Upgrade Your Home with a Secured Loan
We Compare 100's of loans from leading lenders
Planning a new kitchen, loft conversion, extension or major home renovation? A secured home improvement loan could help you fund the work using the equity in your property.
Unlike remortgaging, a secured loan can allow you to raise additional money without replacing your existing mortgage deal. This can be particularly useful if you’re on a competitive fixed rate that you’d prefer to keep.
At Willows Finance, we work with lenders that consider a wide range of home improvement projects, including properties where renovation work has already started. Some lenders will also consider homeowners with bad credit or properties undergoing more extensive refurbishment.
We can help you understand which type of finance may be suitable for your plans and what lenders will need to know about the property.
Yes. Home improvements are one of the most common reasons homeowners take out secured loans.
Depending on the lender, you may be able to borrow for projects such as:
Kitchen and bathroom renovations
Loft conversions
Extensions and additional living space
New windows, doors or roofing
Electrical, plumbing and heating upgrades
General refurbishment and decorating
Structural alterations, subject to lender criteria
Energy-efficiency improvements
A secured loan allows you to borrow against the available equity in your property, with repayments usually spread over an agreed number of years.
The amount available will depend on factors including your property’s value, existing mortgage balance, income, credit history and the lender’s affordability assessment.
You don’t necessarily need to be carrying out work that increases the property’s value, although it’s worth considering whether the cost of the improvements is justified.
Yes. Many secured loan lenders will consider properties where home improvements are already underway.
However, the condition of the property during the work is important.For light refurbishment, lenders will generally want the property to remain:
Watertight
Structurally sound
Suitable to live in
Equipped with working kitchen and bathroom facilities
For example, if you’re replacing a kitchen but still have usable cooking and washing facilities, some lenders may be willing to consider the property.
Similarly, decorating, replacing flooring or carrying out other non-structural improvements may not prevent a secured loan application.
However, the lender may need more information if major work has started or the property has become difficult to live in.
If you’re partway through a renovation, tell us what work is being carried out and which facilities are currently usable. We can check which lenders may consider the property in its present condition.
Potentially, although the options may be more limited than for light refurbishment.
Lenders are likely to take a closer look at properties undergoing extensive building work, particularly where structural alterations are involved. For example, this might include:
Removing or altering load-bearing walls
Building a large extension
Major roof alterations
Significant internal reconstruction
Work that temporarily affects essential facilities
The lender may require an in-person property valuation to establish the condition of the home and whether it remains suitable security for the loan.
They may also ask for details of the proposed works, their current stage and any relevant planning or building regulations documentation.
Some lenders may accept the property while work is underway, while others may require certain stages of the project to be completed first.
Our advisers can help establish which lenders may consider the work you’re undertaking before you proceed with an application.
Our guide covers answers to some common property-related questions.
We have loans for all credit types even if you have a less than perfect score
Find the financial boost you need to start or grow your property portfolio
Get the help you need to remortgage or resolve a complex application.
Getting a quote won’t affect your credit score
If your property is no longer suitable to live in, a standard secured loan may be difficult to arrange.
For example, lenders may be reluctant to accept a property that has:
No functioning kitchen or bathroom
Serious structural problems
An incomplete or exposed roof
No essential services
Extensive unfinished building work
However, bridging finance may be an alternative. A bridging loan is a form of short-term borrowing that can sometimes be used to fund refurbishment work on a property that wouldn’t meet the condition requirements of a conventional secured loan.
Bridging loans work differently from standard secured loans. They typically have higher borrowing costs and require a clear plan for repaying the loan, such as selling the property or refinancing once the work is complete.
At Willows Finance, we can help you explore whether a standard secured loan or a refurbishment bridging loan is more suitable for the condition of your property and your plans.
Yes. Some secured loan lenders will consider borrowing for extensions, loft conversions and other substantial home improvements.
For example, you may want to add an extra bedroom, create a home office or extend your kitchen.
