A recent survey by Pepper Money has shed light on the perspectives around second charge mortgages in the UK. Surprisingly, only 12% of respondents would consider a second-charge mortgage for additional borrowing against their home, slightly higher than the 7% considering a further advance. The primary motivation for opting for a second-charge mortgage is home improvements, followed by those who would use it to consolidate other debts.
Interestingly, nearly one-third (27%) would think about using a second-charge mortgage for debt consolidation if it meant reducing their monthly credit bills. Home improvements remain a significant driver, with 57% citing this as a reason for opting for a second-charge mortgage, 20% for purchasing an additional property, and 29% for debt consolidation.
The survey also revealed that 47% have contemplated investing in making their properties more energy-efficient.
This insight highlights the potential and versatility of second-charge mortgages, especially for those looking to enhance their homes or manage finances more efficiently. As the market evolves, understanding these financial tools can open new doors for homeowners.
We specialise in second charge mortgages, in addition to a wide range of specialist mortgage services such as residential & buy-to-let mortgages, equity release, mortgage protection, and specialist mortgages, so you don’t have to face this alone!
Want to explore your options or have questions? Visit us at sfbroker.co.uk, email us at enquiries@sfbroker.co.uk, or give us a call at 02920 218630.
