Downsizing mortgage chances

Newstartnewlife

I have recently separated from my alcoholic husband and we have agreed that I will take on our house which is valued between £270 and 295k. I'd tend towards the lower figure. The mortgage is currently £211k.

Until recently I was a stay at home mother but following my separation I found full time employment and earn £33.5k. I have tax credits of approximately £170 per week which cover my childcare bill which is unlikely to decrease in the near future. My ex currently gives me £700 per month which leaves me in a very comfortable position. However, due to his alcoholism I think it unwise to rely on this money as he is unlikely to be able to continue working. He is self-employed and has accrued debt, ccJs etc against his business. I am not a director of his business.

My plan is to sell up and buy a cheaper house, which will reduce my mortgage payments which are currently £1250 per month. I anticipate being able to buy a house for around £160k close enough to school, childcare and the motorway.

There are a few things that worry me. My credit card was maxed out by my husband without my knowledge and this debt of £6k remains with me. He often paid it late or not at all before I returned to work. He was late laying our mortgage etc. He kept me out of the financial affairs (yes I know this was unwise of me but you will be surprised at how convincing alcoholics can be) so I am scared that I will not be able to easily get a mortgage.

I have a company car and get fuel reimbursed so outside mortgage, food, bills and childcare I do have any significant outgoings. I even get a free lunch at work! Renting is a possibility but more expensive.

What are my chances of getting a mortgage? I don't have any CCJs but this credit card is a worry of mine. All I want to do is reduce my mortgage so that I do not have to rely on a financial contribution from my ex as it is so unlikely it will continue. Our children are 5 and 3.

Any ideas?

ACG

Have you got a copy of your credit file?

Affordability wise you shouldnt have a problem.
Credit history wise - you may. But it might not be as bad as you think.

Might be worth a chat with a mortgage advisor?

Thrugelmir

May be worth formalising the division of your assets. If your ex is in financial difficulties. So as to prevent any claim on (part of) the equity in the property.

Also your ex's contribution to you may be limited to statutory maintenance going forward. So shouldn't be relied on for budgeting purposes as it currently stands.

Your ex's creditors may even question the £700 per month that is being paid.

Suggest you tackle the debt in your name. How it arose is now of no consequence. Is your liability.