Long Distance Mortgage Porting

s1mon321

Hi everyone,

My wife and I are intending to move house and the mortgage company have agreed that our product is portable and confirmed the processes that we need to go through (not far off a new application to be honest!).

Anyway, we are intending to move from the South West of England back to the Midlands.

Both of us have jobs in our current location, but not in our new, and wouldn't hand in our notices until the move has taken place. My wife's employers have agreed to move her role to the Midlands whereas I will be looking for work after we move.

We have quite a lot in savings and a 60% mortgage so WE have no concerns over our ability to pay our instalments. We are the type of people to take any part-time jobs if full-time posts become difficult to secure.

How much will this change in geographical location start alarm bells ringing with our mortgage provider? Will they ask for proof of future income in this new location?

Current proof of income will always show two regular incomes for the application and completion.

What are your thoughts??

Cheers

Simon

kingstreet

You're applying for a whole new mortgage, so you'll be expected to produce evidence of income and affordability will be established. Your loan to value will help, as you'll be considered less risky.

I don't know what they might do about the distance you are moving. Some lenders make an issue of it, others appear to ignore it. SW England to Midlands and vice versa might not be viewed as excessive for a daily commute these days.

On the porting issue, how's the rate? Are you increasing your mortgage, as that will be offered on a new product? You'll only get what you own now on the existing rate.

s1mon321

Thanks for responding

We're a year and a half into a two year fixed rate and are intending to buy a new property of the same or similar value. Any increase would need to be covered by one of HSBC's current products over the same period as is left on our current one.

We will be happy to change to their standard rate for a little while whilst we assess other lenders and products available.

I can't imagine them asking us where we are moving to at the 'agreement in principle' stage, but wonder whether or not anyone at the full application stage would look at the new address and say - 'hold on a minute!'?

We're hoping for a mortgage officer with a poor sense of geography

You're right about people commuting large distances and I would simply say that I am going to stay in the South West four nights a week with family until I get a new job.....

kingstreet

It might take you six months to get a sale through. By then your fix might be over and you'll be able to pick from the whole market.

Thrugelmir

Suggest you start looking for a job now.

Selling your existing property is another consideration.

Better to be honest throughout than lie on your mortgage application form. As the consequences just aren't worth it.

Simon_gloster

s1mon321 wrote: »

Thanks for responding

We're a year and a half into a two year fixed rate and are intending to buy a new property of the same or similar value. Any increase would need to be covered by one of HSBC's current products over the same period as is left on our current one.

We will be happy to change to their standard rate for a little while whilst we assess other lenders and products available.

I can't imagine them asking us where we are moving to at the 'agreement in principle' stage, but wonder whether or not anyone at the full application stage would look at the new address and say - 'hold on a minute!'?

We're hoping for a mortgage officer with a poor sense of geography

You're right about people commuting large distances and I would simply say that I am going to stay in the South West four nights a week with family until I get a new job.....

As kingstreet said simon, some lenders may not bat an eyelid whereas some will consider 'commutability' checks ie confirm you have both got jobs to go to from employers.

If only one can, then they would only use one income.

HSBC.....oh dear!!!