Second Charge Mortgages2025-09-25T15:31:35+00:00

Second Charge Mortgages

Second charge mortgages allow you to raise funds against a property that already has an existing mortgage. They are often chosen by homeowners who want to access equity without remortgaging, keeping their current deal in place and avoiding early repayment charges.

As an experienced second charge mortgage broker, Avid Finance provides independent advice and access to a wide range of lenders. Our team helps you find a product that fits your financial goals.

  • Second charge loans from £10k

  • Interest & fees added to the loan

  • From 1 month to 30 years

  • Free valuation

  • Rates from 4.99% per annum

Octopus Real Estate
Colenko
Redwood Bank
Precise Mortgages
MT Finance
Pivot
HTB
Avamore Capital
Allica Bank
HSBC
Nationwide Building Society
Ortus Secured Finance
Second charge mortgages

What are second charge mortgages?

A second charge mortgage is a secured loan that sits behind your existing mortgage, giving the original lender priority if the property is sold. This makes it a flexible way to release equity while keeping your current mortgage intact.

These products can be used for home improvements, consolidating debt, funding business ventures or supporting property investment. Avid Finance compares second charge mortgage lenders across the market to secure suitable terms for your situation.

Residential second charge

Raise capital on your home without refinancing your existing mortgage.

Buy-to-let second charge

Raise capital on your buy-to-let investment property.

Second charge bridging loans

Additional short-term finance on your home or buy-to-let.

Equitable charge bridge loans

Flexible finance in addition to your existing mortgage.

How second charge mortgages work

The process starts with an application outlining your existing mortgage, property details and the purpose of the loan. Lenders assess the available equity, your repayment plan and the overall loan-to-value ratio before making an offer.

Once agreed, the second charge is registered alongside your current mortgage. Repayments run separately, and terms may be fixed or variable depending on the product. Avid Finance manages the process, presenting your case clearly and helping you compare second charge mortgage rates.

Experts in second charge mortgages

Easy application process

Hassle-free instant credit decision

Free valuations available

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Key facts

Loan Amount £10,000 to £10 million
Loan Term Loan terms from 1 month to 30 years
Security Second, third and equitable charge
Loan-to-Value (LTV) Up to 75%
Rates From 4.99% per annum
Interest Options Serviced, retained or rolled up
Asset Types Residential and commercial property
Region England, Wales, Scotland and Northern Ireland

Client reviews

Henrik, Birmingham

The team at Avid Finance were able to arrange a bridge loan on a semi-commercial property within a week. Best service bar none.

Ross, Wandsworth

Avid Finance provided an exceptional personal service… the only firm I spoke to that I felt truly had my needs at the heart of the discussion.

Mandeep, Southall

I would strongly recommend Avid Finance for corporate/commercial deals. They have variety of products depending on our need and urgency.

Second charge mortgages explained

What can a second charge mortgage be used for?2025-09-25T10:23:21+00:00

Common uses include home improvements, debt consolidation, property investment or raising funds for business purposes.

How does it differ from a remortgage?2025-09-25T10:23:27+00:00

With a remortgage, you replace your existing mortgage. A second charge sits alongside your current loan, making it useful if you want to keep your existing rate or avoid early repayment charges.

How much can I borrow?2025-09-25T10:23:33+00:00

The amount depends on the equity in your property and the lender’s loan-to-value limits. A broker can advise on what’s achievable based on your circumstances.

Do I need consent from my first mortgage lender?2025-09-25T10:23:53+00:00

Yes. The existing lender must be informed, as the second charge is registered behind their first charge on the property.

How long do second charge mortgages last?2025-09-25T10:23:59+00:00

They are medium- to long-term products, with repayment terms often ranging from 5 to 25 years depending on the lender.

What are typical second charge mortgage rates?2025-09-25T10:24:04+00:00

Rates vary depending on loan size, equity, credit profile and repayment term. A broker can compare the market and explain the total cost of borrowing.

Can I repay the loan early?2025-09-25T10:24:10+00:00

Yes, though some lenders may apply an early repayment charge. Always check the product terms before committing.

What information do lenders require?2025-09-25T10:24:16+00:00

Expect to provide income details, property information, your mortgage statement and the purpose of the loan.

Is a second charge available if I have bad credit?2025-09-25T10:24:21+00:00

Some lenders will consider applicants with impaired credit, especially if there is sufficient equity and a clear repayment plan.

Why use a second charge mortgage broker?2025-09-25T10:24:26+00:00

A broker has access to multiple lenders, understands their criteria, and ensures your application is packaged to achieve the best possible terms.

Speak to a second charge mortgage specialist

Whether you’re consolidating debt, funding improvements or investing in property, our team can help. Avid Finance provides clear, independent advice and connects you with lenders offering competitive second charge mortgages.

Avid Finance Ltd (FCA 911867) is an Appointed Representative of Connect IFA Limited (FCA 441505) which is authorised and regulated by the Financial Conduct Authority. The FCA do not regulate some forms of Business Buy to Let mortgages or Commercial Mortgages to Limited Companies.

The guidance and/or advice contained within this website is subject to the UK regulatory regime and is therefore primarily targeted at customers based in the UK. Avid Finance Ltd is Registered in England and Wales No. 12080480. Registered Office: 1 Lyric Square, London W6 0NB. ICO Number ZA532645.

Fees: We normally charge a fee for mortgage advice. The amount will depend on your circumstances. A typical fee would be £500. Foreign currency mortgages: Changes in the exchange rate may increase the sterling equivalent of your debt.

Warning: your property may be repossessed if you do not keep up repayments on your mortgage.

How to make a complaint: It is our intention to provide you with a high level of customer service at all times. If there is an occasion when we do not meet these standards and you wish to register a complaint, please write to: Compliance Department; Connect IFA Ltd, 39 Station Lane, Hornchurch, RM12 6JL or call: 01708 676110. If you cannot settle your complaint with us, you may be entitled to refer it to the Financial Ombudsman Service www.financial-ombudsman.org.uk.

Commission disclosure: We are a credit broker and not a lender. We have access to an extensive range of lenders. Once we have assessed your needs, we will recommend a lender(s) that provides suitable products to meet your personal circumstances and requirements, though you are not obliged to take our advice or recommendation. Whichever lender we introduce you to, we will typically receive commission from them after completion of the transaction. The amount of commission we receive will normally be a fixed percentage of the amount you borrow from the lender. Commission paid to us may vary in amount depending on the lender and product. The lenders we work with pay commission at different rates. However, the amount of commission that we receive from a lender does not have an effect on the amount that you pay to that lender under your credit agreement.

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