Avoid Costly Delays: The #1 Reason to Use a Second Charge Bridging Loan Right Now
In Property, Time Kills Deals—Here’s How to Beat the Clock
Whether you’re a new property developer, an accidental landlord, or just exploring your first investment, one thing is certain: timing is everything.
You spot a below-market property.
Or you’ve found the ideal fixer-upper.
Or you’re in the middle of a refurbishment when your funding stalls.
In today’s fast-paced UK property market, delays can cost thousands. Worse still, they can kill deals outright.
That’s why second charge bridging loans are becoming a go-to solution—especially for those who want to raise funds quickly without disturbing their low-rate mortgage.
The #1 Reason to Use a Second Charge Bridge Now? Speed.
In a world of rising interest rates, tighter lending, and competitive property bidding, fast access to funds is your single biggest advantage.
Second charge bridging loans offer just that:
✅ Speed – Funds in as little as 5–21 working days
✅ No need to remortgage – Keep your low-rate deal untouched
✅ Flexible use – Buy, refurbish, consolidate or invest
✅ No monthly repayments – Interest can be rolled up
If you’re stuck waiting on a remortgage, bank loan, or cash buyer, you’re already behind. A second charge bridge gives you the edge.
What Is a Second Charge Bridging Loan?
Let’s break it down simply.
A second charge bridging loan is a short-term loan secured against a property you already have a mortgage on. The “second charge” means it’s legally ranked behind your existing mortgage lender, which remains in place.
You’re essentially borrowing against your unused equity, without refinancing your main loan.
It’s ideal for anyone who:
- Has equity in a property
- Needs fast access to cash
- Doesn’t want to lose their existing mortgage deal
Real-Life Example: Why Timing Mattered
A recent client approached us after finding a terraced property in Nottingham priced below market value. They already owned a buy-to-let worth £400,000 with a £200,000 mortgage. Their plan? Use £100,000 for the purchase and refurb.
Problem?
They couldn’t remortgage without triggering early repayment charges and losing their 2.1% fixed rate. Waiting on a traditional loan would take 8–12 weeks—the seller wouldn’t wait.
✅ We arranged a second charge bridging loan of £110,000 in just 9 working days.
✅ The property was secured, the refurb completed in 3 months, and they exited into a BTL remortgage.
That one quick decision saved the deal.
Why Second Charge Beats Remortgaging (Especially Now)
| Feature | Second Charge Bridging | Traditional Remortgage |
| Speed | Fast – 5 to 21 days | Slow – 6 to 12+ weeks |
| Keep existing mortgage | ✅ Yes | ❌ No |
| Early repayment charges | ❌ None | ✅ Often applies |
| Credit checks | Light or flexible | Full affordability assessment |
| Flexibility | High – wide use cases | Restricted to mortgage purpose |
| Exit options | Sale or refinance | Replaces current mortgage |
In short: if you don’t want to lose your great mortgage rate, second charge is your best bet.
Who Should Consider a Second Charge Bridging Loan?
This type of funding isn’t just for seasoned developers. It’s ideal for:
🏘️ New Developers
- Raise quick capital to secure deals
- Fund light to medium refurb projects
🧾 Business Owners / Self-Employed
- Unlock equity to ease cash flow or reinvest
- Avoid slow, paperwork-heavy business loans
🧍♂️ Landlords & Portfolio Investors
- Use unencumbered equity across your portfolio
- Avoid refinancing entire property holdings
What Can You Use the Funds For?
Second charge bridging is extremely flexible:
- Purchase time-sensitive property deals
- Refurbish or convert existing properties
- Raise deposits for auctions or joint ventures
- Pay tax bills or consolidate debt
- Fund business investments or expansion
How Much Can I Borrow?
Most lenders allow second charge bridging loans from £25,000 up to £10 million+, depending on:
- The equity in your property
- Your credit profile
- Loan-to-value (LTV) — usually up to 75%
- A clear exit strategy (e.g. sale or remortgage)
Need help calculating your equity? Get in touch—we’ll work it out for you quickly and accurately.
What’s the Catch? (The Risks to Be Aware Of)
As with any secured lending, it’s essential to understand the risks:
- Your property is at risk if the loan isn’t repaid
- Bridging loans carry higher monthly interest than standard mortgages (typically 0.95–1.5% per month)
- Legal and valuation fees apply
- You’ll need a clear and realistic exit strategy
However, when used properly, a second charge bridge is a powerful tool—not a problem.
FAQs – Second Charge Bridging Loans
Can I get a second charge if I have bad credit?
Yes, many lenders are flexible. Equity and a strong exit matter more than credit score in many cases.
Do I need permission from my first mortgage lender?
Not always. Most second charge lenders can proceed without direct approval, depending on your mortgage terms.
Can I roll up the interest?
Yes. Many borrowers choose to roll up the interest into the loan so there are no monthly payments.
How fast can I get the funds?
Some cases complete in under 7–21 working days—especially with an experienced broker on your side.
More Frequently Asked Questions About Second Charge Bridging Loans
Can I use a second charge bridging loan on a buy-to-let property?
Yes. Many landlords use second charge bridging loans to release equity from an existing rental to fund new purchases, refurbishments, or auction deals.
Is a second charge bridging loan cheaper than development finance?
It can be, especially for light or mid-level refurb projects. Bridging loans tend to have fewer setup requirements and lower drawdown costs compared to full development finance.
Can I take a second charge bridging loan on a property I live in?
Yes, but regulated bridging loans (for your main residence) have stricter requirements. They’re still fast and flexible, but you’ll need to show how the loan will be repaid within 12 months.
Do I need a solicitor for a second charge bridge?
Yes. Most lenders require independent legal advice (ILA), especially for regulated loans. This protects all parties and ensures you fully understand the terms.
What’s the exit strategy for a second charge bridging loan?
Typical exits include: sale of the property, refinancing onto a BTL or residential mortgage, or proceeds from another property sale or income source.
Bottom Line: Don’t Let Delays Derail Your Deal
In today’s climate, waiting on slow funding is a risk you can’t afford. Whether you’re eyeing your first deal, refinancing your strategy, or just trying to act fast in a moving market, a second charge bridging loan gives you the flexibility and speed to act now—before it’s too late.
Ready to Move Fast? Let’s Talk.
At Sunrise Commercial Finance, we specialise in helping property investors, homeowners and developers across the UK secure fast, flexible second charge bridging finance tailored to your needs.
✅ Fast decisions
✅ Expert guidance
✅ Nationwide lending
🔗 Get started now: https://www.sunrisecommercial.co.uk/contact
📞 Call us at 07939 091418
📧 Email: john@sunrisecommercial.co.uk
🌐 Visit: https://www.sunrisecommercial.co.uk/
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