Removing one name from a joint mortgage

R1gM

I am wondering if anyone can help.

I am currently in a joint mortgage with the ex and have secured more than enough money to pay the mortgage payments myself every month.

The problem is currently no one with our bank seems to want to handle whether or not we can simply proove my income and remove the OH name off the mortgage. Basically there is no equity in the property as we have not had it long and buying out with a new mortgage inccurs fees due to it being a fixed rate.

Has anyone ever done this sort of thing with HSBC as a way of knowing it is possible to proove your income and affordability and pay to remove one name from the joint mortgage. Within branches they seem over eager to push new mortgages as the only option and don't explain why this cannot be done.

lightspeed

I am going through a similar situation myself as we speak. My mortgage, in standard multiple terms is out of my reach, in terms of affordability i can prove that i can manage perfectly fine with a lodger who has already been arranged.

The response that i have had from the Alliance and Leicester is is that i must apply as an individual for the whole mortgage just on my salary. I need no extra borrowing, have about a 75% LTV and have cash to pay off my ex. I still think that it is going to be a struggle based on my income.

If i were you and get the ball rolling and fill in the appropriate documents. Only then can you decide whether it is feasible or not. I would try and find the cash to buy your OH out to avoid penalties.

R1gM

Well in multiple terms I am about 4.3 times my salary for the mortgage value but the actual repayments are about 40% of my monthly take home pay.

UNlike yourself HSBC don't seem to have a policy in place for this over than two young not so sure but pretty sure advisors who said sorry you can only get a new mortgage nothing else. I was just wondering if any of their other customers have been able to do this or not and what exactly they had to ask for.

There is no problem with my OH who wants no money as the house is not in equity and the contents something we can sort. We are both happy with the issue of me simply taking it on. Buying out means paying a hefty early repayment charge which if I can avoid is an avenue I want to exhaust first. I have thought about a lodger but instead opted to work in a second job to raise my own income.

I am currently not able to get an answer on whether what I want is even possible to fill out the documents required.

Bossyboots

Mortgage companies are refusing to release even divorced spouses from their mortgage covenants so they are cracking down really hard nowadays on this.

From their point of view, having two people on the mortgage means there are two people to chase for payment if there is a default so it is not in their interests to reduce it to one which of itself carries more risk of said default.

ems2

My DH had to take his name off a mortgage with A&L in order for us to buy our place together, Nightmare is not the word!!!
Not due to money but due to A/L appalling customer service. Initially he was told that he needed to complete 2 forms, post them back and in aprox 14 days it will be done.

The 1st one was to notifiy them of the request and they were then to send out the second form to action the request. The initial form could only be original ( understandably) and could only be ordered from a call centre that was open 8-5.30 M-F. So when the first form was lost in the post it was annoying, by the time the 4th form was lost/found/lost/found then lost again 6 weeks later!!!! we were not happy.

The point of this post, other than to have a moan:p , is to be aware that it will take longer than you probably expect

R1gM

Time is not really the issue HSBC intiall cust service was bad anyways and a five week process stretched to about ten due to them not checking things properly. I understand its not easy none of this has been and I am not frustrated with it (yet) just simply wish to find out if any HSBC customers know if this can be done. Will be checking with as many at HSBC as I can then look at other options but thanks for all and any help I get

Rick62

I don't know specifically about HSBC, you should ring the central mortgage number rather than talking to the guys in the branch.

You want to request a 'Transfer of Equity'. They should have a form for this. They should let you, if your affordability is ok, although as bossyboots says it is not particularly in their interests. If they agree you will keep the same mortgage product, with the same rate and no redemption penalties, but they will probably charge you an admin fee of £200-£300 and you will need to involve a lawyer, maybe £500.