There may be occasions when your circumstances dictate that you may need a second mortgage in addition to the one on your primary residence.
Second mortgages are used for a number of reasons:
- Buying a holiday home – perhaps you are looking at a holiday home or a future retirement investment, by using your primary residence as security. This could be either in the UK or abroad
- Buying a property at auction – for investment or redevelopment purposes
- Buying a commercial property – perhaps you are a business owner and need a premises to work out of
- Home improvements – if you are thinking of extending your property or looking to make large scale improvements
Second homes are typically classified as any additional property to that of your main residential home. This can include, but is not limited to; that you own in addition to your main place of residence. This could include, but is not limited to; a buy-to-let investment property, a weekday working residence (for instance a city centre flat to complement your home in the country) or a holiday home (perhaps rented out when not in use).
Getting your second mortgage
The process for obtaining your second mortgage will depend on the kind of property you already own and the amount of equity you have in it. For a more “conventional” second mortgage which is to act as a long term form of finance, most lenders primary concern is your ability to afford a second mortgage. Therefore they will tend to focus on your financial situation as it stands.
Where an investment property, such as a buy-to-let, is being purchased then lenders will most likely want to focus on rental yield projections, amongst other considerations. The same can be said for any property being purchased for commercial purposes. Your mortgage broker will be able to advise on this as appropriate.
In addition to a standard second mortgage, there may be occasions whereby you are looking for short term finance, for instance if you are moving home and are looking to break a mortgage chain to ensure you do not miss out on the house you are looking to buy. This is where bridging finance comes into it’s own – literally “bridging” the gap between sale and purchase. Our dedicated Specialist Lending team can assist with enquiries of this nature.
Whether short or long term, a holiday home or a commercial necessity, our team of expert mortgage advisers are on hand to help you get your second mortgage. We work with over 150 different lenders and can secure market leading rates. In addition we can provide you with a recommendation within 2 hours.
Call us today on 01249 474952 or fill out our call back form to book a call for a time that suits you.