The second charge mortgage market has seen huge growth year on year and will continue to grow post MCD, where intermediaries are required to consider the overall cost of a capital raising remortgage with a second charge mortgage and a further advance for comparison as part of best advice practices. We are proud to offer a diverse lender panel covering both prime and non-conforming lending solutions to suit your client’s individual circumstances.

What is a second charge mortgage?

The security for a second charge mortgage is the borrower’s existing home or investment property, and the loan is made in addition to the first charge mortgage.

Second charge mortgages are an established part of the mortgage lending market and they can provide additional funds for clients looking to raise capital for a wide variety of purposes.

TYPICAL CLIENT SCENARIOS

  • Capital raising on BTL properties / across portfolios without the time restraints of a re-mortgage.
  • Your client wishes to avoid the ERCs that a re-mortgage would incur.
  • Your client is looking to re-mortgage, but wants to retain their existing low rate.
  • Your client has acquired some adverse credit history since taking out their main mortgage and is unable to find a re-mortgage deal.
  • Your client wishes to keep the new loan separate from their main mortgage.
  • Your client wishes to pay off the second charge loan much sooner than the main mortgage.
  • Your client wants to receive the advance sooner than a standard re-mortgage could deliver.
  • Your client’s main mortgage is interest only and they wish to retain this.
  • Your client wishes to borrow beyond normal retirement age.
  • Your client does not want to pay any upfront fees.

Types Of Finance Covered Within This Division:

  • Capital raising secured on residential and buy to let properties

Loans available for a wide variety of purposes including:

  • Raising a deposit for property purchases
  • Raising funds for business investment
  • Home improvements
  • Debt consolidation
  • Weddings
  • School/university fees
  • Luxury purchases
  • Tax bills
Criteria Overview:
  • Market leading rates
  • Up to 95% LTV
  • Loans from £3k To £2.5m (more by referral)
  • Lending in England, Scotland, Wales and Northern Ireland
Typical Client Scenarios:
  • Capital raising on BTL properties/across portfolios without the cost and time restraints of a remortgage
  • Capital raising without being subject to new stress testing methods used by many lenders when remortgaging
  • Your client wishes to avoid paying ERCs by capital raising via a remortgage
  • Your client is looking to remortgage, but does not want to lose the benefit of their existing attractive interest rate
  • Your client has acquired some adverse credit history since taking out their main mortgage and is unable to find a remortgage deal. Alternatively, if such a deal can be found, it may be a cheaper option to borrow the additional sum as a second charge mortgage than to remortgage to raise the whole amount
  • Your client wishes to keep the new loan separate from their main mortgage
  • Your client wishes to pay off the second charge mortgage much sooner than the main mortgage
  • Your client wants to receive the advance sooner than a standard remortgage could deliver
  • Your client's main mortgage is interest only and they do not want to remortgage onto repayment
  • Your client wishes to borrow beyond retirement age
  • Your client does not want to pay any upfront fees**

*Typical APR 10.30%
** Broker fees may apply, the customer will be given the option to pay these upfront, on completion or add to the loan

Criteria Overview:
  • Market leading rates
  • Up to 85% LTV
  • Loans from £5k to £1m (more by referral)
  • Interest only options
  • Lending in England, Scotland, Wales and Northern Ireland
Typical Client Scenarios:
  • Capital raising without being subject to new stress testing methods used by many lenders when remortgaging
  • Your client wishes to avoid paying ERCs by capital raising via a remortgage
  • Your client is looking to remortgage, but does not want to lose the benefit of their existing attractive interest rate
  • Your client has acquired some adverse credit history since taking out their main mortgage and is unable to find a remortgage deal. Alternatively, if such a deal can be found, it may be a cheaper option to borrow the additional sum as a second charge mortgage than to remortgage to raise the whole amount
  • Your client wishes to keep the new loan separate from their main mortgage
  • Your client wishes to pay off the second charge mortgage much sooner than the main mortgage
  • Your client wants to receive the advance sooner than a standard remortgage could deliver
  • Your client's main mortgage is interest only and they do not want to remortgage onto repayment
  • Your client wishes to borrow beyond retirement age
  • Your client does not want to pay any upfront fees**


**Broker fees may apply, the customer will be given the option to pay these upfront, on completion or add to the loan

The human touch is core to our proposition and we welcome your call to discuss your client’s individual circumstances. You have two options as to how we manage your client’s enquiry:

Option 1:

You can produce an instant quotation and submit your enquiry at any time by visiting:
www.easysource.co.uk

Login to EasySource & select ‘new enquiry’

  1. Complete the pre-qualification to establish the product categories that could finance your enquiry; select the product categories you wish to compare results for and your preferred dedicated case manager.
  2. Enter the details of your client’s circumstances & produce a list of available products. Your chosen case manager will contact you to discuss the options available, the administration and valuation fees applicable and information required to obtain a decision in principle from the lender.
Option 2: (Advice & Packaging)

If you would prefer to simply pass your client’s name and contact details to us, you can either:

a) Call our helpdesk on 01277 500 900 Option 2

or

b) Submit your clients details online at: www.easysource.co.uk by selecting ‘call my client’

Please note that in either of the above mentioned options, any intermediary introducing business to this division will need to hold appropriate FCA permissions.

The human touch is core to our proposition and we welcome your telephone call to discuss your clients' individual circumstances. You have two options in how we manage your clients' loan:

Option 1:

We are happy to take the name and number of your client/s and manage the entire process leaving you to concentrate on your core business. All you need to do is wait for your commission! Please rest assured that your client will remain "your client" and we will never cross sell to them.

Option 2:

If you prefer to retain control of the process, we are happy to support you with guidance and all the documents required in order to facilitate your clients' loan.

Please note that in either of the two above mentioned options, any broker introducing business to this division will need to hold "interim permissions"

  

Contact our Second Charge Mortgage helpdesk today:

01277 500 900 (option 2)

or email

secondcharge@brightstarhub.co.uk

Second Charge Mortgages Made Easy