Downsizing to pay school fees - port mortgage?

fatbadger2

Hi - We would like to keep 25 k for ourselves from September after we move house. My income will go up when we move city in the summer but my partners will stop temporarily until she finds a job. This will not be difficult but doesn't sound good to the lender i know.
I wonder if my plan is doable? :-
Present house worth 350 k
Buy new house for 300 k
present mortgage is 80 k

I would like to keep the same mortgage and use the 50k change for a treat and a v short buffer period.
My income will increase when we move but my partners will be variable as she's swapping from a permanent contract to a 'bank' one where she expects to earn a similar ammount but more variably. Mortgage was taken out on combined income.
Is this something mortgage lenders will be spooked by? How much info do they need? Are we obliged to pay back the mortgage and not use money for our own purposes?
many thanks

kingstreet

You will be making a new mortgage application on the new property. There is no option to move a mortgage from one property to another.

You may be able to port the rate from the old mortgage to a new one, if you qualify for the new one.

You will be required to satisfy new status, affordability and valuation requirements.

Thrugelmir

fatbadger2 wrote: »

Mortgage was taken out on combined income.
Is this something mortgage lenders will be spooked by? How much info do they need?

Lenders will base their decision on the facts to hand at the date of the application. Your income(s) will need to be sufficient to afford the mortgage.

A £50k buffer sounds as if there's uncertainty in your plans.

fatbadger2

Hi
There is uncertainty. We're both changing jobs, new city, new schools...
So when we apply again and my partners between jobs tthey may see this has a decrease in jojnt income? Hmmm. Will have to think about that then . Thanks

Wh05apk

Uncertainty is not a big issue to lenders, they will simply look at affordability, which will be based on your sole income, if your partners income is not permanent.

fatbadger2

So a buffer tgat could last us 2 years that's not good enough? They only consider instantaneous income at purchase? That is v inconvenient

ACG

How much will your income be?
Who is the lender?
Do you have any debts/commitments?

Jhoney_2

Why don't you take less and save for the treat?...you will also have to reduce £50k by solicitors cost, product fees, EA etc etc.

What if you spend the buffer? your potential income is not as lendable as a permanent contract (although neither is reliable future earnings, if that makes sense)

Best of luck to you, as at least you are addressing the debt and thinking about what to do for the future.

fatbadger2

The 50 ish k is for 2 yrs sch fees and a buffer to see us safe just in case my partner doesnt get a job straight away... plus we may have a holiday as it will be stressful yr. So as i understand it if we move house with one of us in between jobs then we're screwed! If im not correct please let me know. Its v inconvenient as only one of us can change jobs first and then the other