Ex wife defaulted on Joint mortgage

scivax

Okay first post and its a little complex (well who said life was easy ;-) )

About 3 years ago I (by chance) found out that my ex wife had repeatedly missed mortgage payments, we had a sealed court order as part of our divorce which stated she could have sole use of the property as long as she kept up the mortgage payments; neither equifax or expirean show the mortgage which was with Santander so i had no idea about the missed payments until I stumbled upon an open letter on a trip round to the old marital home. Anyway a lengthy court battle followed and I finally sold the property and severed financial ties Dec 2013! last late mortgage payment April 2013 (which is when I found out)

I now want to buy a second property with my new partner , she owns a flat in London (outright) worth around £800,000 and we are thinking of releasing £400,000 turning said flat in to a BTL (the rental for our flat would be circa £2500 pcm); We then want to move to a new house out in the suburbs to start a family and would need to borrow a further £450,000 on a residential mortgage to get the house we want.

I earn £100,000 per year and my partner earns £24,000

With the mortgage missed payments (which only show up on call credit) does any one know whether i am going to have a problem getting these two mortgages?

Other info:
I very stupidly took out a couple of Payday loans to cover some of the defaults the ex had incurred to prevent the property being repossessed, I took the last one out back April 2013 (paid them on time) my finances were a little fraught after the divorce and was the only option at the time.

I now have a good payment history with credit cards highest limit 15K and pay in full every month and no other adverse credit history

Do i need to go to a specialist or will the high street look at us?

Ahh also the £400k will be going down as a deposit on the residential property which is worth £850K so we have nearly 50% LTV for both mortgages, all other cost coming out of savings

MEM62

You best bet would be a visit to a mortgage broker as you will have , between you, a residential mortgage being changed to BTL and a new joint residential mortgage for your new home. It is worth talking to a broker for anything that is less than straightforward. My girlfriend and I are in exactly the same position having just decided to live together - we will sell on property in order to upgrade to something bigger and then rent the other.

Also, when looking at your income and affordability do not forget that the income you receive on the rental property will be subject to income tax.


Good luck.

[Deleted User]

Just thinking off the top of my head, but it might be worth seeing a mortgage broker. They'll be able to match your circumstances to lenders.

Also, quite a few lenders won't touch anyone with a payday loan on their credit file, even if settled OK.

CornishOptimist

Definetly speak to a broker, preferably a whole of market broker.

I too had a few payday loans my file from 2012 and this did not cause an issue for me. I did however use a broker who could steer the course for me.

Best of luck to you

CO