Shouldn't probate be enough?

Sandbain

Sandbain wrote: »

My partner died leaving me in his will as sole beneficiary this includes a mortgage for the family home to take over.This is no issue for me but I am having a hard time with his mortgage lender.It seems every week they are asking for something else,another wage slip etc.Their current request is for a letter from the solicitor stating I am sole beneficiary of the property (which Is stated in the will) I have sent them a copy of probate which allows the executors to carry out the instructions of the will.But the probate is not in my name as I am the beneficiary.I have also given them a copy of the will which is stamped and signed by the solicitor.Is this a reasonable request or just an unnecessary expense?

Would they be making this much fuss if the house was in negative equity? I am sure they would have snapped my hand off to take over the payments then!

getmore4less

I don't think those will terms say the debt is to be paid from the estate.

You have to in practice buy the house off the estate by raising a new mortgage to pay off the old one before you can inherit the equity.

The executor should have explained this and acts as the vendor in the sale

getmore4less

Sandbain wrote: »

Would they be making this much fuss if the house was in negative equity? I am sure they would have snapped my hand off to take over the payments then!

They could insist on the house being sold and the estate paying the shortfall as an unsecured debt if solvent.

Sandbain

getmore4less wrote: »

I don't think those will terms say the debt is to be paid from the estate.

You have to in practice buy the house off the estate by raising a new mortgage to pay off the old one before you can inherit the equity.

The executor should have explained this and acts as the vendor in the sale

The thing is I am trying to raise a new mortgage.The problem I've got is trying to get through the process.They appear to me to be asking for something unnecessary.They want proof that I am the sole benefactor when I have provided the Will and probate document to that effect.

getmore4less

The executor should be providing that not you to the lender

Probably through the solicitor acting for the executor/lender on the discharge of the old mortgage.

In practice they may be able to use the same charge for the new one

silvercar

Sandbain wrote: »

The house was not in joint names even though we were together 18 years.I have applied to take the mortgage into my name he left the property interest to me.The way it has been worded is
'' I give all my share and interest in my property at .......subject to and charged with the payment of all principal sums and interest secured thereon by way of mortgage or otherwise at my death to.(myself) we have 2 children it's the family home.The mortgage payments are not an issue.I understand they need to check I can afford it but they won't even make the decision until they have proof of the proof.

If you were not on the mortgage and deeds, then the lender is right. This is effectively a new mortgage application and the lender is within their rights to check that you can afford the new mortgage based on your income/ outgoings etc. If the mortgage and deeds were in joint names then it would have been a matter of form filling to remove the deceased from the mortgage and deeds and life would have been a lot simpler.

I would make contact with the bereavement department, they may be more sympathetic, but the bottom line is that they have the choice to reject what is a new mortgage application.

Your second option would be to get a mortgage from a different lender. All lenders have different criteria, so it may be possible to get a mortgage elsewhere as a second choice. If you do go down this route, see a mortgage broker as too many applications could damage your chances.

Sandbain

I requested they send me a letter stating reasons for why they needed the proof of the proof.Explained that this appeared to be unnecessary delay and cost to myself at this already distressing time.etc etc so I had their reason in writing for the complaint.Heard nothing,phone calls not returned.Then today 4 emails back to back
Information requested received.....nothing was sent
Application passed to underwriters
Mortgage approved
Identity checks complete....By who?
So was this all delay tactics?
Very strange.But I'm very relieved.
Thanks for everyone's help and advice x

getmore4less

Nice move to get a response.