The porting of mortages- a little guidance please
Discussion
Hello: so 5 years ago I bought a new house, keeping my old property. I had an unusually low interest rate on the mortgage, somehow fixed for life (at the old house), plus owed only about 32k on my old property- with about 10/12 years left to run.
I discovered I could "port" this 32k to my new home, keeping its rate for life. Of course I borrowed more to buy the new home naturally
Now at the time I was told, yes you can "port" the 32k, yes you can keep the rate for life: but the timescales re-set. Thus what would have been 32k left to pay off over say a 12 year term, re-set to 25 years again.
I can recall arguing the toss, but basically I accepted it.
was the bank right/wrong ? was I right/wrong to accept ? Is this the case- the borrowing term "resets" ?
I'm still grateful to have the low rate, fixed for life: no matter what the market does- but it does feel like I'm paying towards my debt, almost twice over.
many thanks in anticipation.
I discovered I could "port" this 32k to my new home, keeping its rate for life. Of course I borrowed more to buy the new home naturally
Now at the time I was told, yes you can "port" the 32k, yes you can keep the rate for life: but the timescales re-set. Thus what would have been 32k left to pay off over say a 12 year term, re-set to 25 years again.
I can recall arguing the toss, but basically I accepted it.
was the bank right/wrong ? was I right/wrong to accept ? Is this the case- the borrowing term "resets" ?
I'm still grateful to have the low rate, fixed for life: no matter what the market does- but it does feel like I'm paying towards my debt, almost twice over.
many thanks in anticipation.
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