossessed if you do not keep up repayments.

Rates from 3.95% (fixed for 5 years)Representative APRC 6.3%

Representative Example: Based on borrowing £30,990 over 16 years with 60 monthly repayments of £218.00 followed by 132 monthly payments of £233.64. Annual Interest Rate 3.95% fixed for 5 years, then variable. Representative APRC 6.3%, total amount repayable £42,600.59. Includes a broker fee of £2,995, and lender fee of £995.

Quick, efficient service from a great team

  • Solutions from £3k to £500k
  • All credit profiles considered
  • Rated 4.9 stars on Feefo
  • No surprises or hidden fees
  • 30+ years experience helping customers like you
  • Help with any legal purpose
  • Check rates with no impact on your credit score
Second Mortgages
Representative Example: Based on borrowing £30,990 over 16 years with 60 monthly repayments of £218.00 followed by 132 monthly payments of £233.64. Annual Interest Rate 3.95% fixed for 5 years, then variable. Representative APRC 6.3%, total amount repayable £42,600.59. Includes a broker fee of £2,995, and lender fee of £995.
Loans are secured against property - Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.
We are a loan broker Authorised and Regulated by the Financial Conduct Authority.
second mortgages with tools in the shape of a house

What is a second mortgage?

 
 
 
 

A second mortgage (or "second charge mortgage") is a type of loan that is taken out in addition to your current mortgage. The loan is secured against a property you own.

Using a property as security can reduce the financial risk to lenders, meaning that they may be more relaxed about who they lend money to.

As a result of this, you may find that you have a better chance of getting approved, may be able to borrow a larger amount, and you may qualify for a lower interest rate, compared to other unsecured funding options.

These types of loans can help with any legal purpose including: consolidating debt, funding home improvement projects, raising funds for a deposit to purchase a second property and many more.

However, unlike unsecured loans it is important to remember that second mortgages are secured against your property, your home is at risk should you fail to keep up repayments. If you are thinking of consolidating existing borrowing you should be aware that you may be extending the terms of the debt and increasing the total amount you repay.

So, whatever you need a loan for, we may be able to help. We specialise in providing fast, flexible second mortgages from a diverse range of lenders nationwide.

Our loans range from £3,000 up to £500,000, with rates starting from as low as 3.95%. There are fixed and variable interest options available and products with no early repayment charges, so you can find a solution that suits your plans.

house cut out to show what a second mortgage is

Is a second mortgage a good idea?

 
 
 
 

It depends on your personal situation and what you need to borrow the money for.

Common reasons for choosing a second charge mortgage include:

  • Re-mortgage rates are too expensive - When raising additional finance some people may choose to 're-mortgage' to a new first mortgage provider at the same time. However, if interest rates offered by the new first mortgage provider are higher than that of their existing mortgage, it may increase the overall cost of borrowing. Arranging a second mortgage for just the additional borrowing will enable you to leave your existing mortgage in place and can work out to be the lower cost option.
  • Avoid early repayment charges – Some lenders charge early repayment fees if you want to re-pay a loan earlier than agreed. These charges may also be incurred if you are wanting to re-mortgage your property to raise the additional funds. Arranging a second mortgage for just the additional borrowing will enable you to leave your existing mortgage in place and avoid paying any early repayment fees on your first mortgage.
  • If you are unable to get unsecured funding – The criteria for unsecured borrowing is typically stricter, as an asset has not been used as security and so the financial risk to lenders is greater. For this reason, you may find it harder to qualify for an unsecured loan, or obtain the best unsecured loan rates, particularly if you have any complex circumstances or bad credit. Second mortgage lenders are usually more flexible and are typically able to help where unsecured lenders and high street banks cannot.
  • Borrowing money to fund large projects – With a second mortgages you are able to borrow from £3,000 up to £500,000, therefore, if you have a large project that you want to undertake, then a second charge may be the best solution available to you.
  • You need a long repayment term – Repayment terms for this type of loan are available from 3 to 30 years. This means that you can spread your repayments out and have a bit more flexibility. If having a longer repayment term is important to you and your needs, then getting a second mortgage may be an appropriate option.
checklist for getting a second charge mortgage

How do you apply for a second charge mortgage?

