i wanna remove my name from mortgage

nikkita_2

hello all,be patient with me this is the first time i have posted!! my partner and i have just got ourselves a joint mortgage.what i want to know is can i take my name of it and put it back on again in a years time when we get married?? my partner is willing to take full responsibility for the mortgage if my name gets removed.any help would be appreciated.thanx

luckyfool

Can you remove your name from the mortgage?

- Probably, subject to your mortgage lender being satisfied that your partner can afford the mortgage on their own and give their permission then it can be done. Whether it is a good idea is another thing. Why do you want to do it?

Legal Fees - You will have to pay a solicitor to remove your name from the title deeds, and then pay them again when you get added back. This could come to several hundred pounds.

Stamp Duty - By coming off the mortgage and title deeds then there is a transfer of value to your partner, this could entail a liability to pay stamp duty on it. Assuming 50% share then you could have to pay 1-3% of 50% of the value of the house.


Unless you have a very good reason for making this transfer just now, and I can't see a financial one, then I really wouldn't bother.

zzzLazyDaisy

If you own the house in joint names the mortgage must also be in joint names. You could always put the house in your boyfriend's sole name, but apart from the costs (it amounts to a sale/purchase for solicitors fees, land registry charges and stamp duty) you would also have no rights if you and your boyfriend split up. Is that really what you want to achieve?

peterbaker

This might not be relevant in your case but you should be aware that it is sometimes possible for a lender to have agreed a joint names mortgage with just a sole name on the title deeds.

Barclays allowed my brother and I to do this 3 years ago.

This year I agreed to let my brother become the sole mortgagor which also freed up my credit reference record a bit so that I could contemplate new lending for other purposes. Because I had waived all title deed entitlement to my brothers property, there was no significant Land Registry change, certainly not one involving Stamp Duty.

The only legal fees I think were modest ones for what the lender still calls "a transfer of equity" but which simply means my name was removed from the joint mortgage deed.

I only mention this in case this is how yours was set up originally? The only reason I was on my brother's mortgage originally was to help top-up the income multiple. 3 years later the lender is happy that my brother satisfies their income requirement alone.

If you do remove yourself from the arrangement then you will certainly have to sign a standard waiver of rights form which basically says that if your boyfriend defaults you have no prior right before they evict you both! This seems to be normal thesedays for every adult living in a newly mortgaged house that isn't party to the mortgage deed.

nikkita_2

thanks for all your help,i used my income along with my boyfriends so he could borrow more money.our offer for the mortgage has only just came through and we dont complete on the house sale until 31st march so i dunno if the deeds are in his name alone.we did inform the bank that i would not be living in the house with him until we were married and they said they werent bothered if i lived in it or not.the reason for this is purely financial.in simple terms,i felt that if my name was on the deeds then the house would be half mine??? i have 3 children and at present i get a range of benefits,1 of which entitles me to full housing benefit for the house i rent at the moment.because the remainder of my money is income support i assumed that i wouldnt be able to recieve housing benefit for the rental property if i "owned" my own house.im not sure of the legalities of this...any ideas?

MarkyMarkD

If the lender required your income to grant the loan in the first place, they are going to continue requiring your income in future. You won't get released from the mortgage unless your other half's income increases sufficiently to cover the loan on his own.

nikkita_2

as always,thanx for your help.i neither used income support nor housing benefit to "tempt" the bank into lending us money..give mortgage lenders a lil bit of credit peter.if only it were that easy.the only money that was taken into account was maintenance paid by my ex-husband.thanks to an earlier post i have contacted a solicitor who has clarified things for us...and he didnt charge me a penny.keep up the good work everyone!

Spendless

nikkita

Do you mind telling me how youare able to keep you maintainance if you are on income support? I thought if you were on IS you could only keep a very small amount of it (can't recall figures but no more than £20 i think).

This isn't a criticism, i'm just after some info for a single mum friend of mine who may be out of a job next week.

Thanks

xx

nikkita_2

i realise it isnt a criticism,absent parents need to be able to pay maintenance for their kids.ask your single mum friend to contact her local sso and im sure they will help all they can.perhaps you could post the question on her behalf....under a more suitable heading other than the mortgage pages.

Spendless

nikkita wrote:

i realise it isnt a criticism,absent parents need to be able to pay maintenance for their kids.ask your single mum friend to contact her local sso and im sure they will help all they can.perhaps you could post the question on her behalf....under a more suitable heading other than the mortgage pages.

friend has made enquiries. She is allowed to keep £10 a week if she is on IS, which is what the posts made on benefit board have said in the past.

I posted the query to you on here as you seemed to have a different scenario to this and i wondered if friend had been mis-informed.

nikkita_2

the way it is worked out is as follows.when you apply for income support,you have a minimum amount that the law says you are entitled to for living expenses.say for example your friend is a single mum with 4 kids.she is given £40 per week in child benefit and the childrens dad pays her £85 per week in maintenance making a total income of £125 per week.if the law states that she needs £160 per week to live on then the money she already has coming in will be deducted from the £160.i believe that she is allowed to keep £10 per week of any maintenence so only £75 of the money from the absent parent would be counted as income.therefore her entitlement to income support would be £160(living expenses)..minus £40(child benefit)..minus £75(maintenence)..=£45 income support entitlement.hope this helps your friend!