Will my partners finances affect getting a house?

MissTigger

Hi there me and my partner are wanting to get a house eventually. He doesn't work or have any savings, I have savings for a deposit on a house and intend on getting a mortgage for a small respectful house one day. My partner is currently in thousands of pounds of debt (from before I was around) and is unable to get credit.
I have saved up ever since leaving university and getting a good job, and I do try and chip away at his debts but I'm not prepared to just throw it all onto his debts. They're not in my name, nothing to do with me. We are not married, have no financial ties other than a 6 month old child together.
Is it possible to do it based on my income and savings alone? I have a reasonable income and to date no more than £10000 saved, I understand that I need to save A LOT more to put down on a house deposit but I do eventually plan on saving that in around the next 5 years. I'm just worried that his financial situation will prevent us from getting a house if we live together, or that one day they will consider them my responsibility to pay off?

pinkshoes

YasmineA90 wrote: »

Hi there me and my partner are wanting to get a house eventually. He doesn't work or have any savings, I have savings for a deposit on a house and intend on getting a mortgage for a small respectful house one day. My partner is currently in thousands of pounds of debt (from before I was around) and is unable to get credit.
I have saved up ever since leaving university and getting a good job, and I do try and chip away at his debts but I'm not prepared to just throw it all onto his debts. They're not in my name, nothing to do with me. We are not married, have no financial ties other than a 6 month old child together.
Is it possible to do it based on my income and savings alone? I have a reasonable income and to date no more than £10000 saved, I understand that I need to save A LOT more to put down on a house deposit but I do eventually plan on saving that in around the next 5 years. I'm just worried that his financial situation will prevent us from getting a house if we live together, or that one day they will consider them my responsibility to pay off?

Of course you can buy on your own!

You can borrow around 4x your salary, then would need a decent deposit, which you are saving for. Make sure you put it solely in your name!!!

I would suggest you put some pressure on your partner to get a job and pay off debts...

Pixie5740

He sounds like a right catch! Why are you chipping away at his debts? He should be doing that or looking at some debt solutions such as a DRO or bankruptcy if he has significant debts and no income.

If you are not financially linked to him (in other words you don't have any joint financial accounts with him) then his credit history will have no impact on yours.

KRB2725

Your partners debts will never be considered yours, you have no responsibility for them and that would remain the case even if you married.

Your partner could do a lot to restore his credit worthiness in a 5 year period.

Does he have any defaults or CCJ's?

MissTigger

He has a ccj from refusing to pay some of the debts in the past. I have really helped him see sense with them now and he trying to get work to start to pay them off. It's just as with our current situation we are renting privately, but they required both our financial details to apply. If they were to take his into account when applying for a mortgage then I'm just wondering if I'd get refused.

booksurr

YasmineA90 wrote: »

have no financial ties other than a 6 month old child together

so you have the single most important (financial) tie with him you can have, it just so happens that it is not a tie which impacts on your own credit worthiness

so how good is your good job?
- you are living in rental with a partner who has no income.
- you are about to enter the most expensive phase of child rearing, so the question is can you cover all of: child related expenditure, keeping your job and saving a significant sum for a deposit?

I think taking on a mortgage within the next 5 years would be a step way too far until he has a decent job of his own and is not only covering his own debts, but is also financially supporting the family as well.

chelseablue

Why doesn't he work? Or does he look after your child while you're at work?


I would stop paying his debts off for him.
I make the monthly payment to my partners credit card, but only because all our money goes into one account and I do all the bill paying

TBagpuss

You need to ensure tat you don't become finacially linked to him for the purposes of credit checks - so no joint accoutns of any kind.

On that basis, you would be assessed on your own fiancial circumstances and mortgage capacity, and if you dobuy a house, it could be in your sole name. It would be wise to ensure that you had a cohabitation agrement at tat time to make clear that he would not gain an interest in the property, or to efine how and how much of an interest he could gain, if by that stae he is able to pay towards the mortgage etc.

It would make sense for your partner to speak to StepChange to see whether he is dealing with his debt in the msot efficient way.

Why is he not working? would it be possible for him to work part time and for the two of you to share care of your child?

I'd also question wether you should be contributing to his debts or whether you could better use any surplus income in saving for a deposit or for your child's future needs. Is he making any payments to the debts himself?

HappyMJ

A mortgage would be a joint financial product and would link you bringing down your credit rating.

It is possible for you to get a mortgage with his name on it even if his credit is rubbish but it will mean a slightly higher interest rate and may affect affordability. You need to speak to a broker to figure out the best way to approach it.

xylophone

We are not married, have no financial ties other than a 6 month old child together.

Not much of a tie, then!:)

Is your partner not working because he is looking after your child?

alchemist.1

Some lenders will class him as a dependent with no income at all. You need to tell him to get at least a part time job.