SpeedPropertyBuyers: step by step guide to porting a mortgage
This a guide (only) and each mortgage and your process may have subtle differences
Checking the terms of your current mortgage. Understand your current mortgage.
Ensure that it is portable and if there are any fees associated to port it or if you would have a early repayment fee if you were to get a new mortgage.
Find out what deals you might be able to get, this can be from your current lender or if you are thinking about moving to a new lender what you might have avalbi8le and how it compares to your current mortgage. You can do this yourself or take advantage of a mortgage broker who is able to negotiate good deals on your behalf for a small fee.
Note – you will want to check what info you will need to pass affordability checks.
If you used an independent mortgage advice or financial advisor review their options carfuly.
Hopefully, at this point, you will have what your mortgage is doing now, what fees you might face moving it as well as a new mortgage and an overall view that will enable you to compare your options. If you have used a financial advisor you can also ask their advice but this whole process can be done without one.
Ironic isn’t it, you try to port your mortgage you avoid having to apply for a new one but unfortunately, in order to do this you tend to still need to reapply even if the terms and rates will be the same, you will also need to pass the affordability checks again.
If you need a mortgage valuation (again) you might find there is a fee which can be around £500.
Once you’ve completed all the paperwork you will get an offer from the lender regards to the mortgage if you have passed all the checks and the property value is correct etc.
It is worthwhile to double-check all terms and conditions to ensure that it is the same mortgage as before so you don’t get caught out.
Completion, you should now have a loan on the new property and you will be apple to focus (or worry) about the process of moving home including all the boxes etc.