A moving home mortgage is used when someone has an existing mortgage but wants to move to a new property. If your existing mortgage is ‘portable’ then it can be transferred to your new property (as long as the amount you need to borrow hasn’t changed).
A moving home mortgage is needed if your current home loan is not portable or you need to borrow more than your existing mortgage to buy the new property. In both instances you have a choice between obtaining a new mortgage from your existing lender or looking elsewhere, perhaps for a better deal.
It should be noted that there might well be exit fees and/or early repayment fees payable if you leave your current mortgage before the term ends (such as during a fixed rate or discounted rate period) or if these are specified in your original agreement. Existing lenders may or may not waive these fees if you take out a new mortgage with them – different lenders will have different criteria and you’ll need to do your homework in advance to avoid any nasty and unexpected fees.
A remortgage is for someone who is not moving home but who is interested in moving to a new mortgage deal. This can be because the homeowner has come to the end of a special deal (such as when a discount or fixed rate period ends) or simply because interest rates have gone down and the borrower wants to take advantage for lower monthly repayments.
