FTB - Mortgage Application Question

Lala2015

Hi everyone!

I'm sorry if this has been asked before & I understand the nature of the question isn't really 'money saving'; but I've received so much help from the replies on this forum already, I thought I'd ask!

So some of you may know that I'm looking to buy my first place.:D

I'm a single applicant (as I have recently moved out from privately rented accommodation with my ex and into my own rented accommodation). I never, EVER want to get into a financial situation like that again, as although it was 'only' renting, it was complicated and lost me a chunk of money.

Now; I'm thinking a good few years ahead here, but please bear with me!

I will be applying for a mortgage as a single applicant.
But say I do so... and meet someone. I already am 100% decided that my house/flat/whatever, will be MINE. I've saved up the deposit and it will be in my name, no problems there.

Say if I end up having a partner who moves in with me - sorry to sound ignorant - but how does it work?
If he will not be on the mortgage, do I have to get landlord insurance even though said person would be my SO? I know I'd declare another occupier to the council etc., but if he's not actively contributing to the mortgage, how would this work?
Thanks in advance :beer:

kingstreet

You do not need landlord insurance.

You may need the permission of your mortgage lender.

You will need to give up your single occupant discount for Council Tax.

Keep things clean and tidy be ensuring any contributions from the partner are towards bills and living costs and not the mortgage.

Malmo

If he will not be on the mortgage, do I have to get landlord insurance even though said person would be my SO?

No, you don't need to get landlord insurance for this scenario.

You are correct in saying that the council must be notified for council tax purposes and also for the electoral roll.

Lala2015

Thanks for your replies!


I was thinking, should this situation arise, I would only ask for living expenses i.e. food payments - so NOTHING at all towards the mortgage.


I'm applying for a mortgage before January 2016 (if all goes to plan!) and I don't expect to meet anyone before then.


What would happen in this scenario?

Dird

From what I've been told:
Plan to live alone in the house = nothing
Meet someone before then & plan to live with them = the mortgage provider will get them to sign a document along the lines of saying they can't claim squatters rights if you can't meet the payments

If you want it to stay in your name though then don't let him put a ring on it...or transfer to a family member before the big day? Or even after if it gets rocky? Is that legal? :O

Lala2015

Dird wrote: »

From what I've been told:
Plan to live alone in the house = nothing
Meet someone before then & plan to live with them = the mortgage provider will get them to sign a document along the lines of saying they can't claim squatters rights if you can't meet the payments

If you want it to stay in your name though then don't let him put a ring on it...or transfer to a family member before the big day? Or even after if it gets rocky? Is that legal? :O

Hi Dird,


I was thinking in the sense, move in alone (this is 100% certain!), then subsequently meet someone who moves in but we're not talking marriage... just as a domestic partner - So as in they are living there but not contributing to the mortgage itself, only daily living costs, apart from things such as council tax etc...
how would I go about declaring this - Would I need to?
I'm slightly confused?!


Thanks!

Dird

You don't need to tell the mortgage company at least until you plan to remortgage, then maybe (someone else here can say).
House insurance probably asks how many people live there when you renew though.

kingstreet

Read the mortgage documentation from your lender and see if you must declare when someone moves into your home.

Some lenders ask for it, some don't.