 
 
 
 

We know that taking out a loan can feel like a big task, so we have tried to make our process as smooth and simple for you as possible.

To make the process easy we have outlined some key steps you will need to take to successfully apply. These are:

  1. To start the process, you need to decide how much money you would need to cover your plans.
  2. Next, think about how long you would like to spread your repayments out by.
  3. Following this, you can either call our experts on 0800 032 4646 or use our quick calculator above to make an enquiry.
  4. Using our panel of specialist lenders, we will then look through over 600 products to find you the right loan for your circumstances.
  5. At this stage, our team will contact you to talk through your loan and allow you to decide if it meets your requirements.
  6. If the loan is right for you, then our team will take your application through to the final steps of the process before you get your funds and undertake your plans.

Our experts always want to help you find the right type of funding you need to achieve your goals, so you can be assured we will always recommend the best solution available for your specific circumstances.

credit cards for qualifying for a second mortgage

How much can I borrow on a second mortgage?

 
 
 
 

The amount of money you can borrow depends on your circumstances. Factors which are taken into consideration include: your credit profile, the level of equity in your property and your income.

These factors are considered to ensure that we find you an affordable loan, which ticks all of your requirements.

Our advisors are skilled in assessing affordability, and they will always go through this process with you, so you understand how the product meets your needs.

We have loans available ranging from £3,000 up to £500,000, and so we have access to products which are suitable for most situations.

keys with red house attached displaying second mortgages

What are the borrowing terms on a second charge mortgage?

 
 
 
 

Terms on this type of loan vary between different lenders. However, typically they have longer terms available, compared to unsecured borrowing options. This may allow you to have some flexibility over your repayments.

Our team have access to a wide range of lenders and products, with terms ranging from 3 to 30 years. So, it is highly likely that we have a product available that has a suitable monthly repayment option and term for you.

beige percent sign to show rates for second mortgages

Rates for second mortgages

 
 
 
 

The interest rate that you will be able to get will depend on the amount of money that you want to borrow, the repayment term, and a number of other factors such as your credit history and how much finance you can afford to repay.

As a second charge mortgage broker, we deal with many different lenders. This means we can provide second mortgage rates starting from 3.95%, with both fixed and variable options available.

Our main goal is to get you a competitive interest rate for your circumstances, and so we will do everything we can to ensure we achieve this.

yellow house with equity sign for second mortgage borrowing amount

Does the amount of equity affect a second charge mortgage?

 
 
 
 

Yes, it does. Lenders will look at the amount of equity in your home when deciding how much they can lend to you. Equity is the difference between what you owe on your mortgage and the current value of your property.

In general, the more equity you have in the property, the more you will be able to borrow, and on lower interest rates.

wooden house for second mortgage

Can I get a second mortgage?

 
 
 
 

As long as you own a property, you may be able to get a second mortgage. The main qualifying factor for this type of loan is that you own a home, as they are secured against a property.

We can help you look for a 2nd mortgage and will do our very best to help you secure the right loan for your requirements.

compare second charge rates

How do I compare rates?

 
 
 
 

For a free, no obligation quote you can:

Call us on FREE on 0800 032 4646 or compare products online now.

Don't forget – making an enquiry will not affect your credit rating in any way!

Frequently Asked Questions - Second Mortgages

 
 
 
 

What is the interest rate on a second mortgage?

The interest rate you are eligible for will ultimately depend on your personal circumstances, including factors like your credit profile, how much income you have and the level of equity in your property.

Interest rates can be fixed, variable or tracker. You may be able to get a lower interest rate compared to other borrowing options, because you have used your property as security.

What can it be used for?

Your loan can be used for virtually any purpose, so long as it is legal.

Many people choose to use these loans to consolidate their debts, in order to reduce their monthly outgoings.

