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transfer of equity help!!
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bustylil
Posts: 7 Forumite
Hi guys,
I am new to this site but would really appreciate some help.
My ex partner and I split up over a year ago and we had a property together.
The valuation when we bought it was £165k and due to a great deal, some payment breaks, and 5% paid, we got a mortgage and the balance is roughly about £160k.
The thing is, we have now split up, and my new partner and I were planning on keeping the mortgage and renting out the property, the ex is due to move out very shortly.
When I spoke to the mortgage company they said we could do a simple transfer of equity using the original valuation which would only cost £160 admin fee.
However, since I took the mortgage out, I entered a debt management plan because I was made redundant.
I have never missed a payment, and I have certainly never missed a mortgage payment but they have turned the application down because of this dmp - now I am worried that we won't ever get a mortgage.
The stupid thing is, they will allow me to keep the existing mortgage account with my ex, even though I have a dmp, but will not allow me to do a transfer of equity even though this means they will have up to date information and I can still easily make the repayments.
Also, I doubt any other mortgage company will touch me with my credit history, and nobody will lend that sort of money in this financial climate!
I am at my wits end, can someone please give me some advice on where to turn??
thank you so much in advance
I am new to this site but would really appreciate some help.
My ex partner and I split up over a year ago and we had a property together.
The valuation when we bought it was £165k and due to a great deal, some payment breaks, and 5% paid, we got a mortgage and the balance is roughly about £160k.
The thing is, we have now split up, and my new partner and I were planning on keeping the mortgage and renting out the property, the ex is due to move out very shortly.
When I spoke to the mortgage company they said we could do a simple transfer of equity using the original valuation which would only cost £160 admin fee.
However, since I took the mortgage out, I entered a debt management plan because I was made redundant.
I have never missed a payment, and I have certainly never missed a mortgage payment but they have turned the application down because of this dmp - now I am worried that we won't ever get a mortgage.
The stupid thing is, they will allow me to keep the existing mortgage account with my ex, even though I have a dmp, but will not allow me to do a transfer of equity even though this means they will have up to date information and I can still easily make the repayments.
Also, I doubt any other mortgage company will touch me with my credit history, and nobody will lend that sort of money in this financial climate!
I am at my wits end, can someone please give me some advice on where to turn??

thank you so much in advance
0
Comments
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Sell up. Why do you want to keep the property to rent out when you are on a DMP?poppy100
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I think that I will end up owing money on it if I sell it now due to the lack of equity in it0
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What is your gross annual income? This may have been a factor too.0
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have you told the mortgage company you are planning on letting it? they may put you down the B2L mortgage route in which case you will need to find a large deposit...what if the property is empty can you afford to meet all the payments on top of your own living costs...Sell up and split any outstanding costs with your ex0
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