Deeds, mortgages and fiance

d0nkeyk0ng

As soon as I think this issue is settled, it seems to rear it's ugly head.

My fiance bought a house with her brother for her family. It was done out of convenience for the family more than anything else. The brother wouldn't have been able to afford such a large (£450k) home on his own. Exchange was done a month ago.

I've been looking at buying my own house long before I met fiance. Only recently has it become something that's viable. I've put an offer on a house and it's been accepted.

Currently, the plan was to buy the house in my name only. The mortgage application would have me on it only. I figured with fiance having bought a house with her brother, she wouldn't be able to.

We will be getting married in April. Fiance is keen to have her name on the house as well. She wants it to be *our* house.

Completely ignoring the reasons she's done what she's done, is there any way she can:

1. get her name on to the house deeds?
2. get her name on to the mortgage?

My mortgage advisor (who is the same one she and her brother used) reckons the mortgage on her brother's house would be taken into consideration if we did a joint mortgage application and we would likely be declined.

What about say in two years' time, when my mortgage needs renewing? Could we do a joint application at that point? Could we then get her name on the deeds as well? At that point, the mortgage with her brother would have been paid off.

suse*

I'm sure someone can confirm soon, but my understanding is you can't be on 2 residential mortgages like that. So unless the mortgage with the brother is a btl or has consent to let then she can't be on your one as well.

Can your mortgage advisor not confirm this for you as well else maybe you need a different broker.

Thrugelmir

d0nkeyk0ng wrote: »

What about say in two years' time, when my mortgage needs renewing? Could we do a joint application at that point? Could we then get her name on the deeds as well? At that point, the mortgage with her brother would have been paid off.

That's a totally different set of circumstances.

The brother wouldn't have been able to afford such a large (£450k) home on his own.

Sounds as if problems lie ahead. As afford would suggest your fiance is contributing which I assume she isn't.

d0nkeyk0ng

suse* wrote: »

Can your mortgage advisor not confirm this for you as well else maybe you need a different broker.

Meeting him tomorrow. It was a brief chat on the phone whilst arranging to meet up.

Thrugelmir wrote: »

Sounds as if problems lie ahead. As afford would suggest your fiance is contributing which I assume she isn't.

Fiance isn't paying a penny towards the mortgage. Her brother is paying the monthly payments and is going to sell his parental home to pay off the mortgage.

Mattygroves2

suse* wrote: »

I'm sure someone can confirm soon, but my understanding is you can't be on 2 residential mortgages like that. So unless the mortgage with the brother is a btl or has consent to let then she can't be on your one as well.

Can your mortgage advisor not confirm this for you as well else maybe you need a different broker.

So long as affordability is OK there is nothing to prevent anyone being on two residential mortgages. You have to prove that you could afford both.

kingstreet

Some lenders won't permit someone to be party to two residential mortgages.

Some lenders will aggregate the two mortgage amounts and see if they are affordable.

Others will treat the monthly payment of the other mortgage as a credit commitment and provided the new mortgage remains affordable, they won't have a problem.

d0nkeyk0ng

There's no way I could afford both mortgages!

Spoke to MA who said it wouldn't be feasible now. But he reckons in two years' time when fiance is off her brother's mortgage, and mine's up for renewal that we can do a joint application then.

MA pointed out that she's only just had a mortgage application go through recently. She also can't have two main residential mortgages (you're okay to have one if it's a holiday home but lower LTV mortgage applies).

kingstreet

In terms of affordability, how the lender for the new mortgage treats the existing one will be key. It's not that you can't afford both it's that the contribution required from your joint applicant remains strong enough, even if she had to pay the old mortgage as well as yours.

MA pointed out that she's only just had a mortgage application go through recently. She also can't have two main residential mortgages (you're okay to have one if it's a holiday home but lower LTV mortgage applies)

This doesn't fill me with confidence in your advisor's experience or ability. Is this an estate agency advisor, or a lender employee, as frankly it's rubbish...?

d0nkeyk0ng

Independent MA. It may have been that I misunderstood it. Please explain what's wrong with the advice?

MA didn't say fianc! couldn't have more than one residential mortgage but that our joint income would have to be able to cover both mortgages. The MA also did my fianc!'s mortgage so he knows how much it would cost and says we wouldn't be able to afford it.

kingstreet

You've now backtracked on what you said.

She also can't have two main residential mortgages (you're okay to have one if it's a holiday home but lower LTV mortgage applies)

My point is that you can have as many residential mortgages as you can afford. I've made that point several times.

If you are now saying affordability was assessed and that was the issue, fine. But that wasn't what was suggested by the quote about not being able to have two residential mortgages, which is rubbish.

d0nkeyk0ng

Not backtracking but I think it was about what was said and what was understood. I'm a specialist in my own field but out it, it's just gobbledegook to me.

Affordability was one issue. The other was something to do with "main residence"?