Porting is particularly advantageous if you’re on a fixed-rate, long-term mortgage deal, especially one with early repayment penalties. Contrary to popular belief, you don’t have to wait until the end of your fixed-rate period to port your mortgage. Many lenders offer this option, so you can sell your existing property and purchase a new one while keeping the same mortgage.
Depending on your lender, you might have the flexibility to do the following:
1. Move All or Part of Your Mortgage: In some cases, you can port your entire mortgage to the new property.
2. Borrow More If Needed: If your new home requires additional funds, you may have the option to borrow more. However, this usually means taking an additional mortgage at the current rate when you apply.
When porting your existing mortgage deal, be aware that Early Repayment Charges (ERCs) may apply if the porting arrangement doesn’t go ahead as planned or if you don’t take the full amount with you.
Ready to explore your porting options? Contact us at NEST today for expert advice and assistance with your mortgage porting journey.
Think carefully before securing debts against your property. Your home (or property) may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.