Here Malcolm has put together a helpful video guide and discusses the significance of why people choose to take out a second mortgage in Middlesbrough.
Depending on the situation you happen to be in, it may be possible to take out a second mortgage. In this article, we will address the reasons as to why you would want to take out a second mortgage and how to go about this.
Potential or existing landlords in Middlesbrough obtain a second mortgage to buy an additional home or look into taking out a buy to let, allowing this to run alongside their current mortgage. Alternatively, you may have the option of a second charge, where you take out an additional mortgage amount against the same property with a different mortgage lender.
Why would you take out a second mortgage?
There are various circumstances as to why someone might find themselves needing to have more than one mortgage. We’ve come across some fairly common scenarios, with these including, but not limited to:
We feel it’s essential to let you know that we have a vast wealth of knowledge on buy to let mortgage advice in Middlesbrough, having worked with many types of lenders, each with their lending criteria.
Raise Additional Funds
If you have equity in your home, you may have the option to take out a second charge to release this equity and fund the deposit for potential additional purchases.
The way a second charge works is that if you still have equity sitting in your property, you may be able to take out a mortgage with a second lender to release some of the equity in the property.
Usually, if you are on a lenders standard variable rate, we can shop around for you and find a more competitive deal whilst also releasing capital. A different approach with your existing lender may have an alternative option available to you.
Second Mortgage to Rent Out Existing Home to Purchase a New One
We tend to find some homeowners looking to keep their existing property, rent it out, and take out a second residential mortgage on a new property. This process is known as a let-to-buy mortgage.
Second Mortgage to Purchase a Home For Your Children
Sometimes your family may need that extra support to help put their foot onto the property ladder. As such, we regularly see homeowners using either a second charge to release some equity to gift them a portion of or the total amount for a deposit.
Second Mortgage for a Buy to Let
Many landlords are looking to purchase additional buy to let properties add to their portfolio by taking out a second buy to let mortgage in Middlesbrough.
Named on an Existing Mortgage & Want to Purchase a New Property
Some homeowners have their name on another mortgage and cannot get their name taken off; you may still want to apply for a mortgage of your own. For more information get in touch and speak to our mortgage advisors in Middlesbrough regarding sole name mortgage advice.
Speaking to a Specialist Mortgage Advisor in Middlesbrough
If you are looking to get a second mortgage, we may be able to help. We can book you in for a free mortgage consultation, following up to find you the most suitable product for you based on your situation. Get in touch, and speak with a dedicated mortgage advisor in Middlesbrough today.
Date Last Edited: March 21, 2023
