Transfer of equity

rose_1

I have a mortgage with Alliance Leicester. My husband and I were Tenants in Common. He died last year and I am being told by them that in order to apply for a new deal, I will need to pay the building society and a solicitor to complete a transfer of equity. My husband died 16 months ago and I have continued to make the payments and have been making overpayments regularly for the past 10 months. Any thoughts?

Conrad

Sorry for you loss.

Rose they will treat you as if you are a new borrower - thats the rule with any lender as they have to demonstrate ongoing affordability. The fact you are paying the mortgage now is totally irrelevant in this assesment.

Your age for example will be considered.

You can either remain with A&L or if you prefer, see if you can get a better deal with a new lender but in this case there are usually 2 additional costs made up of a lenders fee (typically £995 added to loan) and also intermim interest on both loans (many brokers do not allow for this very real cost).

So step 1, see what the fees and deals are to remain with current lender.

There is another cost that will apply no matter where you go and that is a modest solicitors fee to put whole place in your name. Most lenders offer free legal fees for a basic remortgage but removing a name is an additional cost. Your existing lender have this cost too. Lenders usually appoint own solicitors for these things.

Good luck