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Secured Loans
A secured loan lets you borrow against the equity in your home to spread the cost of a new conservatory, with terms of up to 30 years to keep monthly payments manageable.
A secured loan for a conservatory is a loan secured against your home that lets you borrow money to pay for a new conservatory, sunroom, or garden room, then repay it over an agreed term. Because your property is used as security, lenders can often offer larger amounts and longer repayment terms than an unsecured personal loan.
The amount you can borrow and the terms you're offered depend on your available equity, income, and credit profile. We're a broker, not a lender, and we compare a wide range of lenders to find options that suit your circumstances. Checking your eligibility won't affect your credit score.
Adding a conservatory is one of the most popular ways to create extra living space, but with build costs typically running from around £10,000 to £45,000 or more, most homeowners need finance to make it happen. A secured loan for a conservatory, also known as a homeowner loan or second charge mortgage, lets you borrow against the equity in your home without remortgaging or using up your savings.
The average conservatory in the UK costs around £15,000 for a standard 3m x 3m build, but prices climb quickly once you factor in quality materials, a solid roof, underfloor heating, and professional installation. Larger or more elaborate designs can easily reach £30,000 to £50,000 or beyond.
For basic uPVC conservatories, an unsecured personal loan may be enough. But personal loans typically cap at £25,000 and come with shorter repayment terms of 5 to 7 years, meaning higher monthly payments. Secured loans bridge this gap: because the loan is secured against your property, lenders can offer larger amounts over longer terms.
If you're on a competitive fixed mortgage rate, remortgaging to release equity could mean losing that deal and potentially paying early repayment charges. A secured loan sits alongside your mortgage as a second charge, leaving your current arrangement untouched.
A secured loan doesn't replace your mortgage, it sits alongside it as a second charge. Your existing mortgage rate and term stay exactly as they are, which matters if you're locked into a competitive fixed deal.
Conservatory finance
Speak to an advisor for a personalised illustration based on your equity, income, and circumstances.
The amount you can borrow with a secured loan depends on three main factors: the equity in your property, your income, and your credit profile.
Equity is the portion of your property you own outright. If your home is worth £300,000 and you owe £180,000 on your mortgage, you have £120,000 in equity.
Most secured loan lenders will let you borrow up to around 85% of your property's value in total, including your existing mortgage. In practice, lenders prefer to retain some equity buffer, so the actual maximum may be a little lower. For a conservatory costing £15,000 to £30,000, you'd typically need equity of at least £30,000 to £50,000 available once the new borrowing is taken into account.
Having sufficient equity doesn't automatically mean you can borrow against it. Lenders assess affordability by looking at your income, existing commitments, and monthly expenses, to check you can comfortably manage repayments alongside your mortgage and other obligations. Under Financial Conduct Authority rules, lenders must carry out a reasonable assessment of affordability before offering a secured loan, to help protect you from taking on borrowing you can't manage.
As a rough guide, lenders typically allow total debt repayments, including your mortgage, to use no more than 40 to 45% of your gross monthly income. If you earn £4,000 a month and your mortgage costs £1,000, you'd have capacity for roughly £600 to £800 in additional secured loan repayments each month, depending on the rate and term you're offered.
Example: Michael and Sarah want to borrow £25,000 for a Victorian-style conservatory. Their combined income is £5,500 a month. Their mortgage payment is £1,100 and they have £300 in other credit commitments. Total existing payments come to £1,400, leaving headroom of around £1,075 under a 45% affordability cap. That gives them comfortable room to afford a secured loan for their project, though the exact monthly repayment will depend on the rate and term a lender offers. An advisor can talk this through with you after an eligibility check.
Interest rates on secured loans vary considerably based on your loan-to-value, credit score, income stability, and the lender you choose. Rates change frequently, so rather than quote figures that could quickly go out of date, here's what actually drives the rate a lender offers you.
Because rates depend heavily on your individual circumstances and the wider lending market, the only reliable way to know what you'd pay is to speak to an advisor for a personalised illustration.
Before finalising your loan amount, it's worth understanding the full picture of conservatory costs. The headline price often doesn't tell the whole story.
Different conservatory styles come at different price points. A lean-to conservatory, with its simple sloping roof, is generally the most affordable option. More elaborate Victorian and Edwardian styles cost more due to their complex rooflines and additional materials.
These figures include materials and professional installation, and will vary depending on your location and chosen supplier.
The base price covers the conservatory structure and standard installation, but several extras often apply.
Flooring, blinds, internal decoration, and furniture add further costs beyond the core build. For a realistic total, add 20 to 30% contingency to your basic conservatory quote. If you're quoted £18,000 for the structure and installation, budget £22,000 to £24,000 to cover eventualities.
One question we hear regularly is whether borrowing for a conservatory makes financial sense from a property value perspective. The honest answer is: it depends on quality and execution.
