A homeowner loan, also known as a second charge mortgage, is a secured loan where the borrowed amount is secured against the borrower’s home. Homeowner loans have lower interest rates than unsecured loans and borrowers can often obtain larger sums of money. They can be used to obtain a sizeable sum of money, which may fund home improvements, major purchases or to consolidate debt. However, the borrower risks losing their home if payments cannot be made. 

Eligibility for a secured homeowner loan is determined by factors such as credit score, income, age, property value, and equity held in the property. Therefore, a homeowner loan can be a good option for those who need a large sum of money and are confident in their ability to make payments on time, as it provides a great source for savings and financing.