Whether you're upsizing for more space, relocating for work or buying your forever home, moving house is one of life's biggest financial decisions. Taking the time to plan ahead can help you avoid unexpected costs and make the process much less stressful.
Here are some expert tips from Andy Mannion at RSC New Homes to help you prepare financially for your next move.
Check Whether Your Mortgage Is Portable
Many homeowners are unaware that their mortgage may be portable. This means you may be able to transfer your existing mortgage to your new property and continue to benefit from your current interest rate, without incurring penalties.
If your new home requires additional borrowing, you may also be able to increase your mortgage amount, subject to affordability checks and the lender’s current products and criteria.
Review Your Credit Profile
Even if you're transferring your mortgage, you'll usually need to go through a new affordability assessment with your lender. Before applying, it's a good idea to check that your credit report is accurate and up to date.
Ensuring your financial information is correct can help prevent delays and give you the best chance of securing the borrowing you need.
When planning your move, remember to factor in costs beyond your mortgage deposit. These can include:
Speaking to a solicitor early in the process can help you understand the costs involved, keep your purchase on track and reduce the risk of unexpected expenses later in the process.
Seek Independent Mortgage Advice
A qualified mortgage broker can provide access to a wide range of lenders and products across the market. They may be able to identify more competitive mortgage deals than those available directly from your current lender.
It's also worth asking about mortgages designed for energy-efficient homes. Some lenders offer enhanced affordability calculations or additional borrowing capacity for buyers purchasing modern, energy-efficient properties, helping you make the most of your budget.
Plan Ahead for a Smooth Move
Taking time to review your finances, understand your borrowing options and budget for all associated costs can make moving into your new home much more enjoyable. Seeking professional advice early and exploring all available mortgage options will help ensure you're well prepared for every stage of your move, allowing you to focus on settling into your new home.
