Transfer of equity and existing mortgage

polgara

Hope someone can help as I'm a bit concerned about my living situation.

I moved in with my now fiance 5 years ago and have been covering half the mortgage/bills since then. I have also used my savings (circa 40-50k) on renovations/building work.

The mortgage on a ridiculously low interest rate and when I've raised adding me to the mortgage my partner says that it would cost lots and would mean the mortgage company moving us off the existing mortgage/legal fees etc.

Does anyone know if this is true. I don't know why but all of a sudden I'm now really worried about what might happen in the future if we ever split up. We do have wills detailing each other as the beneficiaries.

Foxy-Stoat_3

If you split up you would have to prove that you contributed to the mortgage/bills etc and depending on the circumstances it would be a fight to see any money back...if there are children involved then its probably not worth it as she would probably get the house and kids. The best result would be you would get 50% of the equity if the house was sold not all of the 40-50K you have dropped into it, assuming you can force the sale of the house or get her and the lender to re-mortgage and release the equity.

Mortgage fees for adding a name would be £100-£200 depending on who the lender is and assuming you are credit worthy enough for them, the legals will likely to be £750 upwards.

The rate wouldn't change unless you are a bad risk but no way of knowing without speaking to the lender.

Antispam

Mortgage Broker Surrey :spam:

StuC75

Who is the mortgage company involved - i did the ToE the other way (taking ex off) and there was no requirements to change mortgage product...I only did it to get a better deal..

Have you spoken with them to get the full facts or just hearsay on the matter??

Seems more likely that your partner has hesitation of adding you onto the mortgage..

Very valid point re Stamp Duty liability on what the 'half share' would be.. Which could push up the cost associated with it..

Such an outlay only gives you peace of mind were you to split up.. whilst remain together its not necessary..