Second Charge Mortgages

Second Charge mortgages are a type of loan secured against your property, in addition to your primary mortgage that suit people looking to raise money that only meets some of the criteria laid out by mainstream mortgage lenders but want to keep their current mortgage. There can be multiple reasons for this, such as having a poor credit history, multiple income sources, failed mainstream affordability tests or just something as simple as needing to be Self Employed long enough.

You may fit all of the mainstream lender’s criteria but decide not to remortgage because you are currently enjoying a low-interest rate or have Early Repayment Charges (ERCs), which would mean you lose out financially.

Independent Mortgages Direct NE has the expertise to find a solution that meets your current needs and circumstances by using a range of innovative and exclusive products from our panel of lenders for the following purposes.

1.  Home Improvements: One common reason is to fund renovations or improvements that could increase the property’s value which can be a good investment if the expected increase in property value exceeds the loan cost.
2. Debt Consolidation: If you have high-interest debts, like credit card debt or personal loans, you might opt for a second-charge mortgage to consolidate these debts into a single, lower-interest loan to make managing your finances more straightforward and reduce your overall interest and monthly payments.
3. Second Home, Holiday Home or Investment Property: Some people use a second-charge mortgage to purchase a second home, holiday home or Investment Property (Buy to Let), allowing them to keep their primary residence while having a place to escape or enhance their income.

Typical rates and Loan Value (LTV) limits are detailed below, loans over 85% are available on a price-on-application basis – please call 0800 035 0095 or click “Get A Quote” for further details.