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Mortgage advice
mandy6979
Posts: 105 Forumite
Hi everyone.
I'm looking for some mortgage help and advice.
It's a long story, but i'll shorten it as best I can lol.
Basically, my husband of 23 years left me in March last year for another woman and we'd only moved into our dream house the previous year. Through his guilt, he made up a separation agreement saying that he would continue paying the mortgage, and he's kept his word and has paid every month since he left. He now regrets this and the house has been up for sale since March this year. I now have a new partner of 8 months and we're considering taking over the mortgage between us and paying my ex off.
The original plan was for the house to sell and myself and my new partner buy another property between us for around £125,000 paying a £25,000 deposit. We were approved for a mortgage in principal with Halifax and were allowed to borrow up to £211,000, as we have a combined income of £64,000.
The marital house is valued at £180,000 and the remaining mortgage is £130,000 (including a £6,000 penalty for backing out of a 5 year 4.64% fixed deal....big mistake!!!). My ex says that he'd be happy to walk away with £16,000 (my new partner would give him the money) and no more monthly mortgage payments, which sounds like a good deal to me.
My new partner has good credit score and is 939 with Experian, but has a couple of settled defaults from a few years ago when he was going through a messy divorce. Because of the defaults, my current lender Nationwide won't offer us a mortgage, so we'd have to pay the penalty and move the mortgage to another lender.
My question is....would we have to pay stamp duty on the property and would it be classed as a remortgage?? Also, is it fairly straight forward to change names over on the mortgage. I understand I'd have to do it all through a solicitor.
I think it makes more financial sense to take over the house I'm in just now and then it also saves having to move house.
Any advice or thoughts on the matter would be greatly appreciated.
I'm looking for some mortgage help and advice.
It's a long story, but i'll shorten it as best I can lol.
Basically, my husband of 23 years left me in March last year for another woman and we'd only moved into our dream house the previous year. Through his guilt, he made up a separation agreement saying that he would continue paying the mortgage, and he's kept his word and has paid every month since he left. He now regrets this and the house has been up for sale since March this year. I now have a new partner of 8 months and we're considering taking over the mortgage between us and paying my ex off.
The original plan was for the house to sell and myself and my new partner buy another property between us for around £125,000 paying a £25,000 deposit. We were approved for a mortgage in principal with Halifax and were allowed to borrow up to £211,000, as we have a combined income of £64,000.
The marital house is valued at £180,000 and the remaining mortgage is £130,000 (including a £6,000 penalty for backing out of a 5 year 4.64% fixed deal....big mistake!!!). My ex says that he'd be happy to walk away with £16,000 (my new partner would give him the money) and no more monthly mortgage payments, which sounds like a good deal to me.
My new partner has good credit score and is 939 with Experian, but has a couple of settled defaults from a few years ago when he was going through a messy divorce. Because of the defaults, my current lender Nationwide won't offer us a mortgage, so we'd have to pay the penalty and move the mortgage to another lender.
My question is....would we have to pay stamp duty on the property and would it be classed as a remortgage?? Also, is it fairly straight forward to change names over on the mortgage. I understand I'd have to do it all through a solicitor.
I think it makes more financial sense to take over the house I'm in just now and then it also saves having to move house.
Any advice or thoughts on the matter would be greatly appreciated.
0
Comments
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You would pay the Nationwide early redemption penalty in any case as you are swopping a borrower and therefore breaking the contract.
You should check with your solicitor but stamp duty land tax looks unlikely in this case.
It is not classed as a re-mortgage as there is a change of ownership from Mandy & Ex to Mandy and BeauI am a Mortgage Broker
You should note that this site doesn't check my status as a Mortgage Broker, 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.0 -
If it's not classed as a re-mortgage, does that mean I would have to pay a deposit on a new mortgage for the outstanding £130,000?0
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The deposit is in the property already as equity is it not?I am a Mortgage Broker
You should note that this site doesn't check my status as a Mortgage Broker, 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.0
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