If the work hasn’t started, the lender will usually assess the property in its existing condition and consider the amount you want to borrow.
If building work is already underway, the lender may also need to establish whether the property remains habitable and whether the proposed alterations affect its suitability as security.
For more extensive projects, a lender may request an in-person valuation or supporting information about the work. If you’re planning a major project, it’s worth discussing the finance before construction begins, particularly if the work will temporarily remove essential facilities or affect the property’s structure.
It depends on your existing mortgage and the amount you need to borrow. A secured loan is usually arranged as additional borrowing against your property, often as a second charge behind your main mortgage.
This means you can potentially keep your existing mortgage in place rather than replacing it. That can be useful if you’re currently on a low fixed mortgage rate or would face early repayment charges for remortgaging. However, a secured loan has its own interest rate, fees and repayment terms.
You should compare the total cost of the different options rather than assuming one will always be cheaper.
| Secured home improvement loan | Remortgage |
|---|---|
| Usually sits alongside your existing mortgage | Replaces your existing mortgage |
| May allow you to retain your current mortgage rate | Your existing mortgage deal may change |
| Separate monthly repayment | Usually one new mortgage repayment |
| Separate interest rate and potential fees | New mortgage rate and potential fees |
| Can be useful where remortgaging would trigger early repayment charges | May be suitable where a new mortgage offers better overall terms |
Our advisers can help you consider whether additional secured borrowing or a remortgage may be more appropriate for your circumstances.
We’re extremely proud to be rated ‘Excellent’ for our service standards year after year. Since 2008 we’ve helped thousands of customers across the UK to find the right finance for their needs – no matter how complicated the circumstances.
The amount available depends on the equity in your property and whether you can afford the repayments. Equity is the difference between your property’s current value and the amount you owe on your mortgage and any other loans secured against it. For example, if your home is worth £300,000 and you owe £180,000 on your mortgage, you have £120,000 of equity before allowing for any other secured borrowing.
However, that doesn’t mean a lender will allow you to borrow the full £120,000. Lenders apply maximum loan-to-value limits and assess your income, credit history, existing commitments and the proposed loan term. Some lenders may also have minimum and maximum loan amounts.
If you tell us your estimated property value, outstanding mortgage and how much you need for the renovations, we can check which lenders may be suitable.
Yes. Some specialist secured loan lenders consider applications from homeowners with adverse credit histories.
Depending on the lender and the circumstances, this may include:
Missed or late payments
Defaults
County Court Judgments (CCJs)
Mortgage arrears
Individual Voluntary Arrangements (IVAs)
Previous bankruptcy
However, not every lender accepts every type of credit issue. For example, a lender may consider a historic satisfied CCJ differently from a recent unsatisfied judgment. Similarly, an active IVA or recent bankruptcy may significantly restrict the options available.
Lenders will also assess affordability, available equity and how you’ve managed your financial commitments.Interest rates and other terms may be less favourable where the lender considers the application higher risk.
At Willows Finance, we work with specialist lenders that assess different credit circumstances. If you’ve experienced credit problems, we can help establish which lenders may consider your application.
Depending on the lender, secured home improvement loans may be available with fixed or variable interest rates.
With a fixed-rate loan, your interest rate remains the same for an agreed period. This can make budgeting easier because your monthly repayments generally stay consistent during the fixed-rate period. You should check what happens when that period ends, as the loan may move to a different rate.
With a variable-rate loan, the interest rate can change. Depending on the product, the rate may be linked to the Bank of England base rate or determined by the lender’s standard variable rate. This means your monthly repayments could rise or fall. If you’re considering a variable-rate loan, it’s important to establish whether you could still afford the repayments if interest rates increased.
Our advisers can explain the available rate arrangements and how they could affect the cost of your borrowing.
Before taking out a secured loan, it’s worth thinking carefully about the cost of the project and the longer-term commitment.
Consider:
Your renovation budget: Have you allowed for unexpected costs or delays?
Whether the work is essential: Could you complete the improvements in stages or save towards some of the cost?
