Query about mortgages

majendie72

Hi, new to the forum as a poster although I've found lots of useful advice here in the past as a "tourist".
I'm finally posting my own question as I can't seem to find an answer to it anywhere else.
To cut a long story short, I don't have any debts and own a house with about 11 years left on the mortgage and a fair bit of equity. I now have a partner who after struggling with some debt problems got a debt relief order which runs it's course in October.
He works but I am at home at the moment until our daughter starts nursery/school but even when I do go back to work my wages (as a teaching assistant) are pretty meagre.
Basically I'm wondering if we as a couple can do anything mortgage wise,
Once the DRO has run for a year, is his name still mud for the 6 year period and we will stay put or does my good credit rating count for anything? We would like to either move house or (the big fantasy) release some equity to buy somewhere to do up as a possible hobby/new career path.
I just want somebody to tell me definitively that it's a non starter then I can stay in this house and join the mortgage free wannabe(?) board.
Thanks in advance for any information anyone can give...

Thrugelmir

Having got through your partners debt problems. Why do you want to immediately put added pressure on yourselves? Why not reduce your current mortgage by overpaying for a while and the options will increase greatly.

majendie72

Thanks for your reply, I see your point completely about staying put and I'm a bit torn really being a naturally "thrifty" sort of person the stoic mortgage free idea really appeals to me but then so does the idea of using the equity I've built up, choosing somewhere new to live with a new partner etc...
This question is hypothetical at the moment, I like to plan and not having all the information is a bit frustrating.

Thrugelmir

majendie72 wrote: »

Thanks for your reply, I see your point completely about staying put and I'm a bit torn really being a naturally "thrifty" sort of person the stoic mortgage free idea really appeals to me but then so does the idea of using the equity I've built up, choosing somewhere new to live with a new partner etc...
This question is hypothetical at the moment, I like to plan and not having all the information is a bit frustrating.

I'm not suggesting you target to become mortgage free and stay put. Reducing your mortgage will save you interest and therefore accelerate the increase in your equity in your existing property more rapidly.

majendie72

Thanks again for your response. I've paid a few chunks off the mortgage when there was just my son and I and I downsized from London. I have kept the repayments the same and reduced the term rather than reduce my monthly payments.
Because I'm so risk averse I always have a fixed rate because I like the security even if it means I end up paying a bit over the odds (probably a lot in the past)
I know every case is judged on it's merits differently and by different lenders but I'd like to know would anyone lend under those circumstances, would it only be at a very high intrest rate? Just an outline of the general rules to give me an idea of what course to take, if any, in the future.

Thrugelmir

majendie72 wrote: »

I know every case is judged on it's merits differently and by different lenders but I'd like to know would anyone lend under those circumstances, would it only be at a very high intrest rate? Just an outline of the general rules to give me an idea of what course to take, if any, in the future.

The expression I would use is that time heals. To put matters into perspective even opening a bank account can be difficult after receiving a DRO. The same lenders that were defaulted on and lost money. As those that you'll be applying to for a mortgage.

Hence my comment about focusing on reducing existing debt. Then possibly you could obtain a mortgage on your name alone at a later date.

majendie72

Ok thanks again for taking the time to reply to me.
I'm lucky in that I'm very happy where I am and there is no urgent need to move space wise. Not sure about getting a mortgage by myself for quite a while though as I had a nice healthy salary when I relocated from London, a bank wouldn't even allow me to keep the mortgage I'm on at the moment even though I've never missed a payment.
No regrets though, work life balance is 100% improved!