MortieSecond charge7 min read
What is a second charge mortgage — and when does it make sense?
A second charge mortgage lets you borrow against the equity in your home without touching your main mortgage. Sometimes that's exactly the right move — sometimes a remortgage is better.
How it works
You take out a second loan secured against your home, alongside your existing mortgage. Your main lender keeps the first charge; the new lender takes the second.
When it might make sense
If you're locked into a great fixed-rate deal with steep early repayment charges, or your circumstances have changed since you took out your main mortgage, a second charge can be cheaper than remortgaging.
What to watch out for
Rates are usually higher than a main mortgage, and your home is at risk if you don't keep up repayments. A Mortie advisor can compare it side-by-side with a remortgage in the app.