Pay off mortgage then transfer mortgage into joint names - help!

littlebird_2

I've sold my house and have moved in with my partner.

The mortgage is currently in his name only but we are thinking of paying off his mortgage with the proceeds from the sale of my house, but we will then need to put the house in joint names.

Can anyone advise me what we need to do to do this.

His fixed rate finishes at the end of this month.

Thanks very much.

Dithering_Dad

Make sure you have a will, because if either of you die without one the other's half of the property will go to their relatives, not you.

littlebird_2

Thanks - We are just in the process of getting our wills done and were thinking we would pay the mortgage off first then get the names changed as otherwise we would have to pay the mortgage company as well to add my name.

localhero

Hi Littlebird,

To put the property into joint ownership from sole ownership requires you to download 2 forms from the land registry website. They are AP1 and TR1. You will need to contact the Land Registry helpline on 020 7917 8888 to obtain help in completing them properly. The helpline really is very good.

You will need to pay a fee depending on the value of the property. £201,000 - £500,000 is £70. It is advisable that you elect to own the property as tenants in common (box 11 on the TR1). It is essential that you each make a Will stipulating who should receive your share if either of you die (since it won't pass automatically to the other co-owner).

If there is no outstanding mortgage then there will be no stamp duty to pay, but you will need to obtain from Revenue & Customs form SDLT60 (an exemption from stamp duty form - from the stamp taxes helpline 0845 603 0135. They will also help you complete the form).

You must then send all the forms to the Land registry with the Land Registry fee.

You should then between yourselves draw up a document stating exactly what percentage you each own. You should each keep a copy of the document with your Wills. NB the Land Registry are not interested in what percentage you each own so don't bother sending it to them.

Getting your wills drawn up can be done before or after you've dealt with the Land Registry paperwork.

If all the above sounds a little too onerous you can instruct a conveyancer to do it for you (likely cost £300-£400 + VAT).

Best wishes.

littlebird_2

Thanks very much localhero - that was very helpful.

Will caht about it tonight and decide which way we'll go. If the forms are not too complicated we could do it ourselves as long as we are covered.

Cheers!