Mortgage porting question

SouthernGuy

Please bear with me whilst I try to explain this as I'm all confused...

We currently have a mortgage and am moving house and borrowing more.

We've had a mortgage offer through today offering to port our existing mortgage at current rate and the borrow more at a higher rate.

Since applying (it's been a long process due to lender backlog) we have paid £1000 more off our original borrowing.

My question is, what happens to that £1000?

eg.
Existing borrowing stated on offer: 150000
New borrowing 50000
offer total = 200000

But now our existing borrowing is 149000
Do they just give us 1000 less or give us same offered amount and put it on the mortgage at new higher rate?

I'm soo confused.

Thanks

dimbo61

Your lender has agreed to lend you £50K on top of the original outstanding balance.
If you do not need the full amount you just borrow less or overpay in the first month or two.

holly_hobby

Similar recent thread - responses explain the porting process and how it applies to new mge borrowings (nb - porting relates to the mortgage product, NOT the underylying borrowings).

https://forums.moneysavingexpert.com/discussion/4771534=

In essnence ...

Your 200k mge on your new home, is ALL new borrowings - debt is not transferrable, and your existing mge is completely closed down and that os mge completly repaid.

Whats being ported is the rate, which will apply to an equal amount of borrowings on your new mge.

So, if the rate being transferred applies to a closing mge balance of 149k, it will apply to the same amount of your new 200k borrowings, which means that the remaining 51k will be on the top up rate.

ie 149k - ported rate & 51k new rate = 200k total borrowings


Hope that makes sense.

Holly