Quirky problem with mortgage and change of parties

lachesis

Hi

Was wondering if anyone can lend some advice in this situation:

I took a mortgage out two years ago with Northern Rock. The property was worth £95k and I took out £115k. Now, at the moment the property was valued at £110k whihc leaves a deficit, which I'm not too bothered about; just setting the background financial picture.

This mortgage was taken out as a joint mortgage with an ex girlfriend. I have since split from her and am with someone else. Now I have been paying my own way on the house for 12 months, all bills, mortgage etc. I now want to file for change of parties or get the house in my name solely.

Unfortunately, I can't find anyone that will allow me to do this. Nothern Rock have changed their scoring system to credit ratings and apparently it's just a bit short for both of us

So this leaves me in a rather invidious position. I can live there on my own, can afford to live there with my new partner yet I'm not allowed/able to get my ex girlfriends name off the mortgage. This is a problem because she also wants to get a new mortgage and is unable to do so if her name is on this product.

Now, I've spoken to Northern Rock, Woolwich and also an IFA; so far I've been given wait out the rest of the term (i.e. 2 and a bit years), and then see if the market/economy/lending has changed. But it's causing stress in my personal life and I just need to get it sorted - has anyone on here got abit of genius knowledge or workaround I can use to free us both. We already have an agreement in which there are no settlements needed, just the change of parties, then we go our separate ways........

Thanks for reading,

Toughluck

Hi

As you have pointed out as she is joint with your mortgage and deeds she is finding it difficult to move on with her life and get a mortgage for hefself.

N Rock would allow a transfer of equity if they thought you would be able to afford the mortgage alone. if you are bringing someone on they will score that person. if the fails then you are back at where you initially started out.

would you mind me asking if ROck have said that your income combined (with your new partner) is not enough to support your mortgage, hence why they won't move at the moment?

lachesis

Toughluck wrote: »

Hi

As you have pointed out as she is joint with your mortgage and deeds she is finding it difficult to move on with her life and get a mortgage for hefself.

N Rock would allow a transfer of equity if they thought you would be able to afford the mortgage alone. if you are bringing someone on they will score that person. if the fails then you are back at where you initially started out.

would you mind me asking if ROck have said that your income combined (with your new partner) is not enough to support your mortgage, hence why they won't move at the moment?

No. It's because our credit rating has come out as low/NA for some reason. It would be roughly three times the wages consolidation for both of us. But no one else would be willing to lend as it's in negative equity at the moment.

Toughluck

As long as you have sought independant legal advice that she wants no money from the house (not as though there is any there) and you can provide proof to N Rock that the mortgage is affordable to you both then I would pursue this route with them only.

opinions4u

Would NR accept the transfer if the debt was reduced?

If there was some way you and your ex could achieve this to get her off your mortgage (with NR's agreement) this might be a solution.

Depends on exactly what NR's reason for saying no is.

silvercar

If it can't be done, it can't be done.

We already have an agreement in which there are no settlements needed, just the change of parties, then we go our separate ways........

This should give you enough faith that you can carry on with your life. Your ex will have to declare the mortgage when she applies for another, but by quoting your agreement, she may be allowed another mortgage.