Joint mortgage applications - only one applicant will live in property

lukish

Hello folks,

so we're first-time buyers (2 brothers) who are trying to buy a house together.

My brother already owns a house in which he and his family live in (he owns it outright, so no mortgage there).

While checking the requirements of some mortgage lenders, I've seen that they require that the property you buy be your main residence.

Now, this property that we are buying together (i.e. we will be joint applicants for the mortgage) will be my main residence, where I will be living in (rent free). He will not live in it.

Do you think the above arrangement is going to cause problems with getting a mortgage? All suggestions welcome, thanks!

amnblog

Yes, it is going to cause problems.

Problems that your mortgage broker is best placed to manage.

lukish

Thanks for the reply, amnblog. What do you think can be done to increase our chances of getting a mortgage? Has anybody here been in a similar situation? I have a telephone interview with a mortgage broker today, but would like to have more ideas about what we can do.

lukish

Just an update in case anybody is interested. Yesterday I spoke with a mortgage broker, who told me she should be able to find us a mortgage anyway, i.e. despite one of us not having the property we want to buy as his main residence (whether she's right is another matter - again, I'll keep you posted).
On the other hand, just now I've just another mortgage interview by phone with the Yorkshire Building Society, and the mortgage advisor there checked the regulations of YBS and told me they won't be able to give us a mortgage if one of us won't live in the property.
So we'll see. As I said, I'll try and report my findings here, as they can help people in a similar situation.
If anybody has any further advice, please let me know.

Thrugelmir

Let the broker do the leg work for you.

Pincher

This is about twenty years ago. I was buying my mother's house.
National Counties was so paranoid that she might have some rights to stay in the house, that they made it a condition that she MOVED OUT, and not move back in. My solicitor had never seen anything like it either.

I have no problem believing that they had to evict an old lady, and couldn't, so a new rule was born.

If everybody was 100% honest, the system will probably end up like the asylum system. Two million want to get in, but only 20,000 with just the right human rights violation will get in. Consider lying, I doubt they will check.

My parents had a room in the house, and they came to "visit", A LOT.

DandelionPatrol

Pincher wrote: »

Consider lying, I doubt they will check.

Lying cannot be condoned. More appropriate to make sure that the facts fit the criteria to at least a minimal degree.

csgohan4

DandelionPatrol wrote: »

Lying cannot be condoned. More appropriate to make sure that the facts fit the criteria to at least a minimal degree.

Lying will make Obtaining future mortgages/ remortgages extremely difficult if caught. Your choice.