Porting Mortgage Nationwide

peppapig14

we have 2 years left on a 5 year fixed deal.
we want to sell our house whilst prices are high and purchase another property as we have built up a lot of equity.
I believe we can port the mortgage to a new property but sure what or how it would happen if we were unable to find a another property before selling ours ( valued and on market in a few days )
Is there a time period if our sale completes prior to finding and completiting on another property?
would we still be able to do this? 

Thrugelmir

If you haven't completed the sale of the existing property. How are you proposing to fund the purchase? 

peppapig14

Thrugelmir said:

If you haven't completed the sale of the existing property. How are you proposing to fund the purchase? 

if we Sell and complete on our current property we will have our deposit in our bank from the equity and other funds
this would then used for an onward purchase
I am assuming the current nationwide mortgage would be completely paid off with us paying the early redemption fee. Then if we found another property to complete 3 months after using our funds in the bank would they port mortgage that way

K_S

peppapig14 said:

we have 2 years left on a 5 year fixed deal.
we want to sell our house whilst prices are high and purchase another property as we have built up a lot of equity.
I believe we can port the mortgage to a new property but sure what or how it would happen if we were unable to find a another property before selling ours ( valued and on market in a few days )
Is there a time period if our sale completes prior to finding and completiting on another property?
would we still be able to do this? 

@peppapig14 Normally, Nationwide will expect the sale and purchase transactions to complete simultaneously. However, if there are unforeseen delays, as per their published criteria, they allow a max gap of 6 months. Even so, I don't know if that includes a scenario in which you've sold your existing property but not even had an offer accepted on an onward purchase yet.

"if a mortgage offer hasn’t yet been produced but redemption of the existing mortgage has taken place, your client will have up to 180 days from the redemption date to reach completion."

Full details here https://www.nationwide-intermediary.co.uk/products/porting I don't know if it's any different direct.

peppapig14

K_S said:

peppapig14 said:

we have 2 years left on a 5 year fixed deal.
we want to sell our house whilst prices are high and purchase another property as we have built up a lot of equity.
I believe we can port the mortgage to a new property but sure what or how it would happen if we were unable to find a another property before selling ours ( valued and on market in a few days )
Is there a time period if our sale completes prior to finding and completiting on another property?
would we still be able to do this? 

@peppapig14 Normally, Nationwide will expect the sale and purchase transactions to complete simultaneously. However, if there are unforeseen delays, as per their published criteria, they allow a max gap of 6 months. Even so, I don't know if that includes a scenario in which you've sold your existing property but not even had an offer accepted on an onward purchase yet.

"if a mortgage offer hasn’t yet been produced but redemption of the existing mortgage has taken place, your client will have up to 180 days from the redemption date to reach completion."

Full details here https://www.nationwide-intermediary.co.uk/products/porting I don't know if it's any different direct.

thank you for the useful info

I'm thinking it will take approx 3-4 months for sale to complete , so as long as we find a house to offer on in that period and ask nationwide to port our mortgage then as long as that's completed within 180 days we should be ok

darkcloudi

I did something like this 3 years ago with Nationwide, was buying a new build which got delayed by a month.

My old mortgage got ported to the new property so never had to pay a penalty (think from memory there is a duration of when the new mortgage had to complete). Think the sale of the house (the equity built) the solicitor kept the money until we completed on the new build, as we weren't sure when it was happening but knew it was close.

As a result of porting the mortgage we now have 2 mortgages (one primary and the 2nd is called a further advance which is the ported mortgage with a different rate to the primary mortgage and the fixed rate expires on different times (bit of a pain that), the term is the same though), having two mortgages with Nationwide means two separate direct debits come out the account.