Mortgage Advice Following Split From Partner

StephenFrancis1983

Hi All,

My partner and I have decided to go our own separate ways after seven years together. We also have a two year old son together.

We bought our house (new build) 2 years ago, which she is still living in and wants to keep, and I am lodging with my brother.

I'd like to add that our split is totally amicable and we will remain close friends for the sake of our son.

Because of our son, I have told my partner that I am more than happy to pay the mortgage on the house so they can remain there. It's a nice estate and in the catchment area for the school we want him to attend.

The mortgage repayments are just under £700 per month and there is no way she could afford to stay there without me paying for it.

What would I need to do from a legal perspective to allow us to have such an arrangement?

Would it be as simple as just carrying on paying the mortgage as I do now or would I have to speak to my mortgage provider or solicitor and inform them of our arrangement?

My main concern is if that I do inform my mortgage provider, will they remove me from the mortgage and put in my ex's name only? Because if they do, there is no way she'll be able to get a mortgage on her own for the house because she only earns £15,000 per annum.

I'd really appreciate any advice.

Many Thanks

Annisele

StephenFrancis1983 wrote: »

My main concern is if that I do inform my mortgage provider, will they remove me from the mortgage and put in my ex's name only? Because if they do, there is no way she'll be able to get a mortgage on her own for the house because she only earns £15,000 per annum.

No, they won't. There are many things to worry about, but not that!

Assuming its a joint mortgage, you and your ex are "jointly and severally" liable for the mortgage loan - which means that the lender can pursue either or both of you for the debt. Lenders usually choose to pursue the person with the money, which in this case is you. If the lender removed you from the mortgage, it wouldn't be able to pursue you for the debt anymore - which is absolutely not in the lender's interest.

You probably do need to think about what will happen in various unpleasant scenarios - what if you (or she) dies, becomes too ill to work/care for child, moves in with someone else, needs to move to another area, loses their job? Some insurance and a will are probably a good idea if you don't already have them.

You also might want to think about whether you intend to pay for the house indefinitely, or just until your child reaches 18 / leaves full time education / your ex gets a better paying job. And think about what you expect to happen to the equity - if the house is jointly owned and there's no deed of trust, then when you sell the starting point is that she's entitled to 50% of the equity - even if you've been paying the entire mortgage.

From the mortgage lender's perspective, you just need to keep paying hte mortgage. There's some information here about mutually agreed child support arrangements.