October 12, 2018

How to spot opportunities with regulated Second Charge mortgages

picking house

When a remortgage or an unsecured loan simply doesn't meet your client's needs - could a Second Charge mortgage be appropriate?

You already know under MCOB rules, even if you don’t have Second Charge permissions, you have to as an absolute minimum – tell clients that the option exists and that it may be better for them.


So, when can you spot scenarios for Second Charge mortgages and for which clients?

Common situations:

  • Debt consolidation
  • Home improvements
  • Second property deposits
  • Business injection

Typical clients:

  • Both prime and subprime
  • Self-employed
  • 'Stuck' in their first charge
  • Need to avoid paying an ERC, or forfeiting low interest rates on an existing mortgage

Think they’re difficult to place? Here’s our advice on overcoming the 6 major challenges with placing Second Charge mortgages.

With rates from 3.65%, LTV up to 95% and lending criteria up to £2m – Second Charges can be used for a wide variety of reasons, and clients. So why not contact us now?

For a quick chat, a meeting to discuss opportunities, or a more complicated deal on your desk – drop us a line or give us a call today on 020 8731 5333.  

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