There are effectively two ways of interpreting a second mortgage, which are used for different second mortgage scenarios.
- The first definition of a second mortgage is where you borrow an amount of money from a lenders secured products in the form of a first charge mortgage (possibly a buy to let mortgage) to buy a property to rent out, use as a holiday home or give to your family.
- The second definition is when you take out a homeowner loan (a second mortgage) that sits behind the current mortgage on either your residential home or on another property you own. These are sometimes called secured loans, as well as second mortgages. These range from £3,000 to £250,000.
Second Mortgages Also Known As Secured LoansIt is often the case that a second mortgage is viewed as another loan that sits behind your existing (first) mortgage and is also secured against the property. As it is secured against a property, often residential, it can be classed as a mortgage. However, in the mortgage industry, second mortgages of this nature are referred to as either a secured homeowner loan or a second charge on the property. The second mortgage term comes about because the charge is of secondary priority to your main mortgage. The collateral position for the lender means that some of the plans allow for loans to be provided even if you have been unlucky enough to incur some bad credit or missed payments.
First Choice specialises in many second mortgages, with access to semi-exclusive deals from some of the leading secured loan lenders in the market. Our any purpose loans in particular, can hold the key to revitalising your finances. Some common reasons we come across for these loans are home improvements, debt consolidation, special occasion, credit repair, vehicle purchase or to put towards buying or renovating another property. Bear in mind that the secured homeowner loan can also be taken out on property you own but do not live in.
Buy To Let MortgagesExpanding your property portfolio can not only be a rewarding experience but also a great investment for your future at a time when current pension plans may not be so appealing. If you are looking to branch out into the buy to let property market then let us help you become a bona fide landlord. Many of our customers come back to us with request for not just a second mortgage but a third or fourth as they expand their property portfolio. We would ask that if you are unsure about taking this route you should seek independent financial advice from an investment specialist before you take on a buy to let mortgage. However once you are ready to hear what the costs may be, even if it`s just to get an idea of what deals you might get then contact us and ask for a free no obligation quotation
Expanding your property portfolio can be a great investment but should be done only after careful consideration.
Second Home MortgageAlthough there are fewer lenders and plans who operate in this market, First Choice Finance longevity ensures that our customers will continue to have unprecedented access to some of the very best rates and products on the market for a second mortgage, whether specifically for second homes or not. When it does come to a second home mortgage, the rates can be slightly higher than for a directly compatible residential counterpart and the mortgage must be deemed affordable alongside your existing mortgage or covered in the main by anticipated rental income if you decide to use it as a buy to let instead. So if you have already laid eyes on your dream holiday home give us a call on the above number or fill in the one minute on line enquiry form and let us help you make that dream a reality.
Second Mortgage CalculatorIf you already have an existing mortgage and are currently looking for your second mortgage, the chances are you will be clued up when it comes to budgeting for your repayments each month. Realising the importance of monthly budgeting for your financial outgoings you will understand that doing the same for your second mortgage is just as important. We want to provide you with all of the tools necessary to make this part of the process as easy and effective as possible. If you are looking for a second mortgage on your current residential property head over to our secured loan calculators to crunch the numbers. Feel free to test out our remortgage calculator to see how different rates and terms could affect your payments if you choose to remortgage either your own home or a buy to let property you currently have. When you want some accurate figures and want to discuss affordability feel free to fill in our quick online application form and one of our in house advisers will get back to you.
THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME.
Established In 1988. Company Registration Number 2316399. Authorised & Regulated By The Financial Conduct Authority (FCA). Firm Reference Number 302981. Mortgages & Homeowner Secured Loans Are Secured On Your Home. We Advice Upon & Arrange Mortgages & Loans. We Are Not A Lender.
First Choice Finance is a trading style of First Choice Funding Limited of The Old Courtyard, 103 Buxton Road, High Lane, Stockport, Cheshire. SK6 8DX. Copyright protected.