Nice and complicated - please advise if you can

bambos

It's a long one so quit now unless you're in for the long haul....

My husband and I took a mortgage with Halifax for £119,000 5 yrs ago in May. The mortgage is in my husbands name only as they would offer me one or him one but not one jointly due to poor credit, lending criteria etc.

We now owe £105,000 and want to add me and borrow some more to have an extension done. We have no debt and no credit cards etc.

My husband owns two properties with his ex wife, both have a joint buy to let mortgage, it suits us all to keep them running and she has and manages one and us the other. She pays the mortgage and has the profit from hers and we have ours, this is an informal agreement.

Nationwide have given us an agreement in principal for an extra £31,000 but we have to obtain proof of the mortgage being paid and profit for my husbands ex (tricky)

Not sure if Halifax will offer as we have a meeting with them soon but I wanted some insight into the probability of getting the extra and if there might be a way around the proof from ex wife issue as the mortgage advisor at Nationwide was left scratching her head and couldn't think of any other options.

We have a combined income of £43,000 pa.

HappyMJ

Why doesn't your husband do a deal in which he takes one of the BTL's and his ex-wife takes the other BTL property?

I think that would the easiest way...and it would get his ex out of his current financial affairs.

You do know that if he were to die tomorrow the houses he owns being in joint ownership would automatically both pass to his ex-wife and you have no claim on them. That would be terrible. Sort that out before sorting out the mortgage, ownership and extension on the property you live in.

I would never move into a property with a partner that I was not on the deeds of. You can be on the deeds and mortgage even having a rubbish credit rating and absolutely no income whatsoever. You're risking being homeless if he dies. The mortgage can't pass to you, would require immediate repayment and that will be achieved by a forced sale.

bambos

HappyMJ wrote: »

Why doesn't your husband do a deal in which he takes one of the BTL's and his ex-wife takes the other BTL property?

I think that would the easiest way...and it would get his ex out of his current financial affairs.

You do know that if he were to die tomorrow the houses he owns being in joint ownership would automatically both pass to his ex-wife and you have no claim on them. That would be terrible. Sort that out before sorting out the mortgage, ownership and extension on the property you live in.

I would never move into a property with a partner that I was not on the deeds of. You can be on the deeds and mortgage even having a rubbish credit rating and absolutely no income whatsoever. You're risking being homeless if he dies. The mortgage can't pass to you, would require immediate repayment and that will be achieved by a forced sale.

Thankyou for your wise words. When we enquired about splitting the BTL's the mortgage company wouldn't do it but that was a while back now so could have changed. My husband has life insurance which covers the full mortgage in the event of.....he also made a will so we kind of stuck our heads in the sand and ignored the issue

HappyMJ

bambos wrote: »

Thankyou for your wise words. When we enquired about splitting the BTL's the mortgage company wouldn't do it but that was a while back now so could have changed. My husband has life insurance which covers the full mortgage in the event of.....he also made a will so we kind of stuck our heads in the sand and ignored the issue

The mortgage company wouldn't do it...of course they wouldn't as there's two people to chase in the event of mortgage arrears...so sell.

Sell them, realize the equity and use that money towards your extension and paying down your mortgage. Then re-mortgage your property into joint names. Look after yourself.

Maybe the ex-wife can offer to buy your husband's share by re-mortgaging them in her own name. She'll get to keep them if she's so attached to them.

amnblog

I don't see the problem if both of the buy to lets pay for themselves.


All you should need are two mortgage statements and two tenancy agreement copies.

I would suggest you stop wasting time talking direct to Lenders and get some proper advice.

Dave_Ham

Wake_up_call wrote: »

The advisers that work for lenders are qualified and have to adhere to the same regulatory requirements as anyone else.

There seems to a trend on MSE of brokers suggesting that they always know best. In many cases that is simply not true.

Boring day, thought you could liven it up with a completely unqualified set of statements.

For avoidance of doubt, typically I personally always know best.

kingstreet

I know the criteria of many lenders better than their own staff and often have to explain things to them, they disagree, then they ask their supervisor and their supervisor confirms I was right.

We reckon we can ring a lender and ask the same question three times and get three different answers.

They make a mistake, it's "ah, well."

We make a mistake and it's a complaint and a £550 FOS fee.

That's why most of us will back a broker to be right more often than someone who works 9 - 5 for a bank or building society.

Dave_Ham

Wake_up_call wrote: »

'typically I personally always know best'

Yeah, but clearly don't realise when you contradict yourself. :rotfl::rotfl:

Haha..

Didn't think that was done deliberately eh..

As I said, boring Tuesday.

kingstreet

You know what they say about opinions...?

Yours is about as reliable and valuable as mine, so let's just leave it there, eh?

Dave_Ham

Wake_up_call wrote: »

When you saying "them" you are referring to call centre staff, not actual advisers. Having been both a in-house adviser and a broker, I can tell you that actual branch advisers know more about policies than a broker ever will.

I work in PR now so it's no skin off my nose what you think. But my point is that brokers on these boards constantly mislead people by claiming that they always know best. That simply is not true. Stop telling yourself you are superior, you are not.

Brilliant, I'm out

bambos

Hi amnblog

Thanks for the advice, that's a great option as we can just request a copy of the mortgage statement and ask the tenant for a copy of their tenancy agreement thus cutting out the middle man (or woman in this case)