‘Porting’ a mortgage is becoming more common these days. Porting simply means that the homeowner takes their mortgage product with their existing mortgage lender with them when they move home, rather than choosing a new rate and/or lender
Usually borrowers “port” their mortgages when they have a big exit fee to pay if they were to repay the product early.
With most Equity Release mortgages it’s likely that the loan is increasing in size as interest on money you have borrowed on the mortgage accrues. However, this doesn’t mean that you can’t port your mortgage to another, perhaps smaller, property. What is critical is that there is enough equity in the new property to still cover the debt in order for you to meet your existing lender’s criteria. If there isn't enough - your lender may ask you to repay part of the loan
The new property also must meet current lending criteria. If a property is unusual or might be harder to sell when you and your partner die, this may cause an issue. Sometimes specialist retirement homes and sheltered living accommodation can be viewed as outside some lenders’ remits.
The best way to learn about Equity Release and associated issues is to speak with Mortgage Required. We are members of the Equity Release Council and as such we offer you the best independent advice and certain safeguards such as a ‘no negative equity guarantee’. For more information, call us.
Contact Mortgage Required to speak to an Equity Release adviser on 01628 507477.
Related articles:
Download our Free First Time Buyers Guide
Recent posts
Research from buy-to-let lender, Landbay, shows that UK landlords are looking at raising rents ahead of the Renters' Rights Bill which is due to come into force this year.
Data shows landlords could miss out on green mortgages due to expired energy performance certificates.
Buying a house is a big deal, and where you are planning to buy will make a difference financially. In this short blog, we look at the most affordable and most expensive areas and how much you need to be earning to buy in there.
Pros and Cons of Equity Release
15 days ago
Equity release is a type of mortgage that allows homeowners 55 and over to access money from their property's equity without having to leave their home. This is done by securing a loan against the house which is usually repaid by selling the property when the borrower passes away or has to move into long-term care.
Your House Viewing Checklist
16 days ago
It’s important to ask questions about the property you are interested in before taking that step to make an offer. A little probing can make all the difference between buying your dream house or something that requires a lot of work.
Half of over 60s predicted to benefit from accessing housing wealth through Equity Release
19 days ago
There are millions of homeowners over the age of 60 who are likely to release money from their homes to pay for their lifestyle during retirement giving those who are 'asset rich but cash poor' a way to live out their retirement the way they wish.
Average Age of the First Time Buyer in the UK
26 days ago
The average age of a first-time buyer in the UK is two years older than 10 years ago. This is understandable with managing the cost-of-living and challenges within the economy such as high interest rates making it difficult to get onto the property ladder.
Delayed Start Mortgage from Skipton
28 days ago
Skipton Building Society launches ‘Delayed Start’ mortgage meaning first time buyers won’t be required to make repayments for the first three months.
According to a survey by Skipton, first time buyers who bought their home in the last five years found that in the first three months of living there, they were spending upwards of £30,000.
More information
Trusted by
