Free conveyancing quote, typically 40% less than estate agent referrals.Get instant quotes →
Roger CooperReviewed by Roger Cooper, Full CeMAP Qualified Adviser · Last updated October 2026
Second Charge Mortgages

Borrow more without touching your mortgage

A second charge mortgage lets you raise funds secured against your home, completely independently of your existing mortgage. Keep your current rate — and avoid early repayment charges — while accessing the equity you've built up.

£10,000+
Borrow from
Up to 90%
Max LTV
5–30 years
Terms
24–48 hrs
Decision
Call us: 0844 884 9748
Step 2 of 3Property Details

Tell us about the property

Provide the estimated value of the property and the deposit amount you have available.

£
£

Your data is encrypted and secure with Mortgage International

Second charge or remortgage?

Both let you access equity — but they suit different circumstances. We compare both options for every client so you get the most cost-effective solution.

2Second charge is better when…

  • You have a low fixed rate you want to keep
  • You face significant early repayment charges
  • Your existing lender won't lend more
  • You need funds quickly without a full remortgage
  • You're near the end of your current deal
  • Your credit has changed since your first mortgage

RRemortgage is better when…

  • Your current rate is high and your deal is ending
  • No early repayment charges apply
  • You want to consolidate everything into one payment
  • Your income has improved significantly
  • You want the simplicity of one mortgage
  • The equity release amount is large relative to your mortgage

We model the total cost of both options for your specific situation — not just the rate, but all fees and charges over the term.

Common reasons for a second charge

Second charge mortgages are a flexible tool used for a wide range of financial needs.

Protect a low existing rate

If your current mortgage has a low fixed or tracker rate, a second charge lets you raise additional funds without disturbing it.

Home improvements

Extensions, loft conversions, new kitchens — a second charge can fund significant work at a lower rate than unsecured loans.

Debt consolidation

Consolidate credit cards, personal loans, or other high-interest debt into one lower monthly payment secured on your home.

Avoid early repayment charges

If your first mortgage has hefty ERCs, a second charge is often cheaper than paying them to remortgage.

Business capital

Raise capital for business use without interfering with your commercial lending facilities. A common solution for self-employed borrowers and company directors.

Tax bills

Self-assessment bills, inheritance tax, or HMRC liabilities can be managed by releasing equity quickly via a second charge.

How a second charge mortgage works

From initial call to funds typically 2–4 weeks.

01

Free initial assessment

We review your current mortgage, the equity in your property, your income, and what you need the funds for. We compare second charge and remortgage options and give you a clear recommendation with costs. No obligation.

02

Lender selection and Agreement in Principle

We search our panel of specialist second charge lenders and approach the most suitable. Most provide an AIP within 24–48 hours. This gives you a clear indication of what you can borrow and at what rate.

03

First charge lender consent

We contact your existing mortgage lender to obtain their consent for the second charge. In the vast majority of cases this is granted without issue. We handle all correspondence and manage the timeline.

04

Valuation

The second charge lender commissions an independent valuation of your property. For straightforward residential cases this is often a desktop or drive-by valuation completed within days. We arrange this for you.

05

Legal and formal offer

A solicitor acts for both you and the lender in registering the second charge. This is typically simpler and faster than a full remortgage. The lender issues a formal mortgage offer once all conditions are satisfied.

06

Completion — funds released

On completion, funds are transferred to your solicitor and then to you (or directly to creditors for debt consolidation). You will have two separate mortgage payments going forward: your existing first charge and the new second charge.

Second charge mortgage FAQs

What is a second charge mortgage?
A second charge mortgage (also called a secured loan or homeowner loan) is a loan secured against your property, sitting behind your existing first mortgage. The first charge lender has priority if the property is sold or repossessed. Second charge lenders take slightly higher risk, which means rates are a little higher than first charge mortgages, but significantly lower than unsecured personal loans.
How much can I borrow on a second charge?
This depends on your available equity and your income. Most lenders will lend up to 85–90% combined LTV (your existing mortgage plus the new second charge). For example, if your home is worth £400,000 and you have a £200,000 mortgage (50% LTV), you may be able to borrow a further £140,000–£160,000 on a second charge. We assess your exact position at the outset.
Will I need my existing lender's permission?
Usually yes — your first charge lender's consent is required before a second charge can be registered. In most cases this is a straightforward process and lenders routinely grant it. We handle this with you and can advise on any lenders known to be difficult.
What are the rates like on second charge mortgages?
Second charge rates are higher than first charge mortgage rates because the lender takes a subordinate position. Rates typically start from around 5–7% depending on LTV, loan size, credit profile, and term. They are still considerably lower than personal loans or credit cards. We search our panel of specialist second charge lenders to find the most competitive deal.
How long does a second charge take to arrange?
A straightforward second charge typically completes in 2–4 weeks. The main variables are how quickly your first charge lender grants consent, how quickly the valuation is completed, and legal completion. We manage the process and chase all parties on your behalf.
Is a second charge mortgage right for me, or should I remortgage?
This depends on your situation. If you have a great rate on your existing mortgage, significant early repayment charges, or simply don't want to go through a full remortgage, a second charge is often the better option. If your existing rate is high and you're near the end of a fixed period, remortgaging the whole amount might be cheaper overall. We compare both options and show you the total cost of each.

Related guides

Remortgage Advice →

Compare remortgaging vs a second charge — we model the total cost of both options for your situation.

Capital Raising Mortgages →

Raise capital from your property for home improvements, investment, or business purposes.

Bridging Loans →

Need funds in days rather than weeks? A bridging loan may be faster than a second charge.

Areas we cover:BexleyBromleyGreenwichCroydonBarking & DagenhamHaveringLewishamNewhamKentSurreyEssexBerkshireView all areas →

Find out how much you could borrow

We compare second charge and remortgage options and show you the true total cost of each. Free, no obligation advice from a regulated broker.

Get a Free QuoteCall 0844 884 9748

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.

Mortgage International is a trading style of Mortgage Int Ltd, an Appointed Representative of The Right Mortgage Ltd, which is authorised and regulated by the Financial Conduct Authority.

CallWhatsAppFree AIP