Second charge bridging is a specialist area of property finance that differs to standard bridging finance. It can make your client’s property investment work harder for them in a number of ways. Your clients can raise funds to refurbish a property in order to potentially leverage higher rental income. Alternatively, they can raise a deposit using equity in their property and add a new property to their portfolio; or perhaps your clients have a significant tax bill to pay and need to liquidate funds efficiently.

All of these outcomes (and more) can be achieved whilst retaining an existing first charge rate and avoiding paying any early repayment charges on any current borrowing.

We are specialists in providing finance to those borrowers who are underserved by the market.

  • Loans from £25,000 up to £250,000
  • Lending up to 75% loan to value (LTV)
  • Lower value properties, from just £75,000
  • Individuals and limited companies
  • No minimum personal income
  • Non-standard construction properties
  • Adverse credit considered
  • Properties in England, Wales, Scotland & Northern Ireland

Speak to us today. Your client could get a lending decision in just one call.

Why choose Mercantile Trust?

Customers value our common sense and flexible approach to lending, as we recognise that one size does not fit all. If your customers are looking to purchase an unusual property, their circumstances require personal consideration, perhaps they’ve had credit history issues, or for any other reason they are struggling to borrow, we could be the lender for them.


What is a second charge bridging loan?

A second charge bridging loan is a loan which allows your client to raise extra cash and release equity on their existing mortgaged rental property. A second charge mortgage allows your client to borrow money whilst already having their existing first charge mortgage in place.

What are the benefits of a second charge bridging loan?

The main benefit of getting a second charge bridging loan is that your client can keep their existing mortgage rate, which can save them money from not having to remortgage onto a higher rate. As a result, there are no changes to existing mortgage terms and conditions.

Another benefit of a second charge bridging loan is that your client can avoid paying any early repayment charges as the repayment terms are flexible so they are able to save money on interest

Is my client eligible for a second charge bridging loan?

To secure a second charge mortgage your client will need equity in their property and adequate rental income to cover their first and second charge mortgages.

How much can my client borrow with a second charge bridging loan?

At Mercantile Trust, customers can borrow between £25,000 and £150,000.

What can a second charge bridging loan be used for?

The most common uses are:

  • Refurbishment
  • Debt consolidation
  • Business
  • Purchasing a second property
  • Lease extension

Is a second charge bridging loan the right solution for my client?

Second charge bridging loans may be an alternative solution to a remortgage depending on the customers circumstances.

It is important to note that there are risks for any type of borrowing. A second charge bridging loan is secured on the property and if your client is unable to repay their loan then their property is at risk of being repossessed.

View our full criteria here