Property experts and industry sources suggest a well-designed conservatory can add 5 to 10% to your property's value, with high-quality conservatories in desirable areas achieving the upper end of that range. Premium conservatories in prime locations have been valued at up to 12% added value.
On a £300,000 property, a 7% increase equals £21,000. A value uplift like this could help offset the cost of building and financing a conservatory, though it's never guaranteed and depends heavily on the quality of the work and the local property market.
Not all conservatories add equal value. Buyers tend to respond positively to:
Cheap, poorly constructed conservatories can decrease your home's appeal. If buyers view the space as unusable or needing replacement, they'll factor removal costs into their offer. This is one area where cutting corners on the initial build can backfire.
Several funding routes exist for conservatory projects. Understanding how they compare helps you choose the right approach for your circumstances.
Remortgaging means replacing your existing mortgage with a larger one, releasing equity in the process. This can work well if your current mortgage rate is uncompetitive or you're already due to remortgage.
A secured loan sits alongside your existing mortgage as a separate arrangement, leaving your current mortgage terms unchanged.
Unsecured personal loans don't require your property as security. They're based purely on your income and creditworthiness.
Some credit cards offer 0% interest on purchases for a promotional period, typically 12 to 24 months. If you can clear the balance before the promotional period ends, you borrow essentially for free.
Applying for a secured loan for your conservatory involves several steps. Knowing what's coming helps you prepare and speeds up the process. A reputable broker will start with a soft search that doesn't affect your credit score, considering your property value, mortgage balance, income, and credit profile, so you know roughly how much you could borrow before you commit to a full application.
Once you decide to proceed, the lender's underwriters will review your application, documents, and valuation, and may ask for further information before issuing a formal offer setting out the loan terms, rate, fees, and conditions. Under Financial Conduct Authority rules, you'll have at least 7 days to consider a secured loan offer before deciding whether to proceed.
Having your documents ready upfront speeds up the process significantly. Complete applications tend to reach underwriting several days faster than those that need document chasing.
How it works
Initial enquiry and eligibility
We run a soft search that won't affect your credit score, based on your property value, mortgage balance, income, and credit profile. You'll get an indication of how much you could borrow before deciding whether to proceed.
Full application
If you decide to go ahead, you'll complete a full application with proof of identity, proof of address, income evidence, three months' bank statements, and details of your existing mortgage and other credit commitments. Lenders carry out a hard credit check at this stage, which appears on your credit file.
Valuation
The lender arranges a valuation of your property to confirm its value and the equity available. Depending on the loan amount, this might be a desktop valuation, a drive-by inspection, or a full survey.
Underwriting and offer
The lender's underwriters review your application, documents, and valuation, and may ask for further information. Once satisfied, they issue a formal offer setting out the loan terms, rate, fees, and conditions.
Legal work and completion
Because a secured loan involves registering a charge against your property, legal work is required. Once this completes, funds are released to your account, usually within 2 to 4 weeks of starting the process.
Understanding the full cost of arranging a secured loan helps you budget accurately. Fees vary between lenders and can sometimes be negotiated or added to the loan amount.
We receive commission from lenders on our panel when your application completes, but this doesn't affect the recommendations we make or the price you pay. Always confirm fee arrangements upfront before you commit to an application.
Fee-free deals often carry a slightly higher rate to cover the lender's costs elsewhere. Ask your advisor to compare the total cost of borrowing across the term, not just the headline fee, before deciding.
Lenders set specific criteria for secured loans. Meeting these requirements doesn't guarantee approval, but falling outside them typically means an automatic decline. Eligibility is assessed based on your personal circumstances, including your income, credit history, and property value.
Eligibility
Property ownership
You need to own your home, either outright or with a mortgage, and most lenders require your name to be on the title deeds.
UK residency
You'll typically need to be a UK resident. Some lenders accept applications from expats, though options are more limited.
Minimum equity
Most lenders require you to retain at least 15 to 20% equity after the loan. If your property is worth £250,000 and you want to borrow £50,000, your combined mortgage and secured loan usually can't exceed around £200,000-£212,500.
Age limits
The minimum age is usually 18 or 21. The maximum age at the end of the loan term varies by lender, typically between 70 and 85.
Minimum income
Most lenders require a minimum household income of £15,000-£20,000 a year.
Paperwork
We're a broker, not a lender. We receive commission from lenders on our panel, which doesn't affect the recommendations we make.
Secured loans can be accessible even with credit issues, though you'll typically pay higher rates and face more restrictions. Here's what to expect if your credit history isn't perfect.
Different credit problems affect applications differently. Recent issues matter more than historic ones, and settled debts are viewed more favourably than outstanding ones.
If you have credit issues, expect:
Example: Rachel wanted to borrow £18,000 for a lean-to conservatory. She had two satisfied defaults from four years earlier, following a difficult period after job loss. A mainstream lender declined her application, but through our panel she secured approval at a rate reflecting her credit history rather than the most competitive rates on offer, allowing her project to go ahead.
