Advice needed re porting mortgage

youngmoney_2

One very important thing to note with Nationwide and porting products is the ERC situation, which nobody has pointed out yet.

It should not be a problem if you plan things correctly and ensure both solicitors understand the completion date is important.

With ported products, as MarkyMark rightly says, it's the terms that you port, not the mortgage itself. Therefore you pay off one mortgage and start another mortgage account.

If you are unable to sell and buy simultaneously, Nationwide will charge the ERC when the existing mortgage account is repaid. If you complete on your new property within 6 months of the date your original mortgage is paid, then they will refund the ERC (a couple of weeks after completion) to you.

Just be aware of this because in the unlikely event that you complete on your property a few weeks before the purchase of a new one, you will need to allow money to pay the ERC.

MarkyMarkD

Indeed, that is a good point. It applies to most (all) lenders, though, as unless you port simultaneously, they don't know you are definitely going to port.

Dick_here

MarkyMarkD wrote: »

No.

All that porting means is that you can take out a new mortgage and keep the existing mortgage rate and terms without paying the ERC.

Yes, good point Marky. I overlooked pointing that out here as I was concentrating on making clear that porting is not a right in itself. Just because it is a feature in a mortgage is no guarantee that the same amount - never mind more - will be loaned to you when you try to port to a new property, a point that you have made previously as I recall !

MarkyMarkD

I'm in danger of starting a third post on this thread with "Indeed".

All I can do is totally agree with what you say, !!!!!! here.