Mortgage - transfer of equity?

Keensaver

Hi,

I currently have a joint mortgage with my brother and am looking into the feasibility of him taking on the whole mortgage and removing myself from it, to enable me to buy somewhere with my fiance.

The outstanding mortgage is approx 175k, and the property value is approx 450k.

Is this a transfer of equity? how is it calculated?

How do you go about doing this?

Is stamp duty involved?

Thanks for any guidance!

kingstreet

The process is a transfer of equity.

Your brother would need to approach your current lender, or look for a new mortgage with a new lender, if he needs capital to buy you out.

He will need to satisfy the lenders' earnings and other lending criteria.

Depending on the settlement you work out between you, stamp duty may be payable. I'd consult a solicitor for full advice on this.