Joint Ownership but Sole Mortgage

vo-vo

Hi,

My partner and I are planning to buy a flat with joint ownership. We have been saving the deposit together for sometime. However since I'm currently unemployed, we are planning to get a sole mortgage, only based on partner's salary (which is sufficient).

So, I will have my name on the property ownership but not on the mortgage.
Can this be done? Who should I talk to about this? Please help!!

Thanks.

danjberry

your name will need to be on the mortgage if it is going to be on the deeds. but this is no problem you do not need to be employed to be on the mortgage, it will still be based on your partners salary

vo-vo

Hi danjberry,

Thanks for your quick reply. However I've another problem which is I'm not a resident of this country and I'm here on my student Visa which is expiring end of this year. We are planning to get married soon but would like to purchase the property first.

Does it mean that it is not possible at all to have my name on the deeds if I'm not on the mortgage?

Thanks.

vo-vo

Sorry I forgot to say that the broker mentioned that it is not possible to have my name on the mortgage due to my Visa status.

AndrewSmith

It is not possible to have your name on the deeds of a mortgaged property unless you are party to that mortgage.

RufusFrog_2

That's not my experience - have the rules changed recently? I bought a house jointly with my partner in 1996 and the first mortgage was in my name only (this was to avoid the ludicrous overcharging on life assurance). No one ever questioned it.

Sorry I withdraw the above (having come home and checked the documentation). The statements clearly show both our names. To avoid double charging on the life assurance they must have agreed to base the mortgage only on my income and outgoings, so my OH was considered to be unemployed and not contributing (which he wasn't). So we got a joint mortgage based on one person's earnings and that didn't seem to be a problem. This was with DirectLine for the record but I couldn't recommend them overall.

I would check out some online mortgage application forms and see if they all ask difficult questions about the non-contributing partner's status.

danjberry

it has to be in joint names of the mortgage if deeds are joint names in case they have to repossess, otherwise they are taking someone elses property when they are not party to the repayments.

maybe you can have a solicitor put a second charge on the property that way you have a "right" to the property to protect your security

Bossyboots

It would have to be a restriction, not a second charge. A second charge does not convey any proprietorship or rights over a property. A restriction will prevent the property being sold without consultation but again, does not convey any proprietorship rights.

danjberry

can i just ask what the difference is i think i might of guessed it so here it goes...

a second charge is for an amount and will allow the second chargee a certain amount of equity over the property if this was sold, they also have a right to prevent any further secured borrowing and change of first charge i.e remortgaging.

with a restriction the above is also true but they are also allowed to stop the property being sold

is that right bossy boots or am i waffling?

Bossyboots

Right about the second charge.

A restriction merely registers against the property the fact that person x has an interest in the property which needs to be considered before any sale. This has the effect of ensuring that they are notified of any potential sale and can negotiate their interest at the time in return for waiving their restriction.

vo-vo

Thanks so much for your replies. I'm just wondering how much will it cost for a second charge and restriction? Can we have it done together with our conveyancing by the same solicitor?