Portable Mortgage Question

The_White_Horse

I am not sure exactly how this works.

My mortgage is portable - apparantly.

When I got the mortgage it was at an LTV of 75%. This was the max they would loan against the property (although based on my salary they would loan me more).

Lets say the house is worth 200k and the mortgage is 150k.

If I want to move to house worth 300k, if I sell my current house for 200k and have 50k in cash, I will need 250k as a mortgage.

So, my LTV will now be about 83%. Can I port my current mortgage of 150k and can I get a second mortgage for the additional 100k I will need?

Is it possible that the two mortgages will be with the same lender, but at two different rates? Is it possible to have two mortgages with two lenders? My friend had this, but not sure whose would take preference if you defaulted.

Thanks

xx_Jo_xx

You should really speak to a mortgage advisor regarding this, all the questions you have asked depend on lots of things.

For example, yes you can 'port' the existing part of your mortgage and 'top up' with the same lender - if the lender allows such a faciliity.

It is possible that you can have two different loan amounts with the same lender at different rates - again dependent on if your lender allows this.

As you are borrowing extra and it is not a straight forward 'port' - wouldnt it be easier to consolidate the existing mortgage and go for a Next Time Buyer Product on the new place? Or are you trying to avoid payment an early repayment charge?

Sorry I cant be more help, its a very vague answer, but Im afraid its not as staight forward as you may have hoped. x