Mortgage Advice Please

LULULU1

Hi all and thanks for your invaluable help. Basicially we were thinking about having either my wifes name or mine on the mortage just in case there were any relationship issues between our son and his girlfirend.

Do you think the amount of credit I have will cause a problem. Would it be better just to give him the money (which he will hopefully pay back at some time in the future)

Would it be better just to have my wifes and his name on the mortgage.

getmore4less

LULULU1 wrote: »

Hi all and thanks for your invaluable help. Basicially we were thinking about having either my wifes name or mine on the mortage just in case there were any relationship issues between our son and his girlfirend.

how do you think this will help?

Do you think the amount of credit I have will cause a problem. Would it be better just to give him the money (which he will hopefully pay back at some time in the future)

Would it be better just to have my wifes and his name on the mortgage.

You need to understand the potential issues and then look at the way to protect them rather than just asume one of you on the mortgage will do that.

one of you being on the mortgage deeds will not protect the GF from making a legit. claim if there is one.

Bullfighter

Remember, putting your name on the mortgage makes you fully liable for the entire debt. Are you prepardd to lose your house in the worst case scenario?

LULULU1

Getmore4less,

Firstly I don`t assume anything. I am completely in the dark and very grateful for people such as you who are willing to advise.

If the mortgage is in mine and my sons name surely if there is a problem she would only have a claim on my sons half of the property.

Will the fact that I have a a lot of credit stop me from doing this.

Lastly for payment security we are considering a 5 year fixed rate. Do you have any views on this.

Thanks to all contributors past and future.

Thrugelmir

LULULU1 wrote: »

If the mortgage is in mine and my sons name surely if there is a problem she would only have a claim on my sons half of the property.

Do you have a issue with their relationship?

Does your sons G/f not work ?

getmore4less

LULULU1 wrote: »

If the mortgage is in mine and my sons name surely if there is a problem she would only have a claim on my sons half of the property.
.

I think a claim would be based on the contibutions that can be shown or some other dependancy that gives a right to equity.

I don't think your part ownership would not protect from that share being greater than your sons if the contributions justified it.

eg: if you owned the property 50:50 with a 25% deposit 75% mortgage and she then paid of the mortgage she would have a potential claim for 75% of the property.

dimbo61

You have not said if you son and girlfriend have saved any money for a deposit ?
Is your sons G/F working ?
I have a YBS mortgage and my dad helps me by offseting his savings in the offset account in HIS NAME against MY mortgage
Now to get a mortgage at a reasonable rate you need a 15% deposit and YBS do a 5 year fix at 5.29% 85% LTV( long term security IF! the plan on staying in the property for 5 years or more?).
So once they have bought there home you can help by using your savings to offset there mortgage.
It keeps it simple with no TAX or CGT or problems if they split up and you have access to the money if you need it.