The total cost of borrowing: How much interest and fees will you pay over the full loan term?
Your monthly budget: Could you still afford repayments if your circumstances changed?
Other finance options: Would savings, an unsecured loan, a further advance or remortgaging be more suitable?
The value of the improvements: Will the project improve your enjoyment of the home, its value, or both?
A longer repayment term may reduce monthly repayments, but it can increase the total interest paid.
It’s also important not to assume that spending £30,000 on improvements will automatically add £30,000 to your property’s value.
Because a secured loan is backed by your home, missed repayments can have serious consequences.
Finding the right finance doesn’t have to be complicated – so, we’ve made the process clear and simple. Whether you’re applying for a Secured Loan, Mortgage or Bridging Finance, we’ll compare the market for the best options that meet your criteria and provide you with a fast no-obligation quote.
The initial enquiry takes under 2 minutes to request an in-principle loan or mortgage quote.
We compare a wide range of lenders to provide your best options quickly – without affecting your credit score.
Happy with your quote – we’ll make completing the process simple and easy for the lender to approve.
We’re here to help every step of the way and ensure you get your money quickly.
The exact documents depend on the lender and the nature of your project. You may be asked for:
Proof of identity and address
Evidence of income
Details of your existing mortgage
Information about your property’s value
Details of the amount you want to borrow
Information about the planned or ongoing renovation work
Building plans, quotations or other project documents, where required
For properties undergoing major refurbishment, the lender may also require an in-person valuation or further details of structural alterations.
Not every lender will require a full set of building plans or quotations for routine home improvements.
We can help you understand what information is needed for your particular project.
The first step is to establish how much you need to borrow and what work you intend to carry out.
At Willows Finance, we can help you explore lenders based on your property, available equity, income, credit history and renovation plans.
If building work has already started, we’ll also consider whether the property’s current condition meets the lender’s requirements.
Once a suitable option has been identified, the lender will carry out the relevant affordability, credit and property checks.
Some applications may require an in-person valuation or additional documents.
You can request an initial, no-obligation quote without affecting your credit score. A lender may carry out a full credit search if you proceed with an application.
Whether you’re planning a new kitchen, extending your home or already partway through a renovation, we can help you explore suitable borrowing options.
At Willows Finance, we work with lenders that consider different types of home improvement projects, including some properties undergoing refurbishment.
Already started building work? Tell us whether your home is still watertight, structurally sound and has working kitchen and bathroom facilities. This can help us establish which lenders may consider it.
If your property is currently uninhabitable, we can also discuss whether refurbishment bridging finance could be an alternative.
Request a free, no-obligation quote or call 01656 766 158 to speak with one of our experienced advisers.
Your home may be repossessed if you do not keep up repayments on a loan secured against it.
If you have a question – we’d be happy to talk to you – simply call us…
(Mon-Fri 9am-8pm, Sat 10am-1pm)
Our Rating
At Willows Finance we ensure your personal information is kept secure and confidential.
PRIVACY OF YOUR INFORMATION
At Willows Finance Ltd, we appreciate that your privacy is extremely important to you. With this in mind, we have put in place a number of measures to ensure that any personal details we obtain from you as a result of visiting this website is processed and maintained in accordance with accepted principles of good information handling and also in accordance with the Data Protection Act 1988.
This statement provides you with details of the type of information we may hold about you, how we obtain and use information and how we protect your privacy.
Willows Finance Limited
Brocastle, Bridgend, CF35 5AS
Authorised and regulated by the Financial Conduct Authority
Firm Reference Number: 670052
Company Number: 06678545 (Registered in England and Wales)
This document explains the services we provide, the range of lenders and products we consider, how mortgage advice may be provided, and how Willows Finance may be paid. Please read it carefully before proceeding with an application.
If you need clarification about any part of this document, please contact us on 01656 766158.
Willows Finance arranges first and second charge mortgage products. Depending on the circumstances of the application, these may include:
We also arrange both regulated and unregulated bridging finance.
