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Buying a new house using existing house equity?

I am trying to buy a house after divorce and signing my old house over to my ex-wife and her boyfriend. I have had a family home signed into my name and it is mortgage free and valued at around £ 160,000, there is a family member living in it so cant sell it and simply buy want I want.

What are the options to use this property to gain a mortgage and buy myself a house now?

My issues also include a poor credit score now due to my ex running up debts on credit cards on my name, but I am sorting and now have 6 months of positive transactions and reducing the debts dramatically.

I owe £ 20k now and have savings to cover that but was thinking I would use my savings as a deposit on my new house. I currently rent and want to get back on the ladder.
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