Mortgage advise needed!

nufc_fan

Background: Bought property for 124k 18 months ago with partner.

3 year fix with brad bingley at 5.89%

unfortunately we have recently split up, i want to transfer the mortgage into my name and stay in the property, both sides are in agreement about this.

I currently earn 27k rising each year, i have applied to brad bingley and today received a letter today saying they are unable to approve the request (despite offering a 10k capital repayment as well).

Any advise, would another lender take me on?

nufc_fan

sorry forgot to add, there is around 115k left on the mortgage as it stands

nufc_fan

anyone got any advice, im really worried that bradford and bingley are trying to reduce the number of mortgages they have and wont accept anything!

dimbo61

What happens to your mortgage after the fix ends ?
read the paperwork that came with the mortgage offer!
Does it revert to the B&b,s SVR or some sort of tracker deal!
Your EX cant walk away from this as HE/SHE is jointly responsible for the mortgage.
Is there any equity in the property ?
Can you sell the property?
Who is now paying the mortgage 50/50 or you alone.
First thing to find out is what happens to the mortgage payments ( they may well go down!)
If they do then carry on paying the mortgage and ask your EX for half the mortgage payment each month.
If you cant get a mortgage from B&B or someone else you need to look at selling.
You need to see a solictor if you want to stay long term ( wait for house prices to recover! ) and sort out the shared equity in the property.
He/she may owe you money if in negative equity or you may need to pay them off.
I dont know what the property is worth.
GOOD LUCK

nw_man

I think your problem here is going to be your loan to value, i.e. the amount your property is worth versus the amount of mortgage outstanding.

You said you bought for 124k 18 months ago, in the current market what is your property realistically worth ? No point in inflating it to make yourself feel good as any lender will value it realistically.

If you currently owe 115k and by some miracle the property is still worth the 124k you paid for it, then you have a 92.7% LTV which is going to make your chances of re-mortgaging very slim indeed.

This is probably why Bradford and Bingley wont approve you right now.

To get a deal from anyone, I would guess you would need at the absolute lowest, a 10% deposit ( and deals would be rubbish ), more than likely 15% or even better 25%.

But that isnt all of your problems......

There may also be affordability issues, although I reckon someone will do it, of course we dont know what other debts you have or what monthly payments there are on them.

Finally, dont forget, if you took a 3 year deal out 18 months ago and you are now seeking a re-mortgage with a new lender, then Bradford and Bingley are probably going to hit you for a pretty hefty penalty.

dimbo61

PS I support Crewe and we went down this season as well !

nw_man

dimbo61 wrote: »

PS I support Crewe and we went down this season as well !

Pah, football, a waste of time if you ask me :rolleyes:

I would rather poke my eyes with a stick.

dimbo61

Sorry not read the OP post clearly!
You still have 18 months on your existing deal left.
If you want and can sell you need to speak to B&B and check what the ERC is and will they waiver it if you repay the mortgage ( when you sell)
If not you have to work out if its worth selling right now or sit tight and ask your EX to pay half the mortgage ( could you get a lodger?)

dimbo61

Please dont do that at 3am I have enough work already