Not every product will be suitable or available to every customer. The products considered will depend on your circumstances, borrowing requirements, purpose of the borrowing, property, intended use of the property and the relevant lender criteria.
Depending on your circumstances, Willows Finance may:
If you are looking to increase borrowing secured on a property which already has a regulated mortgage, there may be different ways of raising the additional funds. Depending on your circumstances, these may include:
Where applicable, we will make you aware of these alternatives before proceeding. The options we are able to assess or advise on will depend on the service being provided and the lenders available to us.
The regulatory status of a mortgage or bridging loan depends on the circumstances of the transaction, including the property, how it is or will be occupied, the purpose of the borrowing and the customer’s circumstances.
Our business includes:
We will identify the regulatory status applicable to your application and explain the service and protections that apply. The protections available to you can differ depending on the type of mortgage or loan.
The range of lenders and products we consider depends on the type of finance you require.
We offer a comprehensive range of second charge mortgages from across the relevant market using a representative panel of lenders. We review our panel regularly to ensure that it remains sufficiently broad and representative. We do not consider products that are only available by applying directly to a lender.
We only offer first charge mortgages from a limited panel of 13 lenders. We consider the first charge mortgage products made available to us by Kensington Mortgages, The Mortgage Works, Aldermore, United Trust Bank (UTB), Together, Masthaven, West One, Norton, Bluestone, Vida, Pepper Money, Mansfield Building Society and Nationwide Building Society.
We do not offer every first charge mortgage available from across the market.
We consider products from a range of lenders available to Willows Finance for the relevant transaction.
Consumer Buy-to-Let and unregulated Buy-to-Let applications are considered within the relevant first charge, second charge or bridging route, depending on the structure of the transaction.
We do not provide a whole-of-market service and do not claim to consider every mortgage or secured finance product available in the UK. Our assessment is based on the lenders and products available through our lender and distribution arrangements.
Where the applicable regulatory rules require us to identify the lenders whose products we offer, the relevant lender list will be provided to you in a durable medium as part of the initial disclosure for your application. A lender list is also available on request where applicable.
The service provided will depend on the lender, product and application route identified for your circumstances.
Where Willows Finance provides the mortgage advice, we provide an advised mortgage broking service. We will obtain information about your needs and circumstances, assess the lending options available within the scope of our service and, where appropriate, make a mortgage recommendation.
We will make it clear where Willows Finance provides the mortgage advice and recommendation.
We may also provide a packaging service. This is a non-advised administrative service under which we may collect information and supporting documents, complete administrative checks, liaise with the relevant parties and submit or progress an application.
When we provide a packaging service, we do not assess the suitability of the mortgage, provide mortgage advice or make a personal recommendation. Any regulated mortgage advice or recommendation will be provided by the appropriately authorised intermediary responsible for advising you.
Our packaging service is not a regulated advisory service. However, the mortgage itself and any arranging activity connected with it may still be regulated and subject to the applicable regulatory requirements. We will explain the nature and regulatory status of the service we are providing before you proceed.
For some applications, particularly certain second charge mortgage applications, our sourcing exercise may identify a route where the subsequent mortgage advice is provided by another regulated mortgage intermediary.
In these cases, the Willows Finance service may include:
After the introduction, the receiving intermediary may take over the detailed application, advice and recommendation process. We will make it clear where this type of referral arrangement applies.
Where our sourcing process identifies Evolution Money Limited as an appropriate route and we introduce your application to Evolution Money, Willows Finance will not provide the regulated mortgage advice or make the final mortgage recommendation in relation to the Evolution mortgage.
Following the introduction, Evolution Money Limited will take over the detailed application and advisory process. Evolution Money will assess your needs and circumstances and will be responsible for any regulated mortgage advice and recommendation it provides in relation to the Evolution mortgage.
Willows Finance remains responsible for the service it provides before and in connection with the referral, including its initial assessment, sourcing and introduction activity.
