Hi everyone! I was hoping someone here has some information on portable mortgages.
Portable Mortgage: Definition and Much More from Answers.com
The above links provide brief overviews, but essentially a portable mortgage has the option to "port" your loan from 1 residence to your next property after moving. The problem is I can find almost no info about this, and any information available seems to focus on the Canadian or UK mortgage market (I am in the US). Has anyone heard of this before or know whether portable mortgages are available in the US? Is there some "gotcha" about this type of mortgage that makes them relatively unknown?
My question arises because DW and I were considering refinancing our 5/1 ARM (3 years left) into a 30 year fixed rate. Given the recent crunch and interest rate declines, we were hoping with our good credit we could find a lender who would cover the costs and get us an equal rate after refi'ing to the 30 year fixed. We probably won't be in the home much longer than 3 years, but I figured if we could do it for free, why not. However, if we could lock in a 30 year fixed at today's rates and "port" this to our next home (given that interest rates, in my mind, don't have anywhere to go but up over the next 5 years) this would be a deal that I would pay for.
I would greatly appreciate experiences or information anyone could provide. Thanks!