Moving house

andrewr22

I'm 18 months into a 5yr fixed term and looking at moving house which would require an additional/increased mortgage. My current mortgage lender said they can give me the required amount but they don't add it onto the existing mortgage and it's basically a new mortgage for the additional amount. So I run with 2 mortgages effectively, which is fine until I can combine them.

That's got me wondering if I can now shop around for the additional mortgage, rather than stick with my current lender. Can I do this or are the mortgage lenders against it? I'd have roughly 75% of the house value (less deposit) with one mortgage lender and 25% with another.

Thanks

_Andy_

You'd then be looking at a second charge secured loan not a 1st charge mortgage so much higher interest rates than any mortgage rate you'll find

dimbo61

So the simple answer is NO
You cant have 2 mortgages on one property with 2 different lenders so you can either take the deal offered by your existing lender or move to another lender and pay the ERC,s that your current deal has.

Thrugelmir

dimbo61 wrote: »

So the simple answer is NO

You can. But the interest rate on second charge secured loans makes this option unadvisable.

Mainstream lenders will always require first mortgage charge on a property. This means they are paid first from sale proceeds of the property.