Increasing similarities between first charge and second charge loans makes it much easier for mortgage brokers to use the products, according to Specialist Mortgage Group CEO Matt Cottle.
Speaking on Specialist Lending Solutions Television in association with Shawbrook, Cottle said second charges had gone through a significant overhaul during the last decade.
“Second charge loans and first charge loans are so similar these days,” he said.
“It used to be very much a first charge marketplace and a small section of the market which we called secured loans, which was a kind of bolt-on product.”
He highlighted the similarities noting “the aligning of rates and type of products like discounted products, part-capital repayment, part interest-only”.
“And because first charge mortgages are called first charge mortgages and now secured loans are called second charge mortgages, its more understandable for the mortgage intermediary to see where the products can align and where they fit,” Cottle added.
[For intermediaries only]
Panel:
Caroline Mirakian, head of intermediary distribution at Shawbrook Bank
Matt Cottle, CEO of Specialist Mortgage Group
Shekina is the deputy editor at Mortgage Solutions and commercial editor at Mortgage Solutions and Specialist Lending Solutions. She has nearly eight years of experience in the B2B publishing market, having previously covered the hospitality, retail, pet, accounting and jewellery sectors.
Shekina has worked for Mortgage Solutions and Specialist Lending Solutions for almost five years. Here, she covers the market’s breaking news stories, engages with professionals in the sector, and oversees any commercially agreed content in partnership with mortgage-related companies.
This includes presenting webinars and hosting roundtable discussions on developing themes in the mortgage sector.
She is an NCTJ-trained journalist and was nominated for the Headline Money Awards Mortgage Journalist of the Year in 2021.
In her spare time, Shekina likes to read, travel, listen to music and socialise with friends.
She currently reports on current events in the mortgage market and liaises with financial clients to produce sponsored content.
Follow her on Twitter at @ShekinaMS