Changing mortgage from one property to another

bbmack

Hi all

5 years ago my wife and I weren't in a position to get a mortgage but needed to relocate for work reasons. My father in-law offered to get a mortgage for a house and we agreed to pay the monthly repayments, bills and for all D.I.Y. It worked very well.
We hoped by the time we sold we would have built up equity to use as a deposit which obviously hasn't happened. Also even though we have good secure jobs now my credit misdamenours of 4/5 years ago are still causing issues (they're all paid off now and I have a grand total of £92 debt.)

There are a few house for sale in the area we are looking for that are a little more expensive than ours so I hoped it would be possible to pay off the mortgage and simply swap it to the other property and continue as we were (maybe adding 10,000 on top). Is it possible to do this if you've got an impeccable payment history?

I'm sure it's a faff but I don't know why it would be an issue really.
Also any good mortgage brokers out there who deal with first time buyers?

Cheers all

Simon

Annisele

Who would be taking out this new mortgage? You and your wife, or your FIL?

In either case, the borrower would need to be credit scored, and they'd need a deposit of at least 10% of the value of the new house. There might also be CGT implications for your FIL.

The borrower would also need sufficient income to support the mortgage for the whole of its term - which might be a problem if the borrower is your FIL.

bbmack

The FIL would continue as the name so would be credit scored e.t.c.

I was hoping the need for a deposit wouldn't be there as it would be a sort of continuation of mortgage.

Perhaps renting for a while is a better idea lol

Bloody banks :j