Compare Secured Loans Northern Ireland

If you own a home in Northern Ireland you might be able to use that property as collateral when you’re taking out a loan, which means you’d likely be offered a better interest rate by your lender. This type of ‘secured loan’ can often enable you to borrow a higher amount as well, specifically because you’re putting up your Northern Ireland property as security against your debt.

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Secured Loans NI

Using your Northern Ireland home as security (or another Northern Ireland property, if you own a buy-to-let) is a decision that shouldn’t be taken lightly, because there’s a risk that your home could be repossessed by the lender if you fail to meet the loan repayments.

But if you’ve done your sums and are confident that you can afford to take out a secured NI loan (and have also factored enough buffer into those calculations to allow for any unforeseen events that might arise), then a loan secured against your Northern Ireland property could prove more cost effective that borrowing the same amount from the same lender via a personal loan.

Still, even though secured NI loans usually offer cheaper interest rates than unsecured loans it’s a good idea to shop around by comparing offers from a range of different lenders. That way you stand a better chance of finding a suitable unsecured loan at the best possible price.

Can I take out a secured loan against my Northern Ireland property if I haven’t paid off my mortgage yet?

Yes, it is often possible to take out a secured NI loan against your Northern Ireland property even if you haven’t paid off your mortgage in full yet.

However, it’s important to bear in mind that this ‘second charge’, as it’s often known, can only be borrowed against the equity you currently have in your home, which is the proportion of the property’s value that you now own outright.

In practice that means if you’re on an interest-only mortgage (or you’ve recently reduced your level of homeowner equity when remortgaging your home) there's a good chance you might not qualify for a secured NI loan at this stage.

How much can I borrow when I’m taking out a secured NI loan?

As already mentioned, the amount of equity you currently hold in your property will have a big impact on how much you can borrow against that asset when you're taking out a secured loan.

However, a range of other affordability factors will also play a role, including:

  • Your gross salary or self-employed income
  • Any other income you might have
  • Your spouse’s or partner’s income, if you’re apply for a joint loan
  • Your typical outgoings
  • Your other outstanding debt obligations
  • Your credit history.
How can I find the best secured loan rates in Northern Ireland?

Each lender has its own lending criteria, so in order to find the best secured loan rates it’s vital that you shop around. While many homeowners in Northern Ireland might be tempted to go with their existing bank or mortgage company, it really is a good idea to compare secured loans from a wide range of different secured loan companies.