Can I take my mortgage with me to another house?

Are you moving to another home? Then it may be interesting to take your mortgage with you. Especially if the mortgage interest you are paying now is a lot lower than if you were to take out a new mortgage. Many mortgage lenders therefore allow you to make use of a so-called relocation scheme, also known as the take-home scheme.

The take-home arrangement: how exactly does it work?

It is important to know that the rules surrounding the portability scheme can differ from one provider to another. Some lenders allow you to take the entire mortgage with you, while others only allow you to take the interest on the outstanding amount for the rest of your fixed-rate period. Often, however, you have to indicate your plans regarding the mortgage well in advance. Moreover, the bank treats an application to take the mortgage with you just like if you were to take out a new mortgage. So they look again at your income, your debts and the market value of your (new) house.

Is the selling price of your old house higher than your new mortgage? Then chances are you won't be able to take your old mortgage with you in full. If you need more money for your new mortgage, you can take out an additional mortgage. For this, however, you will be tied to your current lender.

Taking an installment-free mortgage

It is also possible to take an interest-free mortgage with you to another home. Did you take out your interest-free mortgage before January 1, 2013? Then you may continue to deduct the interest when you file your income tax return. If you move, however, this applies to a maximum of 50% of the market value of your new home. You will have to repay the remaining mortgage amount. So pay close attention to this!

Taking savings and investment mortgages

It is no longer possible to take out a savings or investment mortgage. If you already have a savings or investment mortgage, you may move it with you. Of course, you can also decide to cancel it.

Would you like advice on your personal situation? Then be sure to contact one of our mortgage advisors!