transferable mortgage

belly1912

Hi
I would appreciate any advice anyone can give me with my predicament.
I took out a mortgage 3 years ago for £115,000 my property is now worth approximately £95,000 and I owe £108,000 on it. Now here is the thing, as I'm hoping to start a family I need a slightly bigger house and as my mortgage is a transferable one with alliance and leicester I'm hoping I can find a bigger house in a different area for £108,000 and port my current mortgage across to it. Also I should mention that my mortgage was a 100% mortgage. Does anyone know whether this is possible.
Many thanks in advance

_Andy_

Not going to happen with no deposit.

belly1912

Hi
I know that may be the case, but do you know for definite? if i need to pay a deposit then there is no incentive for me to stay with my current mortgage provider.

InMyDreams

belly1912 wrote: »

Hi
as my mortgage is a transferable one with alliance and leicester I'm hoping I can find a bigger house in a different area for £108,000 and port my current mortgage across to it.

It's the terms of the mortgage you port (eg the interest rate, what happens at the end of any introductory deal...) not the money. In order to port the terms, you would have to pay back the £108K when you sell your house, then borrow new money against your next house. But when you sell your house you will end up in £13K of debt. You will have to pay this back, then find the required deposit for the new house in order to port the terms. If you don't have savings to cover this (and the costs of moving on top) then even if your income is still adequate, you won't be able to port the mortgage.

Edited to add:You will have to pay a deposit which ever lender you go to. 100% mortgages are not available any more. Never mind incentive, I don't think you have any choice but to stay in your current house with your current lender until you can pay down a significant chunk of your debt.

belly1912

many thanks for the information.

_Andy_

belly1912 wrote: »

Hi
I know that may be the case, but do you know for definite? if i need to pay a deposit then there is no incentive for me to stay with my current mortgage provider.

With no deposit no lender will offer you anything