Home Improvement Loans

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  • Adverse and bad credit considered
  • Homeowner loans from £10,000 to £250,000
  • Always get the lowest rate available for you
  • Best loan plans from all leading lenders
  • No upfront fees, hidden costs or charges.
  • 100s of 5 star reviews

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REPRESENTATIVE APRC 7.9%
The actual APRC you are eligible for depends on your individual circumstances.

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Free, no obligation

Whether you need a homeowner loan or a mortgage on a property, all our quotes are free and given with pleasure.

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Direct to lender only

Unlike a lot of sites, we only partner with legitimate lenders. We won't give your details to other brokers or intermediaries.

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Credit score unaffected

Our lending partners and loan.co.uk use a soft search to check eligibility, so there is no effect on your credit score.

Your homeowner loan in 4 simple steps

 

Tell us what you need

Fill out our online application form to get things moving. We will find the lowest rate homeowner loan that suits you best.

Check the loan details

Good to go? Now’s the time to make sure that you’re happy with your homeowner loan and rate. And you’re confident that you can afford the repayments.

Chat with the lender

Taking out a large loan? Our lender will give you a quick call to discuss the homeowner loan. It’ll only take a few minutes and protects you and the lender.

Receive your homeowner loan

And it’s done! Your homeowner loan will land directly in your bank account, ready for you to enjoy. And things will be even simpler if you fancy using our service again.

Reviews louder than words.

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4.97/5 Rating pink-tick-small-icon

Richard Booker


“Loan.co.uk was amazing in sorting my loan for me, very professional & polite.”

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Debbie Lee


“Very friendly and helpful. Phone calls and emails answered in friendly manner. Would recommend to friends.”

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Shaun Watson


“Very proactive and very helpful. Always happy to help and always on the phone to answer any questions. ”

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M. S. Mortimer


“I’ve used loan.co.uk twice now, always found them very helpful and attentive. They sorted a loan and a mortgage out for me, very quickly.”

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Jack Pummell


“Excellent service. Loan.co.uk helped me every step of the way and helped me through the process from start to finish. ”

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What is a homeowner loan?

A homeowner loan (second charge mortgage) is a loan available to homeowners only. It enables you to borrow money against the value of your property as long as you have equity in it. This type of loan can enable you to borrow more, over a longer term and at a lower interest rate than an unsecured loan (such as a personal loan). This can mean lower monthly payments. They can be a great alternative to a remortgage. Especially if you’d face penalties for repaying your current mortgage, if your circumstances have changed or the rates on offer are higher than that you’re already paying.

A homeowner loan almost anything, but they’re typically useful for people needing access to money but without a good credit rating. Many people use homeowner loans to consolidate debt (pay off lots of loans and credit card balances) or to make home improvements.

Your mortgage and homeowner loan are completely separate, so any mortgage deal you have in place isn’t affected. But remember that your mortgage and your amount of equity in your property might affect how much you can borrow with a homeowner loan in the first place.

How does a homeowner loan work?

Homeowner loans are a type of secured loan that is secured against your property. This means that the property is used as collateral.

Homeowner loans are often taken out in addition to an existing mortgage. This means that the mortgage is the first borrowing against the property, known as the ‘first charge’, with the homeowner loan as the second borrowing or ‘second charge’. That is why homeowner loans are sometimes known as ‘second charge mortgages’ or ‘second mortgages’. They are also known as home equity loans, as they use your home’s equity (the value of your interest in your home) as collateral.

How much can I borrow with a second charge loan?

You can borrow between £10,000 and £10,000,000.

You can usually borrow up nearly the amount as you have equity in your property. ‘Equity’ means the proportion of your property that you own outright, free and clear of a mortgage or other loans secured against it. A secured homeowner loan usually offers flexible repayment terms, so you could choose to spread your repayments over a longer period than is usually possible with an unsecured loan.

Be sure to only borrow the amount you need and over the shortest time period you can afford, as a secured loan is secured against your home, so if you miss repayments it could put your property at risk.

Do I need a deposit for a homeowner loan?

No, you are not using the loan to purchase an asset, such as with a mortgage, so a deposit is not required.

What will lenders look at when deciding if I’m eligible for a homeowner loan?

Typically, they will look at your credit history and credit score, but in this case, because the loan is secured on your house, the lenders will also want to know the value of the property and the sum still outstanding on the mortgage (if anything) and whether there are any other loans secured on the property.

What would I use a secured homeowner loan for?

A homeowner loan, sometimes known as a second charge mortgage or a secured loan, can be used for almost anything. The most common reasons are debt consolidation, home improvements or large personal purchases.

If you’re looking to consolidate your existing debts, such as credit cards and high rate loans, you can take advantage of a lower interest rate and cut the amount going out on monthly repayments.

Why would I choose a secured homeowner loan?

The rates are normally very competitive and if you are a homeowner and need to borrow more than about £35,000 then a lender would normally want security to make sure they get repaid.

As the equity you have in your property is used to guarantee your repayments, homeowner loans are a good option if you have a poor credit history or are self-employed and would otherwise struggle to get approval for a large loan at a good rate.

How is the second charge mortgage repaid?

As with most types of loan, the repayments will be collected automatically via Direct Debit. The interest rate and amount will typically be fixed for the duration of the loan, making it easy for you to budget for it.

How long is the repayment period?

Just like mortgages, homeowner loans offer long-term borrowing. At Loan.co.uk, homeowner loan terms range from five to 35 years.

What happens if I can’t repay the loan?

You could reach out to the lender to explain why you are having problems repaying the loan. Based on this, they may work with you on a suitable repayment plan. But, if you don’t work with the lender and continue to miss payments, they could repossess your home as a last resort. That is because with a homeowner loan, you are essentially promising to use your property to pay the money back if you cannot make the repayments.