Small mortgage.

arlybarly

Would appreciate any input to this please, i am going through a divorce, self employed and ex has said i can buy him out of the family home for 20000. The house is worth about 80 ish and no mortgage.

I am not living there at present as rent another house with new partner but still pay half the bills on it and buy the food for 2 children, one 18 at college and other 20 on apprenticeship.

Do i get a loan or does anyone offer mortgages on 20000. I havent got a lot of spare cash at the moment running 2 properties but think in the long term it will benefit me. Ex is always saying to sell the house when we origonally agreed to keep it going so kids had somewhere to live but he changes his mind like the wind, anyone help please..... Thanks

kingstreet

Plenty of lenders minimum loan is under £20k so you'll be fine. Just make sure your chosen lender doesn't have a high minimum, some do.

He will have to sign the transfer documentation for the Transfer of Equity, so his moods may not be very helpful to you...

getmore4less

Lender wil probably require you to move in.

cpwaterstone

Well you should consult to a good lender. Best of luck.

GR008

I have found with most lenders that you must be living at the address you are taking the mortgage out with.

JimmyTheWig

Would they be able to get a Buy to Let mortgage?

OP, the only thing I'm going to add is that when comparing mortgages for this sort of amount, the fee is often much more important than the interest rate.

kingstreet

She could be taking it on for the kids to live in, or herself.

If she is letting it, then it will need a BTL product, then she might need to borrow more to get over any minimum loan requirement, but she could pay off the excess immediately, within any penalty-free limit, of course.

JimmyTheWig

kingstreet wrote: »

She could be taking it on for the kids to live in, or herself.

If the OP is planning to live there herself then that should be simple enough.
If it's a second home, would that make things more complicated?
If it is for the children, would the OP be able to get a mortgage?

If she is letting it, then it will need a BTL product, then she might need to borrow more to get over any minimum loan requirement, but she could pay off the excess immediately, within any penalty-free limit, of course.

Are you saying that the minimum loan for a BTL product is generally higher than a residential mortgage?
Is the OP likely to find one with a high penalty-free overpayment limit?

arlybarly

Its domestic violence related thats why i originally left so yes once kn my name i can change locks and police can deal with ex.

Thankyou all who replied its given me food for thought.

kingstreet

JimmyTheWig wrote: »

If the OP is planning to live there herself then that should be simple enough.
If it's a second home, would that make things more complicated?
If it is for the children, would the OP be able to get a mortgage?


Are you saying that the minimum loan for a BTL product is generally higher than a residential mortgage?
Is the OP likely to find one with a high penalty-free overpayment limit?

Yes to main residence.
No to second home.
Yes to children.
Yes to typically higher minimum for BTL.
I'd expect at least 10%pa, or find a penalty-free product.