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Co ownership of mortgage - with no income
saz90
Posts: 3 Newbie
I will shortly be applying for a mortgage with my parents, my share will be 1% as I am a student and therefore have no income. The mortgage is being issued so that only my parents income is taken into account. Will the lender need to examine my finances (outgoings) or just conduct a credit check? I will be paying 1% of the deposit, will this therefore make me liable for 1% of the repayments? If so why doesn't the lender need to look at my finances? Thanks
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If your name is on the mortgage then you are joint and severally liable for the whole of the debt. Note that this is a separate issue to the ownership structure of the property. This would mean that should the worst happen, the lender will come after you for all of the debt (not just 1% of it).0
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Thank you. Are you able to tell me what financial checks will be done if I don't have an income?0
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You'll be credit scored, like any other applicant.
If you have no income, you'll be treated as a financial dependent and the other applicants will see their borrowing power reduced accordingly.I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.0 -
Please can you tell me what the mortgage adviser will need to know from me (I.e. will he need my financial obligations or outgoings?) Even though I'll be financially dependent on my parents, the other applicants0
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