If you are experiencing financial difficulty, or if you are considering borrowing to consolidate existing debts, free and impartial debt advice is available from MoneyHelper and other free debt-advice organisation.
MoneyHelper: www.moneyhelper.org.uk
You should consider obtaining free debt advice if you are unsure whether further borrowing or debt consolidation is right for you.
We process your personal information in accordance with our Privacy Policy. Where we introduce you to a lender or another intermediary, that organisation will process your information in accordance with its own privacy information.
Willows Finance Privacy Policy: willowsfinance.co.uk/privacy-cookie-policy/
The way Willows Finance is paid depends on the lender, product and application route. We may receive a fee paid by you, commission paid by a lender or another third party, or a combination of these. We will explain the basis on which we will be remunerated in connection with your application.
Where Willows Finance off an advised service our fees are split into two parts. A fee for the advice you receive and a fee for the processing of the application to completion. Both of these fees can be added to the loan rather than paid upfront or you have the option of paying them in advance. We do not arrange loans below £10,000.
For the advice the fee is as follows;
For a first charge mortgage, our advice fee is 5% of the amount borrowed, subject to a minimum fee of £625 and a maximum fee of £1,250.
For a second charge mortgage, our advice fee is 5% of the amount borrowed, subject to a minimum fee of £625 and a maximum fee of £1,750.
For a first charge mortgage, our processing fee is 5% of the amount borrowed, subject to a minimum fee of £625 and a maximum fee of £1,250.
For a second charge mortgage, our processing fee is 5% of the amount borrowed, subject to a minimum fee of £625 and a maximum fee of £1,750.
| Service | First charge | Second charge |
|---|---|---|
| Advice fee | 5%, min £625, max £1,250 | 5%, min £625, max £1,750 |
| Processing fee | 5%, min £625, max £1,250 | 5%, min £625, max £1,750 |
On borrowing of £10,000 5% would be £500, but the minimum fee for advice and processing means that we would charge £625 for each to £1250 in total.
On borrowing £20,000 the total fees would be £2,000
On borrowing £50,000 the maximum fee means that we would charge a total of £2500 for a 1st charge mortgage and £3500 for a 2nd charge mortgage.
If your mortgage or loan completes following an introduction made by Willows Finance, we will receive commission from the lender or another third party in the distribution chain unless we tell you otherwise. Different lenders may pay different amounts and may use different commission models.
Commission models may include:
The availability or amount of commission does not determine which lender we consider appropriate for your circumstances. Where applicable, we will tell you that commission will be received.
For an MCD regulated mortgage (a mortgage within the Mortgage Credit Directive rules), where the exact amount of commission is not known at the time of the initial disclosure, we will tell you that the actual amount will be disclosed later in the ESIS. Where applicable and on request, we will also provide information about how commission levels vary between lenders offering the mortgage being considered.
Where we introduce you to Evolution Money, the commercial arrangement is different from a broker fee charged directly by Willows Finance.
Under the current Evolution arrangement, Evolution Lending charges a Product Fee equal to 10% of the net loan advance, subject to a maximum of £5,000. If the mortgage completes, Evolution pays the corresponding amount to Willows Finance as commission/remuneration for the sourcing, distribution and introduction service.
The amount of the product fee and the amount of remuneration payable to Willows Finance will be disclosed to you in the relevant mortgage documentation before completion.
Example: on a £10,000 net advance, a 10% Product Fee would be £1,000. The actual Product Fee and the amount of commission payable to Willows Finance will be set out in the relevant Evolution mortgage documentation before completion.
If you choose to add a Product Fee or other fee to your mortgage, interest will be charged on that amount while it remains outstanding, increasing the total amount you repay.
Where a Willows Finance fee is payable only on completion, it will not become payable if the mortgage does not complete. Any fee payable before completion, third-party costs and the circumstances in which a fee is refundable or non-refundable will be explained where applicable.
Fees which have become payable following completion are generally non-refundable unless the relevant contractual terms, applicable law or regulatory redress require otherwise.
