Mortgage Express Port

katee85

I was wondering whether anyone here had any experience of porting a Mortgage Express mortgage or could offer any advice in general.

My husband and I have a mortgage with Mortgage Express (since 2006). It is a 90 LTV self-cert tracker, with a current redemption of £105K, at an interest rate of 1.69%, that permits porting in the terms and conditions. I think that is all the relevant background.

Am I correct in my thinking that any mortgage port is subject to meeting the lenders current lending criteria? If so, how would that work in principle given Mortgage Expresses situation and the fact that they are no longer lending for any purpose. I had a brief look at their website but only derived that they would honor the porting term but are unable to provide further lending. Also, would the ported mortgage still require the retention of 10% or could they renegotiate a higher figure? (We have renovated our current property but with the market decline are probably only sitting on 20-30% equity).

I know very little about porting, so apologies for any naivety on my part, but, in theory, it would seem to me possible to sell our current property, purchase another house, ensuring the mortgage is no higher then £105K, and keep our, somewhat beloved, existing product rate? Seems too straightforward, I have to be missing something.

handytips

As M.E no longer lend i would give them a ring and talk through your intentions with them, you may hit a brick wall especially as you took a very high risk product (90% self cert !) and please be aware there are NO Self certs on the market currently. Good Luck

kingstreet

That all sounds about right, katee. I think they'd welcome the reduction in loan to value, even though they can't lend you more. IIRC they will however allow you to borrow 90% of the value of the new property, as long as that doesn't result in the mortgage increasing.

http://broker.bbg.co.uk/porting.aspx

Porting

Subject to the terms and conditions of their current mortgage, some existing Mortgage Express customers may move home whilst porting their existing mortgage deal. However, because Mortgage Express no longer offers any additional lending, we are only able to 'port' the existing deal if the new mortgage is for the same value or less.

If your customer requires a larger loan or is seeking to raise additional funds when moving home, then they will need to move their mortgage to another lender as we cannot support them.

Please note - Porting is not available on Buy to Let mortgages.

The porting process
This service is only available to intermediaries that are members of selected networks and clubs. Existing customers can also contact us directly on 08457 248 248.

In order to port a mortgage you should print off and complete the appropriate porting KFI request form and fax it to the Specialist Porting Team on 0845 603 8106.

Our Specialist Porting Team will create a KFI and send it to you and then you can go on to complete a paper application form and return it to us for checking and underwriting in the usual way