How does porting a mortgage work?

booksandbikes

We have listed our property for sale with the intention of porting our mortgage across.

I have rung two estate agents to book house viewings and both of them have been very insistent in me sitting with their mortage advisor, even though I have told them we intend to port our mortgage. They kept talking about possibly getting a better rate. So....am I misinterpreting porting?? I thought porting meant you kept the same rate and term, and essentially just move it to another property (I know that technically you pay down the existing mortage and then apply for a new one at the same rate). How can they get a different rate - unless they are assuming the porting request will be rejected and I will be applying from scratch?

Hoenir

Worth building relationships by going in branch. There's no end of window shoppers when it comes to viewing properties. 

BarelySentientAI

booksandbikes said:

 How can they get a different rate - unless they are assuming the porting request will be rejected and I will be applying from scratch?

They're hoping you won't bother porting and will just take a mortgage through their tame advisor, or if you decide to port you'll let their advisor do it for you.

Hoenir

BarelySentientAI said:

booksandbikes said:

 How can they get a different rate - unless they are assuming the porting request will be rejected and I will be applying from scratch?

They're hoping you won't bother porting and will just take a mortgage through their tame advisor, or if you decide to port you'll let their advisor do it for you.

Primary objective will be to assess whether the finances stack up. Porting in itself isn't the answer to the question. 

chanz4

just get a mortage in princple from your lender, tell the agents do one

BarelySentientAI

Hoenir said:

BarelySentientAI said:

booksandbikes said:

 How can they get a different rate - unless they are assuming the porting request will be rejected and I will be applying from scratch?

They're hoping you won't bother porting and will just take a mortgage through their tame advisor, or if you decide to port you'll let their advisor do it for you.

Primary objective will be to assess whether the finances stack up. Porting in itself isn't the answer to the question. 

The primary objective of trying to push buyers into the in-house mortgage advisors is never assessing whether finances stack up.  That's made obvious when they insist on the same meetings even with an AIP already in place.

ACG

Porting is keeping your current product and avoiding the ERCs. 
What the agent is trying to do is to hit a target for booking appointments... A waste of the brokers time and yours. But the broker is getting paid to sit there, your not. 

booksandbikes

BarelySentientAI said:

booksandbikes said:

 How can they get a different rate - unless they are assuming the porting request will be rejected and I will be applying from scratch?

They're hoping you won't bother porting and will just take a mortgage through their tame advisor, or if you decide to port you'll let their advisor do it for you.

Ah ok, I didn't realise they could 'help' with the port...I assumed I just did it direct with the bank (which I will). 

kingstreet

If you need to borrow more, the broker may have access to lower rates for the "top-up" than are available direct.

In addition, when the current product is due to end, the broker can look at what comes next, comparing customer retention rates with your current lender against remortgage options with new ones.

booksandbikes

chanz4 said:

just get a mortage in princple from your lender, tell the agents do one

Thanks all - yes, the above is my sentiment. They were extremely pushy, and I think they were trying to meet their month end targets. That in itself, was extremely off-putting.