Mortgage transfer

ACG

When you are tied in to the mortgage what happens if he becomes awkward?
What happens if your current lender refuses you on your own?

As a contractor, you usually need to have been contracting for 6 months and then had your contract renenwed at least once with 6 or 12 months to run - what you need to do is check with the company you are applying to as you will have ERCs to pay if you have to move away from then.

SavingSteve

You're trying to find a way to convince yourself that areally bad idea is a good one. Doesn't matter how many different ways you describe it, this is a bad idea.

semma19

I appreciate the advice.
Say he agreed to stay on the mortgage, I paid it then eventually got in a position to get a mortgage of my own. Would the bank care if the house had gone up in value? As it stands (whether you think it's a bad idea or not) it's likely I can get a full time job that pays an amount enabling me to borrow what we've currently borrowed (I don't mean it's easy to get a job, just that eventually when I do get offered one I am around that salary range). BUT what if the house has gone up 50k in value? Or would they go by the original loan to value amount as I already live there and was named on the old mortgage?

semma19

I do have a broker and maybe he could ring Halifax I guess. They accepted us with 30% deposit on one salary and my partner has never had a mortgage before. I currently have a 60% mortgage no arrears no debt ever etc. Don't see why I wouldn't be accepted on my own, aside from the question of the house going up in value.

Caz3121

stephanieemma wrote: »

BUT what if the house has gone up 50k in value? Or would they go by the original loan to value amount as I already live there and was named on the old mortgage?

You would either need a higher mortgage to clear the joint mortgage plus to pay him his share of the equity or you take a mortgage for the outstanding amount and pay the share of equity from other funds

SavingSteve

Any new mortgage, and as everyone has said this would be a new mortgage, no such thing as a transfer, would be based on the value of the house at that time, current value would be irrelevant.

Left to its own devices any gains will also belong to him, so the amount you need to buy him out by would increase. Unless you have a solicitor create wording for you in a deed of trust that your current partner agrees to.

SavingSteve

You do realise that when you sign the mortgage declaration you are asked whether you are aware of any material facts that will soon change? Planning to split from a joint applicant is certainly a material fact. What you are describing, by not declaring this fact, is mortgage fraud. This has consequences.

semma19

I just want to know where I stand. I get that the mortgage can't be transferred and of course I get that I'd have to pay him back his share. I would do that from other funds. What I'm not clear on is if we purchase for 300,000 with a 200,000 joint mortgage then 6 months later get out of the joint mortgage (for example) and I apply for one on my own. Assuming I can cover the 100,000 deposit in full (paying him back his portion) do I then get a mortgage for 200,000? Because that was the purchase price? But what if the house is worth 350,000 then?

Doesn't make sense to me.

Thrugelmir

stephanieemma wrote: »

But what if the house is worth 350,000 then?

Your ex would be entitled to his share of the £50k. As part of the separation deal you strike.

If you've no job. Then presumably your ex would want his share of the mortgage he pays on behalf of you both.

semma19

You are right and I forgot about that.
Ok so i give him 25,000 on top. Then is a new mortgage really based on the current value? Even if I alreay own it partially and live in it? I would have thought I could get my own mortgage for 200,000 and privately settle with him what we agree he owes.