Mortgage Help

NicolaD

Hi there

I hope you can help. I currently have a mortgage (£130k mortgage on a property worth approx £260k), so 50% LTV

We have been living here in our freehold flat for about ten years and since we've since had a family we would now like to trade up.

My partner is divorced and as part of his divorce settlement he agreed that his ex wife would stay in their marital home until either his children left home or his ex wife remarries.

Based on my income alone £36,500, can anyone tell me roughly what the maximum I would be allowed to borrow on my own. I currently have an offset mortgage with First Direct, at 4.75% (mainly due to the flexibility it offers), but will go onto a SRV at the end of June.

Is my partner able to contribute to our new mortgage? Can his income be considered, although his name is obviously still on the Deeds of his old house? He is self employed (with 5years plus accounts). His net profits are around £20 - £22k I'd say. Obviously try to keep that low for tax reasons, but it's a double edged sword!

Any help gratefully received.

Thanks in advance

dimbo61

Flat worth £260K ? Stamp duty 3% over £250K so thats the price you might get and no more.
Has your partner still got a mortgage on the former marital home ? How much ? Is he paying it ?
So you have a £120K deposit and 4X your income say £145K mortgage plus whatever they will take into account for your partners income

NicolaD

Hi there,

Thanks for your response. There is still a mortgage on his old property, although it's fairly small.

He doesn't contribute or pay for the mortgage directly, but does pay excessively for maintenance payments for his two children (or he did but is now only paying for the 17 year old now the 19 year old is at university).

If he is still on the Deeds of his old house, will this effect a new mortgage application for him?

NicolaD

Anyone with any thoughts on my latest thread?

Thanks

NicolaD

If he is still on the Deeds of his old house, will this effect a new mortgage application for him?

Is there anyone out there who can help with this quesiton?

Thanks in advance