Is my mortgage portable?

2
Edited by:"darren_85"Found 20th Nov 2017
I am about to sign a remortgage deal with TSB (Already with TSB). I am unable to get advice from TSB because it's an online only application (no fee)

I am happy with the deal except unclear on this statement in the illustration and whether it is portable or not i.e. i can move to a new property with no penalty and take my rate with me.






Flexible features












You do not have the right to transfer this loan to another property.

Additional features:

Taking your product rate to a new mortgage




In the future, you can apply for a new loan on another property. If TSB agrees to the new loan

you can take the following product(s) and any early repayment charge with you for the remainder

of the product rate period(s). New loan applications are assessed in line with the lending policy

at that time which may, for example, affect the repayment method, loan amount or term. The

new loan will be subject to the terms and conditions in force when you make your application.




FAP269




Once you are paying interest at the lender variable rate, this rate cannot be taken to a new loan.

If your application is made during an early repayment charge period, and the new loan is for a

smaller amount than you owe, you may have to pay part of the charge. If the new loan is for a

greater amount than you owe, you will need a new product for the extra amount you borrow.




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2 Comments

It says you can't transfer "this loan" to a new property, but that you can carry the remaining terms of the product to a new loan. That's known as porting a product from one mortgage to another.

The answer is essentially yes, but is technically no as you've really asked the wrong question. A mortgage isn't portable (that's the whole point of needing to port) to a new property, but the bit that you're interested in and which you want to transfer is the rate, which belongs to the product, which is portable.

So the real question is whether the product is portable, to which the answer is yes.

My head's aching now
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