This is the most important consideration. A secured loan is secured against your property. Your home may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.
Under Financial Conduct Authority rules, lenders must treat repossession as a last resort and work with you to find alternative solutions if you're struggling to keep up payments. But the risk is real, and it's worth only borrowing what you can comfortably afford, even if your circumstances change.
Before borrowing, honestly assess your financial resilience. Could you maintain payments if your income dropped due to job loss, illness, or other circumstances? Do you have savings to cover payments during a difficult period? If you're unsure, or if you're already worried about debt, MoneyHelper offers free, independent guidance. You can reach them at moneyhelper.org.uk or by phone on 0800 138 7777.
Secured loans allow extended repayment periods, which keeps monthly payments more affordable. But longer terms mean paying more interest overall, because you're borrowing the money for longer. A shorter term costs less in total interest but comes with higher monthly payments; a longer term reduces the monthly cost but adds to the total amount you repay. It's worth weighing affordability against long-term cost when choosing your term, and asking your advisor to show you the total cost across a few different term lengths.
Most secured loans come with early repayment charges if you pay off the loan ahead of schedule, particularly in the early years. These typically amount to a few months' interest. If you think you might come into money or sell your property within a few years, check the early repayment terms carefully before committing.
Until your secured loan is repaid, the lender holds a charge over your property. This doesn't prevent you selling, but you'll need to repay the loan from the sale proceeds. It also means any future remortgage will need to take the existing second charge into account.
If a secured loan doesn't feel right for your situation, other options exist, each with its own trade-offs.
Some conservatory installers offer interest-free finance over 12 to 24 months, or low-rate finance over longer periods. This can be attractive if you can clear the balance within the promotional period.
Certain home improvements qualify for government support. Conservatories themselves rarely qualify, but related energy efficiency measures, like improved insulation or renewable heating, might attract funding through schemes such as the Great British Insulation Scheme.
If you can wait, saving for your conservatory avoids borrowing costs entirely. Setting aside £400 a month would build up £20,000 in just over four years.
For homeowners aged 55 and over, equity release products let you access property wealth without monthly repayments. Interest rolls up and is repaid when you die or move into long-term care.
Common questions
Yes. While secured loans aren't specifically labelled as "conservatory loans", they're commonly used for home improvements including conservatories. Lenders simply need to know the loan purpose; they don't restrict how you spend the funds on your property.
You don't need a cash deposit for a secured loan. Instead, your home's equity acts as security. You'll typically need at least 15 to 20% equity remaining after the loan is added to your existing mortgage balance.
Initial eligibility checks use a soft search, which doesn't appear on your credit file or affect your score. A full application triggers a hard search, which other lenders can see. Using a broker minimises hard searches, because we only move to a full application with lenders likely to accept you.
Most secured loan applications complete within 2 to 4 weeks from submission to funds landing in your account. Complex cases involving unusual property types, self-employment, or credit issues may take longer.
Yes. You can borrow enough to cover the conservatory plus contingency for unexpected costs, or include other purposes like garden landscaping or interior renovations. The key is demonstrating you can afford the total repayment.
Most conservatories fall under permitted development rights and don't need planning permission, provided they meet size and location criteria. Planning rules are separate from financing, so check requirements with your local planning authority before starting work.
This happens more often than people expect. Build contingency into your loan application from the start, typically 20 to 30% above quoted prices. If you've already borrowed and need additional funds, some lenders allow top-ups, though you'd need to reapply.
Yes, though you'll need to provide evidence of income. Most lenders want 2-3 years of accounts or tax returns. Some secured loan lenders are more flexible, accepting 1-2 years of bank statements or accounts, making them more accessible than mortgage lenders for recently self-employed borrowers.
You'll need to repay the secured loan in full from the sale proceeds. The charge is removed once cleared. Factor this into your plans if you might move within the loan term.
Most lenders prefer properties with an established value, typically requiring 6 to 12 months of ownership before lending. Brand new properties may face restrictions.
Most secured loan lenders don't require proof of how you spend the funds for home improvement purposes. They transfer money to your account and you manage the project, though keeping records is sensible for your own financial planning.
A further advance is additional borrowing from your existing mortgage lender. A secured loan is separate borrowing from a different lender. Further advances may offer lower rates where available but often involve extending your mortgage term. Secured loans are independent and don't affect your main mortgage terms.
Yes, though it becomes progressively harder as each loan reduces your available equity. Third charge mortgages exist but are rare and typically come with higher rates.
Lenders require you to maintain buildings insurance that covers the property, including any extensions. Payment protection insurance is optional, and can help cover repayments if you're unable to work due to illness or unemployment.
Generally, a secured loan suits you better if you have a competitive fixed mortgage rate you want to protect, you're borrowing a relatively small amount compared to your mortgage, you want the additional borrowing on a separate, shorter term, or you need funds relatively quickly. Speak to an advisor to compare both options for your situation.
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Secured Loans
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