Sole mortgage but with partner's salary considered??

SuSu1871

Hi everyone!

My partner & I would love to buy our first house together and have seen a lovely place for £172k. However...

My partner is due to go bankrupt in the next few months (legacy of an ex-wife on benefits with expensive habits, but that's another story), so we can only apply for a mortgage in my name only. I have a good credit rating having cleared my debts 18 months ago, but I don't earn enough to cover a £155k mortgage (90% LTV) on my own. Maximum I could borrow would be about £120k.

We've done the calculations and could comfortably afford to pay the mortgage as it's only £75 a month more than our rent. Do you know if it would be possible for me to get a sole mortgage, but which takes into account the £1,000 a month my partner puts into the household bank account?

I guess it's kind of like getting a sole mortgage with a guaranteed lodger, but is it do-able??

Thanks in advance

iamana1ias

No chance at all.

CloudCuckooLand

If only you were kidding.

If he has had £75 spare per month - or more in light of "comfortably" - why is he going bankrupt?

His creditors are the ones entitled to the £75, in fact a big chunk of his £1000 a month.

His choice of becoming financially tied to someone else.

If you want to take his salary into account, his credit record counts too, of course.

Mortgages do not take lodger income into account. You could be a landlord, with a BTL, but that's more expensive.

firstaspect

It won't be possible. If you take both incomes into account you'd need to make a joint application which would take his credit into account also.

SuSu1871

Thanks for your (rather blunt) honesty!

With regards to my partner's bankruptcy, I'd just like to say that he doesn't have a spare £1,000 a month! If he did I'd be making sure he cleared his debts rather than go bankrupt!! The £1,000 a month he contributes to the house account covers rent, bills, insurance, food, etc. The extra £75 a month a mortgage would cost would come from me, from the £500 that I save each month.

When the time comes (waiting for paperwork) he will make his IPA payments, whatever they may be. He knows what a mess he & his ex got into, and he knows he has no choice but to go bankrupt and suck it up. We have discussed paying the debts back in full to avoid bankruptcy, even though this would take years, but I'm damned if I'm going to use my savings to clear debts he ran up with his ex, particularly as she's on benefits with no intention of working.

So, in light of your comments, we'll go back to plan A which is to ride out the next few years and save for a deposit.

Sorry for sounding a bit ranty, but I'm actually quite upset by all this - it was only a simple question and I didn't expect to end up having to defend my partner and our finances.

getmore4less

Sorry for sounding a bit ranty, but I'm actually quite upset by all this - it was only a simple question and I didn't expect to end up having to defend my partner and our finances

A mortgage lender is going to want to have a good look so could ask similar questions anyway.


I would wait and see where you are once the bankruptsy has gone through, it will be easier to plan then.

It's all part of hanging out with people with baggage get used to it.

dimbo61

susu has your OH got kids ?

SuSu1871

Yes, he has a 10 year old daughter. Why do you ask??

PasturesNew

Where will the extra £100/month ongoing maintenance and bits/bobs that owning your own house will cost too?

Mortgage -v- rent isn't a straight forward comparison.

When renting things are fixed for you (e.g. new boiler at the drop of a hat = £3k), when renting you don't pay buildings insurance.

Houses cost more than the cost of the mortgage and basic bills.

dimbo61

Hi SuSu the only reason I ask is CSA and the fact that going bankrupt does not clear any arrers with the CSA.
If you got married in the future then whats yours is his and thats the way the CSA look at it for getting Liability orders against your property!!!
Please check out the CSA board.
Once you live together then they also take into account your income and any CTC.WTC you might get so think carefully .

dimbo61

You need to check if he is under CSA1 or CSA2 and think 15% of his income for his daughter
You would need at least 10% deposit and 15% would be alot better