Second charge Bridging Fiance

Short-term finance for luxury real estate developer

Second charge bridging finance is typically used for capital-raising purposes, where repaying the original first charge mortgage with a new, higher loan to value loan would result in higher interest rates or early repayment charges. A first charge is the primary mortgage or loan secured against a property, which takes precedence over all other finance secured against it. If there is sufficient equity in the property, then it is possible to secure a second charge against it as well. In certain situations, this can be a useful and sensible option. Say, for example, you own half the equity in a commercial property worth £1m, and funded the remaining £500,000 by taking out a commercial mortgage. If you needed or wanted to release some of this equity, you could either remortgage, or take out a second charge loan without repaying the existing mortgage. The money can then be used for investment or business purposes. If you are looking for a short-term cash injection, second charge bridging finance is something to consider. Our brokers will be able to explain the advantages and disadvantages to you in full.

Call us +44 (0) 203 758 9393 or submit your details and a broker will get in touch.

Enness Limited needs the contact information you provide to us to contact you about our products and services. You may unsubscribe from these communications at any time. For information on how to unsubscribe, as well as our privacy practices and commitment to protecting your privacy, please review our Privacy Policy.

Industry News Signup

Keep up to date with all the latest market news and mortgage advice

Related Solutions