Need help removing name off mortgage

dazlongy

My ex-partner and I split 7 years ago and both moved out of the house. We changed the mortgage to Consumer buy to let Mortgagae to rent the premises out until we knew what the long term goal was. My ex has a new partner who is wiling to take on the mortgage for the premises instead of me (jointly).

I'm happy to just to get my name removed from the mortgage and let them take the property on. However Halifax will not allow any changes to Mortgage because it a consumer to let!! Does anyone know what my options are? I really just want my name removed.

AnotherJoe

Sell your property share to them. Your ex and partner will need to get a new mortgage together..

dazlongy

Thanks for the reply but the house is in negative equity of about 10k!!

AnotherJoe

dazlongy wrote: »

Thanks for the reply but the house is in negative equity of about 10k!!

So you'll have to cough up the difference between you.

Caz3121

unless your ex and partner have a large amount of savings to be able to reduce the mortgage from 110% to 75% then you will likely be stuck on the mortgage until the LTV improves...do you have savings to contribute to the negative equity?

Thrugelmir

dazlongy wrote: »

Thanks for the reply but the house is in negative equity of about 10k!!

Then selling the property maybe the only option to cut your ties.

dazlongy

Thanks for all the responses, so my only options are to sell and payback 10k shortfall! which I can't afford or wait for the house to increase in value.

Kynthia

You have a joint loan with your ex-partner that is registered against an asset, that you jointly own with your ex-partner, which is worth less than your loan. I'm not sure what solutions you think there are as the loan needs repaying, either over time with monthly repayments or as a lump sum.

Selling the asset will mean the full loan needs repaying as well as fees so you'll need to pay the extra between you. Selling your share to your ex could work but why would they buy something worth less than the loan and take on all the responsibility for the loan themselves unless you offered to pay them and the fees? So the other option is you can continue as you are with monthly repayments and see how things change in the future.

The loan should be going down over time too if it's repayment and not interest only, as well as hoping for property prices to increase. So you do have a current value of the property and the outstanding mortgage value to know for sure there is still negative equity of £10k?

dazlongy

Hi Kynthia, thanks for you input. It's actually 14k negative equity when it was last valued earlier in the year. The solution I was looking for was that my ex and her partner are happy to take on the asset even with the negative equity and see it as an investment long term. I'm more than happy for them to take this on hence the simple name change. But looks like no solution is possible for this to happen.

maninthestreet

So after seven+ years of ownership, the property is £10K in negative equity?? Is it a repayment mortgage or interest only?? What sort of property is it, where is it located, and how much did it cost to buy??

dazlongy

We bought it just before the housing market crashed for £116,000 with a S106 agreement (75% market value) we didn't stay in for it for long before we split then went to interest only consumer buy to let mortgage. It's currently now £102,000 as we'd have to sell it at 75% market value. 2 Bedroom terrace in Cornwall.