Moving home is an exciting step forward in your life’s journey. Whether you’re scaling up for a growing family or downsizing for comfort and convenience, the process involves careful planning and consideration.
When moving home, you have the option to either transfer your existing mortgage to your new property, known as porting, or you can choose to start a new mortgage contract. You may also require the resources of a bridging loan.
Securing a mortgage for your next home can be streamlined with the right advice and support. As a home mover, you’ll need to navigate through the complexities of selling, or renting, your current property while searching for your new dream home. It’s essential to understand the challengers, evaluate your financial readiness, and consider the timing of your move.
As your mortgage broker, we’re here to guide you through, offering expert advice to help you make your home move as smooth and stress-free as possible.
Porting Your Mortgage
When you’re moving home, one option you might consider is porting your mortgage. Porting means transferring your existing mortgage deal to your new property.
Here’s how we can assist with mortgage porting:
- Feasibility Assessment: We assess whether porting is a viable option for you. This depends on your lender’s terms and conditions, your current mortgage deal, and your personal circumstances.
- Cost Analysis: We help you understand the costs involved in porting a mortgage. While it allows you to keep your existing deal, there may be valuation fees, arrangement fees, or early repayment charges to consider.
- Application Process: If you decide to port your mortgage, we guide you through the application process. This typically involves a property valuation and affordability checks, similar to a new mortgage application.
- Additional Borrowing: If your new home is more expensive than your current property, you may need to borrow more. We can help you explore your options, which could involve blending your current rate with your lender’s current rates.
Remember, porting a mortgage is not guaranteed. It’s subject to your lender’s approval and may not be the best option for everyone. We’re here to provide expert advice and guide you through the process, ensuring you make the right decision for your home move.
Bridging Loans
In some cases, the timing of your home move might not align perfectly. You may find your dream home before you’ve sold your existing property. In such situations, a bridging loan could be a potential solution.
A bridging loan is a short-term financing option that ‘bridges’ the gap between the sale of your current home and the purchase of your new one. It provides you with the funds you need to proceed with the purchase, even if your existing property has not yet sold.
Here’s how we can assist with bridging loans:
- Expert Guidance: We provide expert advice on whether a bridging loan is the right option for you, considering your financial situation and the property market conditions.
- Loan Comparison: We compare various bridging loan options from a range of lenders, considering factors like interest rates, loan terms, and fees.
- Application Support: We support you throughout the application process, ensuring all necessary documentation is in place and liaising with the lender on your behalf.
- Exit Strategy: A key part of any bridging loan is the exit strategy – how the loan will be repaid. We help you plan this effectively, typically through the sale of your existing property or the arrangement of a long-term mortgage.
