Second Charge Mortgages show healthy growth

Wednesday, February 26th, 2020

A recent report issued by the Finance and Leasing Association (FLA) indicated that in the 12 months to the end of November 2019 the total number of new second charge mortgages issued was in excess of 27,700, which represented a 19 percent increase. Furthermore, the total amount advanced during the same period was approximately £1.2bn, which represented a 16 percent increase when compared to the same period 12 months before. **

Fiona Hoyle from the FLA commented that “The second charge mortgage market reported a fifteenth consecutive month of double-digit new business volumes growth in November 2019”.

However, these figures are no surprise to our expert team of mortgage advisers here at Caboodle Financial Services Ltd (“Caboodle Finance”) given the tendency for homeowners to “stay put” over the last few years. 

The team believes that this was the result of several factors, primarily the uncertainty surrounding Brexit and the fact that many people had fixed their mortgage for five years or more in the last 2-3 years, meaning they were “tied” to a lender.

Reasons to Take Out a Second Charge Mortgage

During this period of growth in the second charge mortgage market, Caboodle Finance found that some of the most popular reasons homeowners choose or were advised to take out a second charge when looking to raise capital were;

Seek Impartial Mortgage Advice

As the decision which route to take when capital raising is not always an obvious one, engaging the services of an experienced mortgage adviser who can offer impartial advice in all the circumstances is important.

If you would like to know more about how the in-house experts here at Caboodle Finance of Sutton Coldfield, Birmingham could help ensure that any funds raised will be both cost-effective and affordable, please call our second charge mortgages team on 0121 308 9114 or alternatively, just click HERE to email us via the form on our website.

** Source – Financial Reporter 28-01-20

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THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT. CONSOLIDATING DEBTS MAY INCREASE THE TERM AND TOTAL AMOUNT PAYABLE.

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Caboodle Financial Services Ltd, registered in England at Mere Green House, 46-48 Mere Green Road, Sutton Coldfield, West Midlands B75 5BT (number 08044670).
Caboodle Financial Services Ltd is an appointed representative of PRIMIS Mortgage Network (PRIMIS), a trading name of Advance Mortgage Funding Ltd which is authorised and regulated by the Financial Conduct Authority. PRIMIS is only responsible for the service and quality of advice provided to you in relation to mortgages, protection insurance and general insurance products. Any other product or service offered by Caboodle Financial Services Ltd may not be the responsibility of PRIMIS and may also not be subject to regulation by the Financial Conduct Authority. The Financial Conduct Authority does not regulate some forms of Buy to Let.

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