If you port do you forever have 2 mortgages?

[Pastnowfuture]

Hi, I am just starting to look at options for moving house. Porting our mortgage is one of them. If we do so does that mean we will always have 2 mortgages or is there a way to merge them at some point? If we moved again would we end up with 3?!

Usually when people port they just take out more on the existing mortgage (if the new property is more expensive). If you do end up with a second mortgage you can merge them by remortgaging down the line. Unless you have massive early redemption charges you’re probably better off getting a new single mortgage than porting and getting a second one.

Ported and the rate was no longer available (sadly) so we have one mortgagee with two separate sub-accounts on different interest rates.

We ported 5 years ago, so two products, our original mortgage and additional borrowing (a smaller pot).

When I was recently looking into a new mortgage deal I asked my current provider if they could merge the two and was told no, not with them, but a new mortgage provider probably could.

We've now locked into a 5 year deal with current provider as it was fastest/easiest. Annoying, as it's still two products though. Hoping the smaller of the two could be paid off by then.

For the new borrowing can't you just pick a term similar to your remaining term then once the fixed terms have both ended (or the early repayment charge is small) you just remortgage them both together?

You can hold onto two mortgages; it's not a problem. Typically the terms will be different so one pays off first anyway.

Or if they're fixed term, you might be able to combine them into one when you remortgage in a few years?

Or if they have a different interest rate to one another, you might choose to overpay the expensive one to finish it earlier, if you have that option.

My understanding is that most people do as @hgaj said - take out the second mortgage on a similar fixed term and remortgage simultaneously, which consolidates the two. That may not be the most appropriate option for you, however. It may be cheaper to not consolidate the two.

We ported a mortgage a few years ago. We ended up with two sub accounts with different interest rates where the deals ended at different times. I’m pretty sure We put the sub account that finished first on to the variable rate until the second sub account deal finished and then put them both together and remortgaged it all together.

@hgaj

For the new borrowing can't you just pick a term similar to your remaining term then once the fixed terms have both ended (or the early repayment charge is small) you just remortgage them both together?

This is how I would logically consider doing it.

Iys really not a problem and usually resolves itself in 2 years or whenever the fix ends.

I actually had three at one point. Shared ownership which I purchased outright, then porting. I've remortgaged recently and now have one. No issues at all

Yes - we have a mortgage (the original one we ported) and a "further advance". At some point they must have been on different rates but then they both reverted to the SVR.

You can keep 2 pots long term, eg if your first mortgage is on a great lifetime deal and you want to keep that good rate. It's just 2 different lines on your statement. We had a bit of head scratching when we wanted to consolidate our overpayments in one particular pot, but otherwise it's been a non-issue.

When I did this, I waited until the cheapest subaccount went out of term and paid it at the standard rate until I could remortgage both subaccounts together. But there was a huge discrepancy between sub account 2 (the expensive one) and subaccount 1 which made that an affordable option for us. Plus it was only 4 months.

I ported and have 2 charges on my mortgage. One has just come out of a deal and I’ve switched it to a discount rate rather than a fixed rate because it’s only a 1% redemption (not 3%) and my larger charge is out of a fixed deal in a few months so I can remortgage at that point and merge them together.

We have three sub-accounts, two of which are ported from the old house (each on different tracker rates) and one which is for the current house on a five year fix. The old accounts are super-low trackers and there was nowhere near as good a deal when we moved; the newer one is the one we overpay into as obviously the rate is higher.

It sounds complicated but they are all together on the app and just one DD payment which is then split between them. It’s a very good deal for us

I went through this recently (borrowed more;had a 2 component mortgage and wanted to fix for longer)
Rather than wait for them both to be on the SVR, I paid the ERC on one portion and remortgaged the lot under a single product fee .
On my statement I still have a 2 component mortgage, of the same durations & rates. This is the case until you remortgage completely with another company.

We've got the original mortgage and then a further advance. Both in different interest rates and with different end dates.

It's not a problem for us - both are clearly visible on internet banking.