Can I port my mortgage?

A reader from Essex is worried about moving up the property ladder and if she can take her mortgage with her.

Tony Davis, myfinances.co.uk mortgage expert from Mortgage Meadow, takes her through the problem and what it means to her finances.

Suzanne from Brentwood asks:

I have an existing mortgage with Northern Rock which I am tied into for another 3 years. I have been with them for 2 years.

I am looking to move house and port my mortgage but have just found out I will need to be credit checked again and it's not as simple as I first thought.

I have paid my mortgage on time for the past two years however due to an ex relationship I now have very poor credit and am worried the application will be turned down.

Is there anyway I can get them to approve it as I am not looking for any more money and will just carry on paying the same amount each month?

Tony replies:

Northern Rock's principle aim is to repay the loan from the government and they are doing this by encouraging people to repay their mortgages at the end of the existing fixed rates and using this money to reduce the bank's debt.

Northern Rock is open to new borrowers, but they have tightened up their lending policy significantly; as such I would not expect you to fair well when you credit score.

However, you should go through the process and see the outcome, because if you do pass you can "port" your mortgage to your new home (subject to criteria) and, if you fail, then you know and you can assess the cost of repaying your existing mortgage and deciding whether this is a price you can and are willing to pay.

If you have a question for Tony, go to the myfinances.co.uk Ask the Mortgage Expert section.

Or for more information or mortgage advice go to Mortgage Meadow.

Mortgage Meadow is an independent mortgage broker and is authorised and regulated by the Financial Services Authority