Changing mortgage then moving house within 3-6 months?

[Matt..]

I'm in my first house, but considering moving. Right now my mortgage is up for renewal. Do I just get a new mortgage on this house, then move and change mortgage again, or increase borrowing with the provider I've moved to?

The next house will require a much larger mortgage, and longer term, but would have an LTV of ~40%.

Any info is appreciated so I can get a vague idea of how to approach this.


Thanks

[PurpleTurtle]

Layman's experience having done similar within a year:

If you are on any kind of deal you will likely have an early redemption charge. If you go to another mortgage provider on your new place you will be obliged to pay that.

If you stay with your existing mortgage provider (and meet all their lending conditions etc) then they can, at their discretion, port your mortgage over to your new property, increasing the borrowing but waiving the early redemption charge.

This should all be in the small print of your loan agreement.

[Killer2005]

Sarnie

[dalenorth]

I recently renewed a 5 year deal and then the Mrs TOLD me we were moving. There’s a 7k redemption on my current mortgage which has meant it’s advisable to port the mortgage to avoid the fee.

Every situation is different though

[cranford10]

Do nothing and go on to your lenders standard variable rate until you have decided whether to move or not. Although you can port mortgages to a new property, sods law dictates that there may be some quirk which stops your current lender being happy with your new property so they will not let you transfer it over so you will have to pay it off meaning penalties etc.

Far better to have your pick of schemes from all lenders on the new house.

I will of course bow to Sarnie’s up to date knowledge as mine is a little out of date

[dmahon]

It might be worth going onto the SVR for a month or too so you have the whole of market open to you for the purchase.

[Ben La]

Just done this; we had jumped onto a tracker in Jan once our 2yr expired, which gave us this flexibility to do so, thus no fee in Jan, and no redemption on new deal...

[Mattt]

I’d wait personally and keep myself open to the whole of market upon moving.