Jas Stephens Magazine 19 October 2013

19 October 2013

MORTGAGE PORTABILITY A portable mortgage is a home loan that permits the borrower to transfer their loan balance to a new property with the same lender without penalties. The borrower will transfer the mortgage to the new property with the exact terms that remained at the time of the transfer.

Previously, and still the case with many current mortgage products and providers, each new home needed a new mortgage. So, if a person was going to change house then they would pay out their current mortgage when they sold their house and at the same time they would arrange a new mortgage for their new house.

Yarraville

104 Somerville Road 9316 9000

Williamstown 1/66 Douglas Parade (Corner Stevedore Street) 9393 1600 www.jasstephens.com.au

This process means that the fees that would be incurred when arranging a new mortgage would have to be counted into the cost of moving house. This could include set up fees, valuation fees and other one off fees or services that was insisted on by the mortgage provider.

A portable mortgage has several advantages for the right homeowners.

If a homeowner has locked in to a low rate for example, but then has either the need or the desire to purchase another home, the low interest rate is retained.

In addition, many of the previously mentioned costs associated with obtaining a new mortgage might not be charged. However, the borrower should expect an appraisal fee for the new property, as the mortgage lender must be assured that the loan-to-value ratio meets their requirements.

There are certain types of home loans that mortgage portability tends to be available. These include flexible mortgages and mortgages available to people with a large amount of equity. Many portable mortgages also have the ability to increase the mortgage if the price of the new home is for more than the loan amount.

Craig J. Stephens Managing Director / Officer in Effective Control M 0418 547 938

As a service to our vendors, we will require names & phone numbers on entry of all inspections.

Privacy Act 2000: We use personal information collected from you during open for inspections for security purposes. We may also use that information to contact you with respect to this property and others we believe may be of interest to you.

Also, we may contact you in relation to other services provided by us or our associates such as insurance, mortgages and loans. By providing your information to us you agree to our use of it as described above unless you advise us differently. If the information is not provided we may not be able to provide an effective and comprehensive service to you. (Your personal information will be collected and held in accordance with provisions of the Information Privacy Act 2000).

We have obtained all information in this document from sources we believe to be reliable, however, we cannot guarantee its accuracy. Prospective purchasers are advised to carry out their own investigations.

We strongly recommend that you clearly register your interest with our representative at the open for inspection, so that in the event of a sale being imminent, your position is protected.

We make every effort to contact all interested parties prior to a property being sold.

MEET THE TEAM

MAREE CECCHIN

ANNA GRECH

ASTRID JANE

ALAN STEPHENS

REECE GOSSTRAY

Sales Trust Administrator

Senior Sales Consultant

Sales Consultant

Chairman

Phone 9316 9025

Mobile 0438 446 051

Mobile 0402 211 660

Mobile 0411 242 638

Project Sales Manager Banbury Village

Email salessec@jasstephens.com.au

Email agrech@jasstephens.com.au

Email ajane@jasstephens.com.au

Email astephens@jasstephens.com.au

MARK HUTCHESON

NICOLE GRECH

LACHLAN McCRAW

SUE STEVENS

MAX WALLER

Sales Consultant

Marketing Manager

Property & Finance Consultant

Mobile 0448 820 445

Mobile 0423 590 508

Business Development Manager (Property Management) - City of Maribyrnong

Director Provincial Home Loans

Email mhutcheson@jasstephens.com.au

Email ngrech@jasstephens.com.au

Mobile 0400 335 498

Email suestevens@provincialhomeloans.com.au

Email lmccraw@jasstephens.com.au

Mobile 0432 705 815

Mobile 0418 378 276 Email rgosstray@jasstephens.com.au

Mobile 0438 430 436 Email maxwaller@provincialhomeloans.com.au