Capital Fortune is a national and
award winning mortgage, buy-to-let
and insurance broker.

Call today to speak to an expert

020 77 100 400

REQUEST A CALLBACK
Image
As Featured
Awards from
Our customers have rated our service
Feefo logoIndependant User Feedback96%
Customer - Buy to Let Remortgage
As a UK ex-pat I was looking to raise capital via a mortgage on a property I own in England. Unfortunately, it appears that ...Read More

Second Mortgage

When buying a second home, the same principles apply as when you apply for a mortgage for your first home. You will need to be able to show the lender that you can afford to repay the mortgage monthly and this will affect how much you can borrow.

Many people who want to buy a second home, typically for family holidays in the UK, have a decent amount of equity built up in their first home. This can provide you with a choice about how to pay for the new property.

Image

What Our Customers Say

Customer - Remortgage
Capital Fortune delivered the mortgage that they said they thought they could provide for me, despite my age . They answered all my questions and were always helpful and quick . ...Read More
1 months, 22 hours ago

Customer - Purchase
I had quite a difficult case, - self employed but with no accounts and had tried and failed to get a mortgage with 3 other brokers. However Capital Fortune seemed at the outset to be more familiar and understanding with my ...Read More
1 months, 3 days ago

Margaret O'Leary - Buy to Let Remortgage
The whole process was handled with expertise. The service was amazing. Peter Bartlett and Alex Fryday were my consultants during the mortgage process. ...Read More
1 months, 4 days ago

Gary Towlson - Remortgage
From start to finish, all members of the team on our case, have supported, sympathised, advised and guided us with nothing short of true professionalism. Even when we were hit with legal barriers and potential showstoppers, Capital Fortune were on ...Read More
1 months, 6 days ago

Find out more

Before you buy, you'll need to work out which property will be your main residence and provide a mortgage lender with evidence for this. This is because when you come to sell property, capital gains tax is due on it unless the property is your main home.

You'll also need to factor in purchase costs, which are higher on a second home than a first home. In April 2016, the government introduced a new stamp duty charge for those buying a second home. The usual stamp duty applies, but there is now an additional 3 per cent to pay if you are buying a second home. You'll have to pay this 3 per cent even if the property you're buying comes in under the £125,000 threshold.

There's also the usual legal, valuation and mortgage fees to pay.

Image

Mortgage lenders tend to want to see that you have a minimum of 20 per cent to put in as a deposit. It's possible to provide this in cash but you could look at taking some equity out of your main home to provide the deposit for your second home.

This would be achieved either by remortgaging your loan on your main home or by taking a further advance against your main home. This can then be put down as a deposit on the second home you are planning to purchase and you can apply for a mortgage on this property too.

Image

It's important to be sure that you can afford to repay both mortgages out of your income. Lenders will want to see evidence that you will be able to meet repayments comfortably, so if you're already stretched paying your first mortgage, then it's unlikely you'll get a second one.

Image

If you do decide to remortgage to release some money to buy a second home, it's a good idea to do this through the same mortgage broker you use to arrange the mortgage on the second home. Increasing the amount you pay on your first mortgage will affect what you are able to borrow on your second.

Find Out Current Best Rates

Property Value
£
Mortgage Amount
£
Reason for Mortgage
Mortgage Type
Lender Initial Rate Type For Then APR* ERC* Fee
Halifax Intermediary FTB 2 Year Tracker £999 Fee BHX1.29%TrackerSep-20214.24%3.9%30-Sep-2021 £999
Halifax Intermediary 2 Year Tracker £999 Fee Purchase BHX1.29%TrackerSep-20214.24%3.9%30-Sep-2021 £999
Furness BS 2 Year Discount £999 Fee (Scottish) BFU1.29%Discount2 years 5.79%5.2%2 years £999
Furness BS 2 Year Discount £999 Fee BFU1.29%Discount2 years 5.79%5.2%2 years £999
NatWest Intermediary 2 Year Tracker £995 Fee Purchase £250 Cashback CNW1.34%TrackerOct-20214.24%3.9%31-Oct-2021 £995
Leeds BS 2 Year Tracker £999 Fee Legal Assisted BLH1.38%TrackerAug-20215.69%4.8%31-Aug-2021 £999
Halifax Intermediary FTB 2 Year Fixed £999 Fee BHX1.39%FixedSep-20214.24%3.9%30-Sep-2021 £999
Halifax Intermediary 2 Year Fixed £999 Fee Purchase BHX1.39%FixedSep-20214.24%3.9%30-Sep-2021 £999
Skipton BS RETENTION 2 Year Fixed £995 Fee Rate Switch / Porting With Top Up SBS1.39%FixedJul-20214.99%4.1%31-Jul-2021 £995
Leeds BS 2 Year Discount £999 Fee Legal Assisted BLH1.39%Discount2 years 5.69%4.8%2 years £999
Mortgage product availability is subject to status and availability. Although great care is taken to ensure that product details are as accurate as possible no liability can be accepted for errors or omissions.
*APR = Annual Percentage Rate *ERC = Early Repayment Charge
*These figures are only illustrative. An assessment of your needs will be confirmed before a recommendation can be made. A Key Facts Illustration, which is personal to your circumstances, will be provided if a recommendation for a mortgage product is made.

Best Discounted Rates

LenderRateType
Furness BS 2 Year Discount £999 Fee (Scottish) BFU1.29%
then 5.79
(variable)
DiscountRead More
Furness BS 2 Year Discount £999 Fee BFU1.29%
then 5.79
(variable)
DiscountRead More
Leeds BS 2 Year Discount £999 Fee Legal Assisted BLH1.39%
then 5.69
(variable)
DiscountRead More

Best 5 Year Fixed Rates

LenderRateType
Halifax Intermediary FTB 2 Year Fixed £999 Fee BHX1.39%
then 4.24
(variable)
FixedRead More
Halifax Intermediary 2 Year Fixed £999 Fee Purchase BHX1.39%
then 4.24
(variable)
FixedRead More
Halifax Direct 2 Year Fixed £995 Fee Purchase BHX1.39%
then 4.24
(variable)
FixedRead More
Image

Get Guaranteed Lowest Rate Mortgages

Award-winning
Mortgage Advisers

Fast Decisions

National Coverage

Holistic Approach

Comprehensive Panel

Direct Access to Underwriters

No Obligation Quote

Send an Enquiry

Did you know we also offer these services?

No Sale, No Fee, Fixed Price

Low Cost, National Coverage

Instant Online Quotes