Second charge mortgages are often referred to as second mortgages because they have secondary priority behind your main (or first charge) mortgage.
Second charge mortgages are an option for people who have struggled to get an unsecured loan, perhaps they are self-employed or their credit rating has reduced. They can also be for people who would prefer not to remortgage due to high interest rates.
However, second charge mortgages are not without their risks. Being unable to make the repayments could result in your property being repossessed. As such, it’s imperative you seek professional advice from an expert broker who is familiar in these types of loans and can give you the full facts and clear expectations.
WHAT DO I NEED TO KNOW ABOUT SECOND CHARGE MORTGAGES?
There are a number of reasons a second charge mortgage might be ideal for your circumstances, but there are also things you to need be aware of.
If you already struggle to pay your monthly mortgage repayments, you could lose your home if you are then unable to repay your second charge.
Taking out a second charge mortgage to consolidate existing debt, such as credit cards, could mean you are paying a very high rate of interest, risking home repossession if you can’t keep up the repayments.
HOW CAN ENNESS HELP WITH SECOND CHARGE MORTGAGES?
We have assisted a large number of clients with second charge mortgages and are extremely experienced in placing such cases. Honesty is key in these transactions and we offer transparent guidance with a commitment to protecting our clients’ interests – there’s potentially a lot at stake.
Our expert brokers have a wealth of knowledge, enabling them to advise clients on whether a second charge mortgage is correct for their situation. We can guide you in terms of the risks involved and ensure it absolutely is the best option for you.