Moving home mid-mortgage and want to avoid exit fees? Joe Capon of The Mortgage Bubble has a solution which he explains in his latest Q&A
The Question
My family and I are relocating to be closer to family and we are in the process of viewing properties. We took out a five-year mortgage in 2021 which was fixed at 1.99%.
I believe there are exit fees on the loan – and I think it’s around 3% or thereabouts. Is there a way to avoid this since we are moving house? Is there a way we can use the current mortgage when we move?
Joe’s Answer
You can look to port your mortgage to a new property with your current lender. This will allow you to obtain your current interest rate of 1.99% and avoid the early repayment charges of 3%.
When porting your mortgage, please be aware you will need to go through the mortgage application process again and if there have been any material changes, your lender can refuse to port your mortgage.
I would also look at the terms and conditions of your current mortgage to make sure it is portable also.
Speaking to a mortgage adviser on this would be a great idea to make sure for you it is possible.
Meet our expert
Introducing Joe Capon of The Mortgage Bubble, who is ready to answer your questions…
Joe Capon has more than 10 years’ experience in the mortgage industry. He set up The Mortgage Bubble in 2021 and it is now a multi-award-winning mortgage firm, which strives to deliver the best mortgage advice to its clients which meets their needs now and also in the future. If you have a question for Joe email our editor and she’ll pass it on to him – kate.saines@emap.com
