Sole Proprieter Restriction

jeffo489

A few years ago I purchased a house with my wife. The conveyancing solicitor suggested a deed of trust to protect my wife as she was not being named on the mortgage.

Fast forward a few years and it is time to remortgage. The new mortgage provider is now refusing to make a mortgage offer because there is a "Restriction on Dispositions by a Sole Proprietor" registered against the property with the land registry.

I can get this removed, and am not 100% certain that it means anything in our circumstances anyway.

I have been told that this restriction should not really affect the mortgage provider, and they are just being difficult because they do not fully understand it.

Does anyone know; Is this likely to be a problem with most main stream lenders? Or have I just stumbled upon one of the more difficult ones? Virgin Money?

Wh05apk

Not sure what you have here, are you saying the mortgage is just in your name, but the house is in both names?
"Restriction on Dispositions by a Sole Proprietor" would normally imply you are tenants in common?

kingstreet

Wh05apk wrote: »

Not sure what you have here, are you saying the mortgage is just in your name, but the house is in both names?
"Restriction on Dispositions by a Sole Proprietor" would normally imply you are tenants in common?

Hello, stranger. You've been on the missing list for months.

Everything ok?

jeffo489

Wh05apk wrote: »

Not sure what you have here, are you saying the mortgage is just in your name, but the house is in both names?
"Restriction on Dispositions by a Sole Proprietor" would normally imply you are tenants in common?

I suppose so. Basically, in order to get this particular house, I had to take an initial mortgage until my 69th birthday. My wife being a few years old would have prevented getting the mortgage, so we just put it in my name.

However, in case something happened to me, we wanted to protect my wife and kids from inheritance tax as one issue. (I now understand inheritance tax between spouses is not an issue). The solicitor recommended putting in place a "deed of trust". Without fully being made aware of the implications we agreed, signed some documents and so be it.

3 years later, upon applying for a remortgage, the mortgage companies solicitor has identified a "Sole Proprietor Restriction".

I no nothing more. We have been married 15 years and just wanted to move house. it was never complicated (supposedly)

whitfiea

Hi jeffo489,

I know this is an old thread but I am in the same situation. Did you get this sorted in the end?