Home-Movers
What You Need To Know About Home Mover Mortgages?
What Is A Home Mover?
You are classed as a home mover if you own your current home and plan to move to a new property, regardless of whether or not you have an existing mortgage.
What Is Porting?
If you would like to remain with your existing mortgage lender and retain your current mortgage deal (interest rate) when you move to a new home, you may be able to port it. Most lenders are able to transfer your existing mortgage deal to the new property for you, which is called porting.
When your deal is ported, a new mortgage application is still required and your application can be refused if your financial circumstances have declined since your original application or the property you are looking to purchase is not deemed to be suitable security.
You may need to pay valuation fees and stamp duty on your new property. If your new property requires that you increase your loan amount, you may have to ‘top up’ with a new/different deal, as well as the ported one.
Are All Mortgage Deals Portable?
There are some cases where deals are not portable. You should, therefore, be aware of any early repayment charges and exit fees in the terms of your current mortgage.
How Your Current Home’s Value Affects Your Options?
Upsizing
If your current property has risen in value, it is usually possible to upsize to a higher valued property, using the equity you have as the deposit. If your home hasn’t risen in value, however, upsizing is a tough option as you may need to provide some or all of the deposit monies from savings. If you are looking to borrow a larger amount you will also need to prove that you can afford the increased repayments on your mortgage.
Downsizing
This has the potential to save you the most money and may suit some homeowners, especially where children have left home. If you raise enough from the sale of your current home, it may even be possible to purchase a cheaper new home outright.
In any case, buying a lower value home and taking out a smaller mortgage will result in smaller monthly repayments.
How Can Need-A-Mortgage Help Home Movers?
Having access to a wide range of lenders allows us the best chance of finding you the most competitive mortgage deals. We can also advise you what the most suitable type of mortgages are for home movers, like yourself.
We are able to offer you experienced advice on whether staying with your current mortgage lender and porting your deal, or taking out a mortgage with a new lender would be most beneficial for you. We can help with the administrative aspects of the application and, overall, save you the time, money and stress of a failed application.
Why use Need-A-Mortgage.co.uk
- CEMAP qualified advisers with a wealth of experience and knowledge to offer
- We work around you and your hectic lifestyle
- We’re here to make the mortgage journey easier from start to completion
Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.