Pepper Money completes second charge for BTL investment and home improvements

11 February 2025

Pepper Money has completed a second charge mortgage with The Loan Partnership for a customer looking to finance a buy to let investment and home renovations.

The customer approached The Loan Partnership with the objective of securing a loan to fund the deposit for a Buy-to-Let property and home improvements, which include a loft conversion, a new kitchen and bathroom, new windows and doors, electrical rewiring, and central heating.

The customer was the director of a limited company and the loan amount required was nearly £200k. The Loan Partnership chose Pepper Money because of the lender’s progressive approach to assessing self-employed income and its ability to structure a 30-year loan term, with the first five years on an interest only basis before switching to repayment.

Joe Defries, Managing Director at The Loan Partnership, says:

“This case was an excellent example of how raising capital with a second charge mortgage can help customers to take great strides towards their life goals – providing the funds for both a Buy-to-Let deposit and significant home improvements. Working with Pepper to complete the loan was quick and easy, even considering the customer’s self-employed income and appetite for interest only during the first five years.”

Ryan McGrath, Second Charge Sales Director at Pepper Money, says:

“The property market may have been slow in recent years, but prices have continued to climb, and many homeowners will find that they’re sitting on significant equity in their homes, at the same time as having life aspirations that need funding. Whether it’s investing in a new property, or making improvements to a current home, this case demonstrates the role that a second charge mortgage can play in helping a customer to achieve their goals.”