Thinking about buying a second home, holiday home, or investment property? A remortgage to buy a second property can be an effective way to raise a deposit by using the equity in your current home.
At Empire Mortgages, we provide clear, expert advice to help you understand your options, compare deals, and decide whether remortgaging to fund a second property is the right move for you.
A remortgage to buy a second property means refinancing your existing mortgage onto a new deal and borrowing more than your current balance. The additional borrowing is then used as all or part of the deposit for your second property.
This approach is commonly used to:
Rather than relying solely on savings, you use the equity already built up in your current home to unlock new property opportunities.
There are several reasons homeowners explore releasing equity to fund another purchase:
Raising a deposit – use equity from your current home as the deposit for a second property.
Starting or growing an investment portfolio – purchase your first or additional buy to let properties.
Holiday or second home – buy a property in another location for personal use.
Helping family – provide a gifted deposit to children or relatives.
Restructuring your finances – combine remortgaging with securing a better rate on your current mortgage.
Empire Mortgages will help you weigh up the benefits and potential risks before you commit to any new borrowing.
How much you can raise through a remortgage depends on several key factors:
Current property value – the higher the value, the more equity may be available.
Existing mortgage balance – equity is the difference between your home’s value and what you still owe.
Loan-to-value (LTV) limits – lenders typically set maximum LTVs for remortgages.
Affordability – your income, outgoings, and other commitments must support the higher borrowing.
Credit history – a stronger credit profile can open up more options and competitive rates.
Purpose of the second property – buy to let, holiday home, or second residence are all assessed differently.
We will complete a detailed affordability assessment, explain how much you may be able to borrow, and show how it affects your monthly payments and overall mortgage term.
The way lenders view your application will depend on the type of second property you want to purchase.
Buy to Let Property – If you are buying a rental property, your remortgage funds will usually act as the deposit, and the new property will be financed with a buy to let mortgage. Lenders will assess both your personal finances and the expected rental income from the new property.
Holiday Home or Holiday Let – Buying a holiday home for your own use or as a holiday let may involve different criteria to standard buy to let. Some lenders have specific products for holiday lets, while others restrict usage. We can guide you through the most suitable options.
Second Residential Home – You may want a second residential property for work, family, or lifestyle reasons. In this case, lenders will look closely at your combined commitments, including both mortgages and other outgoings.
Helping Family or Children Purchase – You may choose to remortgage to release equity and use the funds as a gifted deposit for a child or relative. Lenders often have specific requirements around gifted deposits, which we will explain clearly.
When considering a remortgage to buy a second property, lenders will review:
Your income and regular outgoings
Existing borrowing and financial commitments
The amount of equity and resulting loan-to-value
Your credit history and recent financial behaviour
The intended use of the second property (residential, buy to let, holiday home)
Potential rental income (for buy to let or holiday let purchases)
Any early repayment charges on your current mortgage
Stamp Duty implications for owning more than one property
Higher Stamp Duty Land Tax usually applies to additional properties, so it is important to factor this into your overall budget. We will discuss these costs with you as part of the advice process.
At Empire Mortgages, we specialise in helping clients structure their borrowing sensibly when buying additional properties. Our role is to ensure you understand your options and the long-term implications of any new borrowing.
With us, you benefit from:
Over 60 years of combined mortgage experience
Whole-of-market access to a wide range of lenders and products
Tailored advice based on your goals and financial position
Support in arranging both the remortgage and second property mortgage, where required
Clear explanations of rates, fees, and lender criteria
Flexible appointments by phone, video, or in person
Whether you are an aspiring landlord, a growing investor, or simply looking for a second home, we will guide you through the remortgaging process from start to finish.
We follow a structured process to help you raise the funds you need confidently and efficiently:
Initial Consultation and Affordability Check – We review your income, outgoings, current mortgage, and goals for the second property.
Property Valuation – A valuation of your current home confirms how much equity is available and what loan-to-value a lender may accept.
Whole-of-Market Remortgage Search – We compare remortgage deals from across the market, considering both rate and flexibility.
Application Preparation and Submission – Once you are happy with a recommendation, we submit the remortgage application and manage the supporting documents.
Approval and Release of Equity – When the remortgage completes, your existing mortgage is repaid and the surplus funds are released as a lump sum, which you can then use as a deposit for your second property.
Second Property Purchase – We can also assist with arranging the mortgage on the new property, ensuring both elements work together as part of your overall strategy.
A remortgage to buy a second property is not the only option. Depending on your circumstances, you might also consider:
Further Advance – borrowing more from your current lender without changing provider.
Second Charge Mortgage – an additional secured loan alongside your existing mortgage.
Savings or Investments – using existing savings as all or part of the deposit.
Family Gift or Joint Purchase – combining your resources with family members.
Each approach has different pros, cons, and cost implications. Empire Mortgages will help you compare options and choose the route that fits your plans and risk profile.
Based in Dunfermline, Empire Mortgages works with clients across Fife and the surrounding areas, including Kirkcaldy, Glenrothes, Cupar, St Andrews, Leven, and further afield.
Our combination of local market knowledge and whole-of-market mortgage access allows us to provide practical, relevant advice to homeowners looking to purchase additional properties.
Whether you are planning a buy to let investment, a holiday home, or a second residence, Empire Mortgages can help you understand your options and decide if a remortgage to buy a second property is right for you.
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Yes. Many homeowners remortgage to release equity which is then used as a deposit for a second home, buy to let, or holiday property, subject to lender criteria and affordability.
This depends on the price of the second property, the deposit required, and your current mortgage balance. We will help you calculate what is realistic.
Yes. It is common for landlords to use a remortgage on their home to raise a deposit for a buy to let. Lenders will assess both your personal finances and the projected rental income.
In most cases, buying an additional property means paying higher rates of Stamp Duty Land Tax. We will highlight this so you can budget accurately.
It may still be possible, but options and rates can be more limited. We work with a range of lenders, including those who consider less-than-perfect credit.
Typically, a remortgage takes around 4–8 weeks, depending on the lender, valuation, and legal work involved.
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The guidance provided within this website is subject to the UK regulatory regime and is therefore primarily targeted at consumers based in the UK.
Empire Mortgages Ltd is an Appointed Representative of PRIMIS Mortgage Network, a trading name of TenetLime Ltd. TenetLime Ltd is authorised and regulated by the Financial Conduct Authority. Tenet Lime Ltd is entered on the Financial Services Register (www.fca.org.uk/register) under reference 150643.
Empire Mortgages Ltd may charge a fee for mortgage advice. The amount of the fee will depend on your circumstances and will be discussed and agreed with you at the earliest opportunity. Our typical fee is £295 payable on receipt of a full mortgage offer.
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