Home Movers
Moving home can involve several major financial decisions at the same time. You may be selling your existing property, purchasing another, arranging a new mortgage and managing a property chain.
We help you understand the mortgage side of your move and consider the options available based on your existing mortgage, equity, income and plans for your next home.
Your Existing Mortgage
Understanding these details early can help you consider your options before committing to your next property.
Some mortgage products are portable, meaning your existing mortgage product may be transferred to another property. However, portability is not automatic. Your lender may reassess your circumstances and require a new affordability assessment, valuation and underwriting process.
Existing mortgage£250,000
Mortgage required for new property£350,000
Additional borrowing£100,000
The additional borrowing may be arranged on different terms from your existing mortgage.
Equity is broadly the difference between the value of your current property and the mortgage outstanding against it.
Property value£500,000
Mortgage outstanding£300,000
Approximate equity£200,000
This does not account for estate agency fees, legal costs, mortgage charges or other costs associated with selling your property. Your available equity may form part of the deposit for your next home.
Property Chains
A property chain can involve several connected transactions. Your purchase may depend on the sale of your existing property, while your buyer and your seller may each have their own transactions underway.
Although no mortgage adviser can guarantee that a chain will proceed without delays, keeping communication clear and responding promptly to requests can help keep the process moving.
Your Home Moving Journey
Understand your current balance, rate, product end date and any Early Repayment Charges.
Consider the likely value of your current property and the costs involved in selling.
Consider your equity, income and potential borrowing capacity.
Consider whether porting, additional borrowing or a new mortgage arrangement may be appropriate.
Once your purchase is agreed, your mortgage application can move forward alongside the legal process.
Your sale and purchase complete and your new mortgage is put in place.
We can help you understand the mortgage considerations involved in moving home and provide guidance throughout the process.
Porting is not automatic. The lender may reassess your affordability and circumstances and may require a valuation and further underwriting.
All examples shown are illustrative only and do not represent a mortgage offer or recommendation.
Your home may be repossessed if you do not keep up repayments on your mortgage.
