is it possible to register 3 people on the deeds if only 2 on the mortgage?

redflwr

Hi 2 Questions
-current mortgage has 3 people named - married couple + relative(not daughter) (could only get this at the time due to low income)
-New mortgage for daughter for another property (first time buyer) with one parent who is one party of above mortgage
-Parent only being added for affordability but daughter will pay mortgage and deposit, intending to remove parent from mortgage when financially able
Has anyone done/know of this and are there any financial consequences for claiming benefit purposes?( for parent eg Tax C)
-Can the other relative be removed from first title deeds( after mortgage is paid of soon)and be named on the title deeds for new mortgage(remember not on mortgage), in order to live with daughter , as this is more suitable arrangement due to relatives disability and the fact that married couples growing family need more room( as does relative)
Please advise as need to look into all options

kingstreet

No. Only those party to the mortgage can be joint owners.

Seanymph

I had the deeds of a house in my name, and my husband and I had a joint mortgage.

So we were both on the mortgage, but only I was on the deeds.

kingstreet

Yes. You can have more borrowers than owners with a couple of lenders. It's how a guarantor works.

The OP is asking about more owners than borrowers, the other way round.

Thrugelmir

redflwr wrote: »

-Parent only being added for affordability but daughter will pay mortgage and deposit,

Affordability criteria is put into place for good reason. The parent involved should think carefully before committing to such an undertaking.

redflwr

kingstreet wrote: »

Yes. You can have more borrowers than owners with a couple of lenders. It's how a guarantor works.

Can you please explain how a guarantor works, heard the mortgage advisor briefly mention the word but don't know the ins and outs of it, is it just like 2 people on a mortgage and one name on the deeds

and would this be a good option

the only reason parent is making decision to be on the mortgage is daughter is trustworthy( I know - but she is) and also that the parent is prepared to take on the responsibility for the mortgage in the worst case scenario - would keep investment for other children

steeeb

"the parent is prepared to take on the responsibility for the mortgage in the worst case scenario - would keep investment for other children"

If they aren't on the deeds it isn't an investment for other children.

kingstreet

A guarantor is effectively an extra borrower.

However they have to be able to afford the whole mortgage for the whole term, so a parent approaching retirement is usually not suitable.

amnblog

A guarantor is someone who will sit on a primed hand grenade leaving their offspring in control of the pin.

Thrugelmir

redflwr wrote: »

the only reason parent is making decision to be on the mortgage is daughter is trustworthy

Then you need to remove your RTG's. Most peoples finances fail for any number of reasons other than a breakdown in trust.

Hard facts is what matters.

redflwr

amnblog wrote: »

A guarantor is someone who will sit on a primed hand grenade leaving their offspring in control of the pin.

That's brought us to our senses!