Joint ownership with one name on mortgage - is it possible?

melanierose

Hello,

I'm stuck in a bit of a mortgage nightmare. My boyfriend and I just had an offer accepted for a flat. The problem is that he's a UK citizen, but I'm not, and my current visa expires in a few months. My HR department is in process of renewing, but they are dragging their heels and I have no guarantee that it will happen soon enough. Only Halifax will consider our joint mortgage application, and their rates just soared to 6.5% for 90LTV (despite having a principle agreement at 5.99%).

My boyfriend's income is enough to qualify for a mortgage by himself. Is there a way for a mortgage to be in his name, but for the property deed to be in both of our names? Is it possible to add a name to a mortgage after it's in place? Is there any other way around this dilemma?

Any help is appreciated!

kurgyb

Yes in my previous relationship I was a student and my ex had the mortgage in his name. we then had a trust deed drawn up by a solicitor which cost approx £150.

melanierose

Thanks. Do "trust deeds" exist in the UK, or just Scotland? Is there a way to protect my boyfriend by ensuring that if the mortgage fails, I'm responsible too?

Nynaeve

It might depend on the lender but we have done this very same thing. I was an agency worker and my name couldn't go on the mortgage, so the mortgage is in my husbands name and the deeds to the house are in both names. I think it's called an A2 indirect charge??

I am now in permanent employment and have been told by the lender I will be able to add my name to the mortgage in a few months time.

Nynaeve

Oh, and trust deeds exist in England, our solicitor offered us one

kurgyb

Yes ours was England, really simple to do x

caedle56

The two things are actually separate issues, and it is entirely possible to have a mortgage in one name and the house in joint names.

Richard_Webster

The two things are actually separate issues, and it is entirely possible to have a mortgage in one name and the house in joint names.

It is theoretically possible for the obligation to repay the loan to only be on one party but the security over a jointly owned property has to be given by both borrowers. This permutation is legally possible, but of well known lenders as far as I know only HSBC/First Direct will agree to it. All other major lenders require the property owner and the borrower/mortgagor to be the same person.

melanierose

Thanks Richard, I was afraid of that. Luckily for me, FirstDirect was our first choice for a mortgage.

What exactly do a Trust Deed do? If we had the mortgage in my boyfriend's name, and we both paid equally, could we have a Trust Deed that would ensure I'm still liable for half of the sum of the mortgage?

Gloomendoom

Nynaeve wrote: »

I am now in permanent employment and have been told by the lender I will be able to add my name to the mortgage in a few months time.

What is the advantage in having your name on the mortgage?

Presumably there will be a charge for adding it.

melanierose

Hi all, sorry to bump this thread, but I once again need help with this.

My boyfriend had a mortgage approved in his name only with FirstDirect, and both of our names will to on the deed. As we're splitting all costs evenly, do we still need a Deed of Trust? Our conveyancer didn't see the point. Will it allow my boyfriend to hold me accountable for half of the mortgage?