Another common use of these loans is to raise funds for home improvement projects, or another big purchase such as buying a property.

What information is needed?

You will need to speak with one of our mortgage advisors. If we can help and you are interested in the loan we recommend you’ll need to sign and return some forms along with evidence to support you application such as proof of your income.

All of our lenders have different criteria and processes, so other information may be needed at a later date, but our advisors will talk this through with you.

How long can a second mortgage be taken out for?

These loans allow you to borrow a large amount of money over a long repayment term.

We have flexible terms available from 3 to 30 years. This gives you the chance to have a repayment period which suits your plans.

Can I get a second charge mortgage with bad credit?

Even if you have a bad credit history there may still be options available to you. Using a property you own as security reduces the financial risk to lenders and means they can be more flexible with their qualifying criteria.

However, as with any type of finance, if you have bad credit your lender choices may be more limited and you may be charged a higher interest rate.

Is it possible to repay a second charge early?

It is possible to repay your loan early.

We have many products available, with and without early repayment charges. This means that if you do want to repay your loan early we should be able to find you a product which allows you to do this without charge. If you think you could be in a position where you could repay early, speak to our team and they will be able to advise you further.

Is a secured loan a second charge?

Yes, they are the same thing, a loan secured against property.

Is a further advance the same as a second charge?

A further advance is normally extra borrowing from your existing mortgage provider.

Whereas, a second charge is a loan from another lender which does not involve your existing mortgage provider.

How do second mortgages work?

These loans work in a similar way to other finance options, where you take out a certain amount of money and will repay it over a specified time frame. Each month you will have to make repayments which will include any interest charges you may have incurred.

The main difference with these solutions is that you are borrowing against your house. Consequently, if you do not make your agreed monthly repayments, then your lender could repossess your property.

How hard is it to get a second charge mortgage?

Getting this borrowing option can be quite simple. The main qualifying factor is that you will need to be a homeowner, as you will be borrowing against your home.

When you apply you don’t even need to have a positive credit profile, as some lenders are still prepared to let you borrow if you have bad credit. Having bad credit can lower the options available to you, but it is still entirely possible.

These solutions can therefore be easier to get than unsecured finance solutions.

How can I take out a second charge mortgage?

There are a few different ways you can take out this solution, including by going to a bank, lender or a broker. Each of these may offer different products and services, so it’s important that you research each option carefully to determine where you may have the most success.

If you have any complex circumstances you may find it easier to get help from a broker, as they have access to a range of different products.

What do I need to consider before taking out a second charge mortgage?

Before you take out this funding option it’s important for you to consider a couple of factors first, including:

- If you can afford the repayments

- How long you require the loan

- Whether you think you would be in a position to repay the loan early, in which case you may want to consider getting a product with no early repayment charges

- Whether you are comfortable to secure an additional mortgage against the property.

Are second charge loans risky?

If you make your monthly repayments this option can be quite safe.

However, difficulties can arise if you fail to make your monthly repayments, as that could put your property at risk of repossession.

Is a second charge on property right for me?

Determining whether this solution is right for you depends on your personal situation and requirements.

Speaking with a mortgage advisor could help you to understand the different options that are available to you and therefore may give you a good steer on whether it is a suitable course of action to take.

Can I calculate rates and repayments?

Yes, it is entirely possible to find out rates and repayments before you apply through our second mortgage calculator.

By using our calculator function, you can see products that might be available.  

Or, alternatively you can pick up the phone to talk this through with our team and they’ll do it all for you.

What our customers say about us

 
 
 
 
Feefo Platinum Service Award
"Very helpful in finding the best product for my finances, kept me updated all the way. Always on hand to answer any questions, nice friendly staff."

Mr H, Widnes
07 Jul 2022

"Excellent service."

Mr M, Cheshunt
29 Jun 2022

"Really good company, kept us updated along the way with calls and emails."

Mr S, Banstead
23 Jun 2022

"Fantastic from start to finish. Highly recommend."

Mr B, Worthing
21 Jun 2022

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