If you are planning on moving house or are in the process of doing so, you may require a home mover mortgage. Moving house is a great opportunity to reconsider your current mortgage and look for a better deal, whether you are looking to move to a different location or step up the property ladder.
What is a home mover mortgage?
A home mover mortgage is no different to a standard mortgage. It’s simply the process of getting a new mortgage when you move house so the mortgage is suitable for the house you’re moving into. Getting the right mortgage is crucial as you will need to ensure it is still affordable whilst suiting your changing needs.
How does a home mover mortgage work?
Home mover mortgages are typically for people who are stepping up the property ladder and looking for a bigger home, and as a result are also looking to increase the size of their loan amount. Although some mortgages are ‘portable’, which means you can take your existing mortgage to your new home, others are not, requiring you to look for another option when moving home. You might also find that your current loan provider won’t allow you to borrow the additional amount necessary for you to move home.
Even if you aren’t looking to borrow more money, changing your mortgage when you move house, rather than transferring the current one over, can help to better suit your new circumstances and get you a better deal.
Early Repayment Charges (ERC)
The process of changing any mortgage to a different lender is classed as remortgaging. As with any remortgage, you should check whether there are penalties – also known as Early Repayment Charges (ERC) – for ending your current agreement earlier than contracted. You should check if these exist on your current mortgage before considering changing your mortgage.
How Clever Mortgages can help
We will take a look at your current mortgage and assess whether it is in your best interest to change to a new mortgage agreement or transfer your current one to your new property.