Shared ownership and staircasing to 100%

badgerucn

Hi, I'm going through this process now, and it's complex,
Here are my details,

original house cost, £140k
I had it valued in order to purchase the rest of the house, as my girlfriend have a 75% mortgage, and we pay rent on the rest. The new valuation came through at £160k, the mortgage company requested a second opinion, and that came as £152500, which was actually in our interest to have it low meaning the additional 25% we will need to re-mortgage for, is lower.

I'm really struggling to find a good calculator to help the additional purchase, is anyone able to help, or point me in the direct of a good calculator to explain this better?
Thank you

00ec25

badgerucn wrote: »

Hi, I'm going through this process now, and it's complex,
Here are my details,

original house cost, £140k
I had it valued in order to purchase the rest of the house, as my girlfriend have a 75% mortgage, and we pay rent on the rest. The new valuation came through at £160k, the mortgage company requested a second opinion, and that came as £152500, which was actually in our interest to have it low meaning the additional 25% we will need to re-mortgage for, is lower.

I'm really struggling to find a good calculator to help the additional purchase, is anyone able to help, or point me in the direct of a good calculator to explain this better?
Thank you

explain what? You haven't said what you want to know

- you own 75% of the property and it appears your girlfriend funded that by taking a mortgage (in her sole name?) based on its then value of 140k. How much mortgage has she got?
- you now wish to buy the remaining 25% so as to get you to 100% ownership?

160k new valuation from who? The HA that owns the bit of the property on which you still pay rent?

your lender has indicated they value the property lower than 160k.

You haven't said whether the HA accept that lower value and therefore how much the HA is willing to sell the 25% to you for

therefore if the property is valued at 160, you already own 75% the remaining 25% may be "worth" 40K. Whether your mortgage company is willing to lend you an extra 40k on top of what you already owe them is a different question

badgerucn

00ec25 wrote: »

explain what? You haven't said what you want to know

- you own 75% of the property and it appears your girlfriend funded that by taking a mortgage (in her sole name?) based on its then value of 140k. How much mortgage has she got?
- you now wish to buy the remaining 25% so as to get you to 100% ownership?

160k new valuation from who? The HA that owns the bit of the property on which you still pay rent?

your lender has indicated they value the property lower than 160k.

You haven't said whether the HA accept that lower value and therefore how much the HA is willing to sell the 25% to you for

therefore if the property is valued at 160, you already own 75% the remaining 25% may be "worth" 40K. Whether your mortgage company is willing to lend you an extra 40k on top of what you already owe them is a different question

Hi, thank you 00ec25, I really wasn't clear in my question.
Let's start again, Ideally I am after some advice on someone who knows the process, or if there is a staircasing calculator that would help in costing that people would recommend.

My girlfriend and I jointly purchased 75% of a £140k house, we would like to staircase up to the 100% mark.

We started the process following the HA's guidelines, and paid for a RICS valuation, this was for £160k, and went through the process of talking to our current mortgage company, they arranged for the second valuation, and this was lower, at £152500, so I challenged the higher valuation, and the surveyor agreed. As have the housing association. They are selling the 25% for value, do companies actually sell it for more?


So we are now at the point where we have a mortgage offer for the whole 100% from our current mortgage company, but I haven't really compared the market as I'm struggling to find a comparison tool to fit my situation.

Our offer from the current mortgage company for the whole 100%, will actually reduce the amount we pay monthly (mortgage and rent) with our £100ish rent per month ending.

Hope this makes sense

00ec25

badgerucn wrote: »

Hi, thank you 00ec25, I really wasn't clear in my question.
Let's start again, Ideally I am after some advice on someone who knows the process, or if there is a staircasing calculator that would help in costing that people would recommend.

My girlfriend and I jointly purchased 75% of a £140k house, we would like to staircase up to the 100% mark.

We started the process following the HA's guidelines, and paid for a RICS valuation, this was for £160k, and went through the process of talking to our current mortgage company, they arranged for the second valuation, and this was lower, at £152500, so I challenged the higher valuation, and the surveyor agreed. As have the housing association. They are selling the 25% for value, do companies actually sell it for more?


So we are now at the point where we have a mortgage offer for the whole 100% from our current mortgage company, but I haven't really compared the market as I'm struggling to find a comparison tool to fit my situation.

Our offer from the current mortgage company for the whole 100%, will actually reduce the amount we pay monthly (mortgage and rent) with our £100ish rent per month ending.

Hope this makes sense

what the lender has valued it at does not tell us how much you need to borrow! lenders don't give 100% mortgages anymore

your GF has an existing mortgage, and unless it was interest only, she will have repaid some capital so will not owe as much as she originally borrowed.

if the HA is now willing to sell the extra 25% at a total value 152.5, the amount you need to borrow is the difference between what GF currently has as her o/s mortgage balance, and the max amount a lender will give you on a property worth 152.5, bearing in mind you will need to include a deposit in that, which may, or may not, be allowed to be existing equity rather than an actual cash deposit.

please explain:
- how much deposit and/or equity have you got
- allowing for the deposit, how much extra do you need to borrow
- will the total amount you need to borrow be within your affordability range based on your income