What porting actually involves
Despite the name, you don't literally move the same loan. In practice, your lender repays the mortgage on your old property and grants you a new one on the new property on the same terms, rate and remaining deal period. The benefit is that you keep your existing interest rate and sidestep the early repayment charge that would otherwise apply.
Because it is effectively a new mortgage, you go through underwriting again. Your income, outgoings, credit history and the new property all have to satisfy the lender's current rules, which may be stricter than when you first borrowed.
How porting works step by step
1. Check your deal is portable
Most modern mortgages are portable, but confirm with your lender and read the terms.
2. Reapply with your lender
You submit a fresh application and pass current affordability and credit checks.
3. The new property is assessed
The lender values it and checks it meets their lending criteria.
4. Borrowing more?
Any additional borrowing is usually a separate sub-account at today's rates.
5. Complete the move
Your old mortgage is repaid and the ported deal attaches to the new home, ideally on the same day.
Porting vs remortgaging
| Porting | Remortgaging to a new deal | |
|---|---|---|
| Keep current rate? | Yes | No, you take a new rate |
| Early repayment charge | Avoided | May apply on the old deal |
| New application? | Yes | Yes |
| Best when | You have a good rate or high ERC | Better deals are available now |
Always compare the cost of porting against switching to a brand-new deal.
When porting tends to make sense
- You're locked into a competitive rate you'd lose by leaving.
- Your early repayment charge would be costly to trigger.
- Your circumstances still comfortably meet affordability checks.
- The new property fits your lender's criteria.
- You're not borrowing so much more that a fresh deal would be cheaper overall.
Porting can be refused
Even with a portable mortgage, the lender can decline if you no longer meet affordability rules or the new property doesn't qualify. Don't assume porting is guaranteed, get an agreement before committing to a purchase.
What happens if you borrow more, or less
If you need to borrow more to buy a pricier home, the extra is normally arranged as a separate part of the mortgage at the lender's current rates. That means you could end up with two sub-accounts ending at different times, which can complicate future remortgaging.
If you're downsizing and borrowing less, you may face an early repayment charge on the portion you pay off, unless your deal allows penalty-free overpayments. Timing your move to coincide with the old and new mortgages completing on the same day is important to keep porting smooth.