Can I Remortgage Early? Avoiding Fees & Porting Your Mortgage
Needing to remortgage or move house before your current deal ends can be a real issue because of early repayment charges. These fees can be thousands of pounds, but there are ways to avoid them.
This guide provides clear, actionable advice on how to legally avoid or minimise a huge early repayment charge, so you can remortgage or sell your property when you need to.
What is an Early Repayment Charge (ERC)?
An Early Repayment Charge is a fee your lender charges if you repay your mortgage before the agreed-upon term ends, usually between 1-5% of the outstanding balance. This is designed to compensate the lender for the interest they lose when you leave your deal early.
Porting your mortgage
Porting your mortgage means you take your existing mortgage product and rate with you to the new property. This is the most common way to avoid paying an early repayment charge when you want to sell your property and buy another.
Your lender will still have to assess your new loan application based on its current lending criteria, but you usually get to keep the preferential rate you already have.
The main drawback is that you are limited to your current lender's product range. They may not offer the most competitive rates on the open market, and you still have to meet their current lending criteria.
Remortgaging to downsize
If the new mortgage is for a smaller amount, you may have to pay the ERC on the difference. However, most lenders allow an annual overpayment, often at 10% of the existing loan, without incurring ERC.
The lender's position
Not all lenders allow porting, and their terms and conditions differ. Here’s a summary of some lender positions:
- Barclays: Most deals are portable. You typically have a 90-day window between selling your current home and completing on the new one to avoid ERCs.
- HSBC: Allows porting on most rates. They offer a 6-month window to claim back an ERC if you pay it off and complete your purchase shortly after.
- Lloyds: Porting is standard on most products. If you borrow more, the additional amount will be on a new, separate sub-account with a different rate.
- Nationwide Building Society: Most products are portable. They are known for high-LTV support (up to 95%) for existing customers moving home in 2026. If they can offer you a new loan, you can keep your existing mortgage product and will not have to pay an ERC if you transfer the balance and terms for the remainder of your Benefit Period.
- National Westminster Bank Plc: You have the possibility of porting your existing mortgage product(s) to a new property, subject to their terms. They require a full reassessment of your financial health and the new property’s suitability.
- Santander: Most products are portable. Note that they do not allow porting to a property you already own mortgage-free or for simple remortgages.
- Halifax Bank Plc: You can apply for a new loan on another property and take your existing product and ERC with you. This is subject to meeting their current lending criteria.
Is it worth remortgaging early?
If you can't port your old mortgage, whether it is worth remortgaging early depends on two factors: the savings you can make on a new interest rate versus the cost of your early repayment charge (ERC).
Use our easy Mortgage Repayment Calculator to calculate the total cost of different rates over your mortgage term. If the total savings over your new mortgage term outweigh the cost of the ERC and any new fees, it may be worth taking the hit.
Our mortgage broker can help you with these calculations to ensure you make the right choice.
Asking your lender to waive the Early Repayment Charge
This method is less common, but it is still possible to get your lender to waive the early repayment charge, especially if you are close to the end of your fixed-rate period. There is no guarantee they will agree to this, but some lenders do.
Lenders are most likely to consider this if you have a strong track record of payments and are only a few months away from the end of your deal.
You need to contact your mortgage lender’s redemption or repayment department and get their written authority that they will agree to waive the charge. If they agree, they will provide the authority in writing.
Getting a redemption statement
To remortgage at any time, you'll need your current lender's redemption statement. It outlines the exact financial details required to repay and discharge your old mortgage, including any early repayment charges, unless waived.
How long does a remortgage take?
A remortgage typically takes between six and eight weeks to complete. However, the process can be faster if you are not releasing equity or are staying with your current lender. Our remortgage solicitors will work towards your timeframe. Ask us about our expedited service.
It's crucial to start the process early to avoid falling onto your lender's Standard Variable Rate (SVR).
Expert tip: Organise your next mortgage early
If you are unable to port your mortgage or get your lender to waive the fee, you will likely have to wait for your early repayment charge period to expire. However, it is a good idea to start the remortgage process early.
You should begin to organise your new mortgage 3 to 6 months before your existing deal ends. Mortgage offers are normally valid for 6 months, and it can take 3 to 4 weeks to get a new mortgage offer.
By getting an offer for a new, better rate and then waiting for your ERC period to expire, you can ensure a seamless transition without paying any penalty.
Andrew Boast FMAAT
CEO of SAM Conveyancing
Risks of waiting too long
If you wait until the last minute to organise your remortgage, you run the risk of your current fixed deal ending before your new one is in place.
This can force you onto your lender's higher Standard Variable Rate (SVR), which can be significantly more expensive. It also means you may have to rush the process, leading to potential delays or issues.
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Frequently Asked Questions About Remortgaging Early
Andrew started his career in 2000 working within conveyancing solicitor firms and grew hands-on knowledge of a wide variety of conveyancing challenges and solutions. After helping in excess of 50,000 clients in his career, he uses all this experience within his article writing for SAM, mainstream media and his self published book How to Buy a House Without Killing Anyone.
Caragh has written extensively for SAM with expertise on sale and purchase conveyancing, the Help to Buy redemption process, equity transfers and deeds, leasehold reform, RICS home surveys, shared ownership, and independent legal advice for specialist mortgage products and ownership structures.
