Porting NW Mortgage

superstarchar

We have recently sold our house, were looking to borrow more and port our existing NW mortgage. The extra money is fine, the porting is confusing me.


I am going to visit branch at the weekend as tried calling and its useless. Bascially, we are buying a new build which wont be complete until May next year - going to move in with parents temporarily. NW say we have to port within 6 months - which wouldn't be enough time for completion - if we apply later this month, early next are there any extensions available etc? Im at a loss of what to do


Should I just accept the ERC and get a new mortgage deal?!

kingstreet

What does NW stand for NatWest or Nationwide?

This is a non-simultaneous sale and purchase, so you are reliant on the lender holding open your exiting product. You may find you need to delay completion of the sale of your current property until you are within six months of the completion of the new purchase.

Your existing mortgage is repaid from the sale proceeds of your property. You apply to the lender for a new mortgage and this is split into different sub-accounts to accommodate the old borrowing amount on the old product and the increased borrowing on a new rate. Typically, a new Nationwide mortgage offer only has a six month lifespan with only a two week extension available. NatWest's are sxi months with one month extra.

Not only do you need to be careful with the port/ERC situation, but also with a build over-run resulting in you having to reapply for your new mortgage on top.

I would get advice from an experienced newbuild broker on this, rather than try to manage it yourself.