20/10/2026
You have equity in your home, but what does that actually mean?
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Equity is the difference between what your property is currently worth and what you still owe on your mortgage. So, if your home is worth £300,000 and your mortgage balance is £200,000, you have around £100,000 of equity. Usable equity, however, is the portion of that equity a lender may actually allow you to borrow against. Lenders will usually want you to retain a certain amount of equity in the property and will also consider factors such as loan-to-value limits, affordability, credit profile, income and the purpose of the borrowing. That means having £100,000 of equity does not necessarily mean you can access the full £100,000. The amount available to you will depend on the lender’s criteria and your individual circumstances.
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For some homeowners, that usable equity may form part of a remortgage, further advance or second charge mortgage, but the most suitable route depends on the wider circumstances.
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đź“ž Call us on 0800 8488092 or email [email protected]
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Chaseblue Loans Ltd is authorised and regulated by the Financial Conduct Authority (FCA), 713894. Chaseblue Loans is registered in England anad Wales no. 06219078 with its registered address at Unit 37, Atlantic Business Park, Hayes Lane, Sully, CF64 5XU.
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**Think carefully before securing debts against your home. Your home may be repossessed if you do not keep up repayments made on your loan or mortgage.
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