Will they let me pay the mortgage

munchkin84_2

Hi all,

Im in a bit of a confusing situation so Ill try keep it as basic as possible. Roughly 9 months ago my mum's partner left - telling me that I could now pay the mortgage on the house that we all lived in. The bank haven't been informed of the split as we worried that they would try to take the house when they found out I was now responsible for the mortgage (my mum is on state pension with a very small private pension, so can't possibly pay the mortgage). However, recently the ex partner has mentioned changing the address on the joint account that both him and my mum have access to and from where the mortgage is paid - surely this will cause the bank to question who is paying the mortgage if he's living at another address? There is also a sizeable loan secured on the house - which so far he has been paying, but there is still another 12 years to run on that.

There is about 9 years left on the mortgage and the house has been put in trust for me so that once the mortgage is paid off I will own half of the house - my mum owning the other half.My question is if the bank were told or found out that I was now responsible for paying the mortgage would they let me continue to do so? My income is low and I wouldn't be able to get a mortgage if I wanted to buy a house (or it would be a very small mortgage) but over the past 9 months I have paid the mortgage and all other bills fully and on time, I have no debts and repayments on things are minimal (occasional payment to catalogues when spreading the cost) and I believe that I can continue to manage in this way.

Thanks in advance for any advice

pinkteapot

In short, you'd have to apply for a mortgage in your name on the house. You can't just 'take over' someone else's mortgage.

What is the outstanding mortgage balance? (how big is the mortgage)

What do you earn?

Need to know these to know if you could get the mortgage.

The current number of years left doesn't matter as you'd have to apply for a fresh mortgage, so can take it out over any term you want (or any term they'll give you).

I believe that the house has to be owned by the person/people named on the mortgage, so if you want to mortgage it yourself then ownership would need to be transferred to you. Your mum couldn't be on the deeds and not on the mortgage.

The bank won't take the house, but the ex-partner will want to get off the mortgage. If you or your mum can't borrow to keep the house, it will need to be sold. The mortgage will be paid off and the remaining money goes to your mum. Could she downsize and buy something without a mortgage, with the amount of equity in the house?

munchkin84_2

Thanks for getting back to me.

Im pretty certain that im not able to get a mortgage. The amount left to pay on the house is approximately £57000 and I earn £5408 a year - this increases to £15704 if tax credits are taken into account, but I have received conflicting advice over whether they can be counted.

If the house was to be sold there would be no money left from the sale to buy another house for my mum as downsizing isn't an option - both myself and my mum would need a room, as well as my daughter and my nephew who my mum has raised and is currently in university. The loan that is secured on the house would have to be paid off, im guessing that's around £36000 and we would be lucky if the house sold for £120000, so that won't leave enough money for another house - even a much smaller one.

It's all a bit of a mess really, I just don't want the threat of losing the house over my head for the next 9 years.

CLAPTON

who exactly owns the house?
whose names are on the deeds?

whose names are on the mortgage?

what sort of trust has been set up?

why have your mother and her ex still got a joint bank account if they have split up ?

munchkin84_2

The house is owned by my mum and her ex and their names are on the deeds and mortgage.
Im not sure what type of trust was set up - it was something the solicitor drew up and the ex signed to say that once the mortgage was paid off, his half ownership of the house would be transferred to me.
The joint account has been kept as it was the account attached to the mortgage and also it is fully overdrawn, to close it I understand that they would have to pay the overdraft off which neither can afford to do and also in closing it the bank would be aware of the mortgage situation. We only use the account to pay the mortgage, the ex still uses it as his personal account but my mum has full access as I insisted due to her name being on it

silvercar

The risks are:

He could take another loan on the property

He could take a further overdraft on that account, he could take money out of that account.

In a matter of months, he has (a) left and (b) try to move the account address. I can't see this continuing for 9 years without some further threat to your security.

ate pension with a very small private pension, so can't possibly pay the mortgage). However, recently the ex partner has mentioned changing the address on the joint account that both him and my mum have access to and from where the mortgage is paid - surely this will cause the bank to question who is paying the mortgage if he's living at another address?

The lender won't care as long as the mortgage is being paid and at least one of the parties to it lives in the property. The danger is what he does with that account that you don't see.