Before you become bound by a regulated mortgage, you will receive the relevant mortgage illustration or European Standardised Information Sheet (ESIS) and the lender’s offer documentation as applicable.
These documents contain important information about the proposed mortgage, which may include:
Please read these documents carefully. If anything is unclear or does not reflect your understanding, contact the firm responsible for the advice or recommendation before proceeding.
You may tell us that you no longer wish to proceed with an application before completion. Whether any third-party cost is payable or refundable will depend on its own terms.
For an MCD regulated mortgage (a mortgage within the Mortgage Credit Directive rules), the lender will provide a binding offer with a reflection period of at least seven days. You may normally accept the offer during that reflection period if you decide to proceed.
Once a mortgage has completed, there is generally no right simply to cancel or withdraw from the mortgage. You may have a right to repay the mortgage early in accordance with its terms, and an early repayment charge may apply.
Always check the early repayment section of the ESIS and mortgage offer before completion if early repayment or regular overpayments are important to you.
If you miss or make late payments, the lender may apply charges, and your credit record may be affected. Continued failure to maintain payments may result in enforcement action and ultimately repossession of the property used as security.
If you are experiencing financial difficulty, contact your lender as soon as possible and consider obtaining free independent debt advice.
Consolidating existing debts into a mortgage can reduce monthly payments but may increase the total amount of interest you pay if the borrowing is repaid over a longer period.
Debts which are currently unsecured may become secured against your home. Extending the repayment period may mean that you pay considerably more overall even where the monthly payment is lower.
Interest rates on variable-rate mortgages can increase, which may increase monthly repayments and the total amount repaid.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR OTHER LOAN SECURED ON IT.
If you are dissatisfied with any aspect of the service provided by Willows Finance, please contact us:
Willows Finance Limited
Brocastle, Bridgend, CF35 5AS
Telephone: 01656 766158
Email: [email protected]
We will investigate your complaint in accordance with our complaints procedure. If you remain dissatisfied with our final response, or in other circumstances where you are eligible to do so, you may be able to refer your complaint to the Financial Ombudsman Service.
Financial Ombudsman Service: www.financial-ombudsman.org.uk
Where another regulated intermediary has provided the mortgage advice or recommendation, complaints about that firm’s advice should normally also be raised with that firm. You can still complain to Willows Finance about the service provided by Willows Finance.
The Financial Ombudsman Service can generally consider complaints about regulated or otherwise covered activities, including certain activities that are ancillary to them. It may not be able to consider a complaint that relates solely to an unregulated product or service and has no connection with a regulated or otherwise covered activity. Whether a complaint falls within its jurisdiction will be determined by the Financial Ombudsman Service based on the individual circumstances.
Willows Finance Limited is covered by the Financial Services Compensation Scheme for eligible regulated activities. If an authorised firm is unable to meet an eligible claim, compensation may be available from the FSCS.
For protected home finance mediation, the current compensation limit is 100% of an eligible claim up to £85,000 per eligible claimant, per firm. Eligibility depends on the circumstances of the claim and the applicable FSCS rules.
FSCS protection does not generally apply to a claim arising solely from an unregulated product or service, including any packaging service that falls outside regulated home-finance mediation. Whether a claim is eligible will depend on its individual circumstances and the applicable FSCS rules.
Further information: www.fscs.org.uk
Once we have received sufficient information about your circumstances and requirements, we will carry out the relevant initial assessment and sourcing process and explain which application route applies to you.
Where Willows Finance provides the mortgage advice, we will continue through our advised mortgage process and explain any recommendations made.
Where your application is referred to another regulated intermediary, such as Evolution Money, we will explain that the receiving intermediary will take over the subsequent application and advisory process where applicable.
Please review all mortgage illustrations, ESIS documents, fee and commission disclosures, offer documents and other terms carefully before deciding whether to proceed. If anything is unclear, ask before committing to the mortgage.
Let us know what you're looking for today