When you move house, you can now take your mortgage with you. A portable home loan provides you with both convenience and savings. Given that you usually take out a home loan for between 20, 30 and 40 years, there is a high likelihood that you will move house at some stage.
Seasoned mortgage broker will be able to identify the instances that may work for you and your personal circumstances and also assist with buying & selling a property that is mortgaged requiring the usual full credit assessment & criteria to be met. As a result, mortgage portability is something that will come in quite handy. In some special & rare cases, your qualified mortgage brokers can assist in transporting a home loan from one property to another without the need to jump through the usual hoops.
When you move to a new house, a portable loan allows you to maintain your loan. Rather than refinancing your house loan, you swap the property you’re using as collateral to remove the current property from the loan and replace it with the new property. It saves you time and money by eliminating the need to close one loan and apply for another. You won’t have to apply for a new loan, which saves you money on application and set-up fees. Because your BSB and loan account numbers remain the same, you won’t have to re-arrange any of your direct debits, automatic payments, or other automated payments. This ensures that your bill payments are uninterrupted.
You must pay upfront charges to get a house loan when you apply. These expenses might add up and increase the total amount you pay back on your loan. If you have a portable loan, you may move it to a new property if you decide to sell your current house and buy a new one. You will have to pay establishment fees when you apply for a loan. These fees might range over $1000, depending on the service provider. You can avoid these costs by moving your existing loan to your new home. Exit fees are frequently charged when you quit a loan. These fees vary in price based on the service provider, but they may be extremely costly. You can avoid these fees by moving your loan to the new home. Mortgage exit expenses, such as Deferred Establishment Fees (DEF), loan stamp duty, legal, setup, and utilities charges, and agent fees are all eliminated with a Portable Home Loan, saving you hundreds of dollars.
Portable mortgages can offer a lot of benefits. The main one is convenience. You won’t have to shop around and negotiate a new loan, and your BSB and loan account details stay the same, together with your current loan structure. This can be handy as you won’t have to re-arrange all your direct debits and automatic payments. This can also be good for your budget planning, as you won’t have any interruptions to your payments.
The first thing is to ask your mortgage broker whether or not your current loan is portable. If so, great. It may not be, however, and there can be some restrictions on your current loan. If you are looking through our mortgages to find a new one, then make sure you ask your mortgage broker whether or not any mortgages you have your eyes on are portable. Wanting to protect yourself before committing to any loan is important, especially if you want to be able to keep fees down in the future. But remember, if you want to increase the amount of your loan outside of the loan agreement, you may need to apply for another loan. This is important when considering the price of any new home you wish to buy.
As we mentioned before, not all loans can be portable, but there are plenty of options that are. Check out some of the best options with your trained mortgage broker. Mortgage Street offers portable loans that are both offset and no offset mortgages, as well as a range of standard variable loans. Mortgage Street can also offer an interest only option if your mortgage broker forms the view that’s something that can help you achieve your dream. Because at Mortgage Street that is what we are all about. We are focused on providing you with the best loan product and service for your needs. We do that by listening to what you & your mortgage broker wants and what your needs are, not telling you what we think you want. From there, we leveraged off your appointed mortgage broker’s experience to find products and services that align with your goals. Our specialist technology can then ensure a seamless process and provide you with ongoing support throughout the life of your loan, and beyond if needed in consultation with your mortgage broker.
There are a few big differences between portable mortgages and refinancing your loan. The main difference is that when you & your mortgage broker choose loan portability, your loan basically doesn’t change. It is the same loan with the same conditions, the same payments, and the same interest structure. The only thing that really changes is the address of your house. Refinancing can be a great option if you want to buy a new home, upgrade or even give your current loan a health check. This means you will have a new loan with new repayments, conditions, fees, length, etc. There may also be exit and establishment fees when you refinance, and you can refinance with any bank or lender, not just the one you are currently with. If you have a number of other loans, such as a car loan or personal loan, refinancing them all into one loan, even a mortgage, can reduce your repayments and even the amount of interest you pay overall. Speak to your experienced mortgage broker about these options, and whether the new loan could be from the range of our portable mortgages.
