Product transfer/remortgage affecting ability to port mortgage a few months later?

Pythagorous

I'm on a poor fixed rate that is coming to an end. I'm also looking at purchasing a new home, probably of a similar value. It depends on finding the right place (we are very picky and the market is small) so could find something in 1 month or 6 months or 12 months or not at all.

I'd like to do a product transfer with my current lender to get on a better deal asap.

Does it make sense to get on the much better deal asap or should i hold off and wait until I have found a house and tie the deal transfer/remortgage in with that?

Obviously holding off will cost me quite a lot every month (difference between the SVR and the deal i could be on), but I'm concerned if I do move on to a new deal now and then a few months later I am looking to move the mortgage on to a new property the port could be problematic?

Is this concern valid or does the product transfer not impact on my ability to port possibly a few months later (in which case i might as well get off the SVR asap)?

amnblog

A product transfer does not affect an ability to port.

Please remember however, that your Lender needs to fully underwrite the new mortgage. If they wont do the case and you need to use another Lender you could be looking at an early redemption penalty move on.

Have a look to see if your lender offers new rates without early redemption penalties (typically trackers)

Pythagorous

amnblog wrote: »

A product transfer does not affect an ability to port.

Please remember however, that your Lender needs to fully underwrite the new mortgage. If they wont do the case and you need to use another Lender you could be looking at an early redemption penalty move on.

Have a look to see if your lender offers new rates without early redemption penalties (typically trackers)

thanks, yes, that's the only risk i see. Which i guess could be a risk if:
- I'm looking more borrowing
- The house is unusual (eg listed or has land)
- The valuation/ltv is tricky
- my circumstances change

amnblog

- the Lender has shifted its criteria
- your credit scoring has changed

Pythagorous

amnblog wrote: »

- the Lender has shifted its criteria
- your credit scoring has changed

ah yes, good additions!

[Deleted User]

Pythagorous wrote: »

thanks, yes, that's the only risk i see. Which i guess could be a risk if:
- I'm looking more borrowing

They will easily decline a new mortgage application for less borrowing than your current one if it doesnt pass their checks this time round. Logic would suggest its a reduced risk so they will be happy to switch it over but they will do the exact same checks if you are borrowing more, less, or the same as current

kingstreet

What about remortgaging to a penalty-free tracker product for the interim?

Then when you move you can look at a port with that lender, a new product with that lender or a completely new lender whichever is best at the time...