Short answer: Porting moves your current mortgage, rate and remaining term to your new home so you don’t pay a penalty for breaking it. If you need more money, most lenders blend your old rate with today’s rate on the extra amount. You must requalify, the new home must meet the lender’s rules, and lenders set tight timing windows. Compare the ported option with a new mortgage, because paying the penalty is sometimes cheaper overall.
How Porting Works
When you sell and buy, you ask your lender to transfer your mortgage to the new property instead of paying it out. The rate and remaining term come with you.
If You Need a Bigger Mortgage
Most lenders “blend and increase”: your existing balance keeps its rate, and the new money is added at a current rate, giving you a blended rate. Some extend the term.
If You Need a Smaller Mortgage
You may pay a penalty on the portion you pay down, depending on the lender.
Rules to Check
- Timing: some lenders need same day closings, others give a window (often 30 to 120 days)
- Qualification: you must qualify for the new mortgage under current rules
- Property: the new home has to meet the lender’s guidelines
- Product: not every mortgage is portable, and some variable products aren’t
When Porting Isn’t the Best Move
If your current rate is higher than today’s rates, or the penalty is small (as on many variable mortgages), a new mortgage can cost less over the term. We compare both.
→ Related: Move Up Buyer Guide · Prepayment Penalties Explained
Frequently asked questions
What does it mean to port a mortgage?
Moving your existing mortgage, with its rate and remaining term, from the home you're selling to the home you're buying, which can avoid a prepayment penalty.
Can I port if I need a bigger mortgage?
Usually yes. Most lenders blend your existing rate with a current rate on the extra amount. You must qualify for the new total.
How long do I have to port?
It varies by lender. Some require the sale and purchase to close the same day, others allow a window such as 30 to 120 days. Check your mortgage terms before you list.
This article is general information, not personal financial advice. Rates, rules and programs change. Talk to a licensed mortgage broker about your situation. Lacroix Mortgage Group is licensed through Mortgage Connection Inc.