A simple guide to securing a second mortgage

Thinking about buying a second home? Then, use this article as your guide to getting a second mortgage.

09:22 22 August 2013

The first thing that you need to understand when taking out a mortgage for a second home purchase is that the criteria that lenders will use are not similar to traditional residential mortgage. When you apply for this type of mortgage, lenders would want to make sure that you can afford to pay for both mortgages.

When looking for the best rate for your second mortgage, the following are things that you would want to seriously consider:

• Interest rate. You would want to make sure that you’re getting the lowest available out there.

• Amount of deposit required and the maximum loan to value.

• Additional charges and fees you would need to pay.

You would want to shop around for best deals before you sign anything.