Helpfully, there are a number of options you can consider when you move home. If you have a mortgage on your existing property, you can transfer the mortgage to another property - this is called porting. Alternatively, you may want to consider switching with your existing lender and finding a new deal, though early repayment charges may apply. You can also look at a different lender altogether.

You can also use the equity in your existing home to your advantage. If your house has increased in value or if you’ve paid off a large amount of the mortgage and therefore owe less, you’ll have money in the property that would be yours if you sold the house.

Usually yes. Most home mortgages are portable, which means you can move your current mortgage over to your new property. 

If you’re on a low interest rate deal, this may be your favoured option because it will enable you to keep the beneficial rate. However, even if better rates are available, porting your mortgage may be preferable as it will enable you to avoid some of the fees associated with a new loan.

First, you’ll need to confirm that your mortgage is portable. Check back over the documents you were given when you secured your mortgage - or ask your broker or lender. 

If porting is possible, you’ll still have to go through an application process and credit checks to confirm you can still afford the monthly repayments. This may prove more difficult if your financial circumstances have changed. For example, if you now have children or you’re now self employed. 

Rest assured, you can still get a mortgage if you’re self-employed and it’s increasingly common. Check out our guide to self-employed mortgages for more information. 

If your mortgage can’t be ported, the money from the sale of your existing property would be used to pay off your existing mortgage. Then you’d need to take out a full new mortgage - this may even be your preferred route. More on this later.

If you’re buying a more expensive property, you’ll likely need a larger loan to cover the cost.  

In this situation, you can discuss porting your existing mortgage with your lender but you’ll most likely require an additional loan to cover the extra amount. This will lead to two mortgage repayments each month and the added cost of another mortgage arrangement fee. 

Make sure you seek mortgage advice through your broker or lender as this will help guide you through the process.

You also have the option of completely replacing your current mortgage by taking out an entirely new loan with your current lender. You may find a better interest rate this way but you will also incur extra costs. 

For example, you may have to pay an exit fee and early repayment charge to leave your current deal and this could range from 1-5% of your mortgage value. The closer you are to the end of your fixed term, the less you will have to pay. 

It could be worth waiting until the end of your term when you’ll be rolled onto your lender’s standard variable rate (SVR). These typically come with high interest rates but no early repayment charges should you choose to terminate your deal. Weigh up how far you’re into your current term against how keen you are to move and consider holding off until you are on an SVR. However, it will limit you timing-wise so is usually only realistic in limited circumstances.

You don’t have to stick with your current lender - you can also find a mortgage for your new home with a completely new provider. You can use this mortgage to pay off your current one - or pay for it through the sale of your existing home. The latter could be beneficial if the price of your house has risen substantially since you bought it.

Bear in mind that again, early repayment charges and exit fees may be due if you’re leaving your deal before the end of the term. There will likely also be arrangement and valuation fees as part of your new mortgage application so include these in your financial planning if you’re considering switching lenders.

Your ability to secure a mortgage on a new home and the rates you’re offered will be affected by the property price and crucially, whether it’s more expensive or cheaper than your current one.

If you’re moving to a more expensive house and need a bigger mortgage, you’ll need to prove you can afford to borrow more money. You’ll have a better chance of doing so if your current property has risen in value since you bought it and if your wages have increased or your outgoings decreased. Having consistently maintained your mortgage repayments will also be a factor for your lender.

If you’re downsizing your home and moving to one which is smaller and cheaper, the size of your loan will decrease and your monthly repayments will too. Providing your financial circumstances haven’t changed, you should find it straightforward to secure a mortgage. You may even be able to buy your new home outright if you have built up enough equity in your current property.

If your current home is worth less than the amount of money you owe to your lender, this is called being in negative equity. Unfortunately, you will find it much more difficult to secure a mortgage for a new home if this is the case. Speak to your lender before moving forward as some will only provide you with a new deal if moving is a necessity, such as in the case of you moving for a new job.