A second charge loan is a loan secured against a property that already has a first mortgage. It allows borrowers to unlock equity without disturbing their existing mortgage deal - retaining their preferred first-charge rate while accessing funds for business needs such as renovations, debt consolidation or investment.

A second charge loan may be suitable if:Your existing mortgage has a low interest rateYou're tied into an early repayment chargeYou need funds quicklyYour circumstances make remortgaging difficultYou only need short-term finance

A second charge loan from Somo can be used for any legitimate business purpose, including:Property purchasesAuction acquisitionsBusiness acquisitionsRefinancing existing loansProperty refurbishmentsDevelopment projectsStock and inventory purchasesWorking capitalDebt consolidationIf you're unsure whether your purpose qualifies, speak to our team.

We can lend form £27,500 to £3,000,000.However, there is no hard and fast rule as each deal is assessed on its merits. How much your client borrow depends on the value of the property used as a security and other factors including their credit. A guide to our loan-to-values (LTV):On First Charge loans we offer up to 75% LTV of the securityOn Second Charge loans we offer up to 70% LTV of the securityWe can also offer up to 100% of the value where an additional security or equitable (comfort) charges are offered.For example: On a first charge loan, if the property being used as a security is worth £100,000, we can offer you up to £75,000 (75% LTV).To find out exactly how much your client could borrow, submit a case and we'll send you an offer.

ResidentialSemi-CommercialBuy-to-letHMOsLight and Moderate Refurbs

We can provide a lending decision in as little as 30 minutes, depending on the information available and the complexity of the case.

We’ll lend even if consent has been refused by the first charge lender. Speak to our team about equitable charge loans.

Yes. We consider borrowers across the full credit spectrum, including those with CCJs, defaults, arrears, IVAs and historic bankruptcies.