Second Mortgage Calculator
Your Second Mortgage Payment
Monthly Payment-
Total Interest Paid-
Total Amount Repaid-
Annual Cost-
Second Mortgage Rates Comparison 2025/26
| Loan | Rate | Term | Monthly | Total Interest |
|---|---|---|---|---|
| £25,000 | 5.5% | 10yr | £271 | £7,520 |
| £50,000 | 5.5% | 15yr | £409 | £23,540 |
| £75,000 | 6.0% | 20yr | £537 | £53,880 |
| £100,000 | 6.5% | 25yr | £675 | £102,500 |
Rates are indicative. Second mortgages carry higher rates than first mortgages due to the subordinate charge position.
Key Second Mortgage Facts
Typical Rate
4.5%–8%
Min Loan
£10,000
Max Combined LTV
75–85%
Arrangement Fee
£500–£1,500
Typical Term
5–25 years
Early Repay
1–5%
How to Use This Calculator
1
Enter the loan amount
Input the amount you wish to borrow as a second mortgage secured against your property.
2
Set the interest rate
Enter the annual interest rate offered. Second mortgage rates are typically 1-3% higher than first mortgage rates.
3
Choose the loan term
Select how many years to repay. Longer terms reduce monthly payments but increase total interest.
4
Select repayment type
Choose capital and interest (full repayment) or interest only (capital repaid at end of term).
5
Review your results
Check monthly payment, total interest and total repaid. Adjust inputs to compare different scenarios.
Frequently Asked Questions
What is a second mortgage?
A second mortgage is an additional loan secured against your property behind your existing first mortgage. If you default, the first mortgage lender is paid first from sale proceeds. Second mortgages let you borrow against equity without remortgaging.
How much can I borrow?
Most lenders allow a combined LTV of 75-85%. If your home is worth £300,000 with £150,000 outstanding, you could borrow £75,000-£105,000 as a second charge. Income affordability checks also apply.
What rates can I expect in 2025/26?
Second mortgage rates range from 4.5% to 8% depending on LTV, credit score and loan amount. Rates are lower if your combined LTV stays below 65%.
Is a second mortgage better than remortgaging?
If your first mortgage has a low fixed rate with large early repayment charges, a second mortgage preserves that rate. If no ERCs apply, remortgaging may offer lower overall cost.
What fees are involved?
Typical fees include arrangement fee (£500-£1,500), valuation (£150-£500), legal fees (£500-£1,000) and broker fee if applicable (£500-£1,000).
Can I get one with bad credit?
Yes, specialist lenders offer second mortgages to borrowers with CCJs, defaults and discharged bankruptcy. Rates will be 8-15% and maximum LTV lower.
What is the difference vs a secured loan?
They are the same product. Both refer to lending secured by a second charge on your property. Both require first mortgage lender consent.
Official Sources & References
Data verified against official UK government sources. Last checked April 2026.