Changing names on a friends mortgage

Family_guy_fanatic

Hi everyone!

I'm completely new to mse.com and also to forums so this is my first ever post!

I have a friend who has a joint mortgage with her partner, they have now separated and I was wondering whether it is possible to change his name to mine on the title deed. Although it's in both their names she paid the full deposit and as far as we both know he wants nothing to do with the house or the mortgage.

I have offered my friend 50% of the deposit back in order to make the title deed fair.

How do we go about this?

Is it a simple case of solicitor and admin charges (which will cost hundreds) or does she need to cancel her current mortgage agreement with her partner and start a new one with me, which will cost thousands.

Sounds simple as long as all parties are agreed however I'm sure there will be a loophole somewhere.

FYI I am also a mortgage holder myself and have been looking at a second property for some time however cannot come up with the 25% deposit required for buy to let.

Thanks guys!

kingstreet

You need to request a transfer of equity. First the lender vets you and decides if it wants to add you to the mortgage, while removing the other party.

Once that's done, it passes the matter to a solicitor, for the charge and ownership to be resolved.

Total cost £450 to £600.

The solicitor acting for you will recommend the other party takes independent legal advice too. This is not included in the figure mentioned.

Family_guy_fanatic

Is that it? It sounds so simple! I just thought there would've been more to it, I'm not complaining!

G_M

The above assumes
* the lender accepts you as a borrower
* the friend agrees to have their name removed from both the Title and mortgage

Either hurdle could become an issue.....

Family_guy_fanatic

Will the fact I already have a mortgage be a negative issue or is it just to check whether I'm good for the monthly mortgage repayment?

Also is it worth getting a witness or solicitor to ensure I have proof of paying my friend half her deposit back it does that not necessarily matter as long as the paperwork consists of both our names?

You've been a great help!

TBagpuss

In effect what would be happeneing is your friend and their ex selling the house to you and your friend. You and your firend will be treated as making a fresh mortgage application so they lender will want to see that you pass their criteria.

You and friend also need to have a formal declaration of trust drawn up so that you are both very clear on what rights and responsbilities you each have for the house - for instance, are you going to live there? If not, is friend going to pay you 'rent' for your half? Who is going to pay what towards the mortgage? What happens if one of you wants to sell? Who will be responsible for repairs and upkeep? Who will be responsible for paying for insurance?