Re-Mortgage Question

scoops82

Hi


I have a mortgage in my name only but my GF lives with me make payments into my back account every month towards the costs of the house/bills.


My question is - when I go to mortgage will I have to declare that she has an interest in the property? My bank statements will show her paying me monthly but if those amount just related to money towards the bills would I still need to add her?


She has much worse credit rating then I do and it would mean having a much higher interest rate if she was to be added. We are both happy to have the house is just my name as we have our own agreement if for any reason we were to separate,


When I took out the mortgage I live don my own and at the time they were happy to lend me the whole amount at that time.


We have also increased the value of the hosue so the next LTV would be much better than the original 90% I had at the start.


Any advice is welcome.
Thanks

kingstreet

If you are going back to your existing lender for a customer retention product, none of it will matter.

If you are remortgaging to a new lender, you'll go through the affordability and status checks for any new mortgage and some lenders may be interested in your partner's contribution, although I think your phrase "interest in the property" is inaccurate and likely to cause issues if you use it in a conversation with a lender.

scoops82

What would you suggest?


We want to keep the mortgage in my name but when they check bank statements then they will clearly see her contribution....get the money in cash instead?

Thrugelmir

Can you afford the mortgage without your GF's contribution?

scoops82

Yes I can afford both the mortgage and the bills, hence they agreed to lend me the original amount at the start although that was 4.5 x my salary at the time.


She moved in a couple of months after the purchase so we have our own agreement of how the property would be split based on contributions but I don't want to get stung paying a much higher interest rate than I need to.


I think we it comes to re-mortgage it will be at 70% LTV now we have done work to it....if that makes any difference? Plus I have a proper try which has a temporary C2L on it - which means I already pay a higher rate of interest.


I'm not sure on the bets way to approach this and....if they check statements for 6 months we could just work around it for those six months maybe?

Donut41

Having just gone through a remortgage. If you remortgage on your property and your partner is paying bills/part of mortgage, the solicitor will send out a questionnaire and you state whether there are other interested parties living there that are over 18, they sign it to say they are happy for the new mortgage but they don't actually have to be on the mortgage :-)

scoops82

Thanks - that's useful to know, does that mean the Mortgage provider cant force you to put them on the mortgage as I would only be applying for one in my name.

lee111s

Similar thing just happened with me during my remortgage. Nationwide just wanted my GF to sign a form to say they had no interest in the house.

scoops82

Cool - thanks everyone!