Second Charge Bridging Loans
Unlock Your Property Potential
Need quick funds for your property projects?
Second charge bridging loans offer a fast, flexible solution for property developers and investors. At Sunrise Commercial, we help you seize opportunities without delay.
What are Second Charge Bridging Loans?
A second charge bridging loan is a short-term loan secured against a property that already has a mortgage (known as a ‘first charge’). It’s ‘second in line’ for repayment if the property is sold. This means you can access funds without disturbing your existing mortgage.
While these loans typically have higher interest rates due to the increased risk for the lender, they offer unique benefits for quick access to capital.
First vs. Second Charge: Quick Look
| Feature | First Charge | Second Charge |
| Who Gets Paid First? | Primary (Paid first if property sold) | Secondary (Paid after first loan) |
| Typical Loan Amount | Usually larger, covers main purchase | Often smaller, adds to existing debt or for specific goals |
| Interest Rates | Generally lower | Generally higher |
| Lender Permission | Not usually needed | Often needed from your first mortgage lender |
Why Choose a Second Charge Bridging Loan?
These loans are incredibly versatile, offering speed and flexibility when you need it most.
- Speed: Get funds fast for time-sensitive opportunities like auctions or urgent deals.
- Flexibility: Use the funds for property renovations, business expansion, or bridging gaps in a property chain.
- Keep Your Existing Mortgage: Avoid remortgaging your entire property, preserving your current favorable rates and avoiding early repayment charges.
- Unlock Equity: Access the value you’ve built up in your property without selling it.
- Tailored Solutions: Lenders are often more flexible than traditional banks, assessing your application based on property equity and your repayment plan.
How It Works
Enquire:
Tell us about your project and funding needs.
Assess:
We’ll quickly review your situation and property details.
Approve:
Get a fast decision and a clear loan offer.
Fund:
Receive your funds, often in just a few days.
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Important Things to Know
While powerful, it’s crucial to understand the considerations:
- Higher Costs: Expect higher monthly interest rates and various fees (arrangement, legal, valuation).
- Short Terms: These are short-term loans. You’ll need a clear “exit strategy” (your plan to repay the loan).
- Property at Risk: The loan is secured against your property. Failure to repay could lead to repossession.
- Lender Consent: You’ll often need permission from your existing mortgage lender.
Ready to Explore Your Options?
Second charge bridging loans can be a game-changer for your property ventures.
At Sunrise Commercial, our experts provide clear, tailored advice to help you navigate your finance options.
Don’t miss your next opportunity:
- Get a Quick, No-Obligation Quote Today!
- Speak to a Second Charge Bridging Loan Expert! Call us directly at
07939 091418 for a free, confidential consultation, or complete our quick enquiry form.
Why Choose Sunrise Commercial?
We offer access to a wide panel of specialist lenders, simplify complex financial concepts, and provide dedicated support from start to finish.