| Property | Four-bedroom semi-detached house |
|---|---|
| Location | Ealing, London |
| Client | Employed couple, one in the NHS, one in IT |
| Product | Second charge mortgages |
The challenge
The couple needed £100,000 for a side-return extension, but were two years into a five-year fixed rate. Remortgaging would have triggered a large early repayment charge, and their lender declined a further advance.
What we did
We compared a full remortgage, a further advance and a second charge mortgage, including total costs over the term. A second charge allowed them to keep their main mortgage untouched. We explained that the loan is secured on their home and runs alongside the first mortgage, and matched its term to their plans.
The outcome
The second charge completed at 62% combined loan to value, and the extension went ahead without an early repayment charge.
Second charge mortgagesBorrow against your home's equity without changing your existing mortgage deal.
Learn moreImportant: A second charge mortgage is secured against your home. Think carefully before securing other debts against your home; your home may be repossessed if you do not keep up repayments.