Can a spouse income be included when applying for a sole mortgage application?

THS

Hi

I currently have a mortgage on the house that I live in with my wife.
We would like to move but don't want to rely on my house having to sell in order that we can buy another.

I've been told there are now a few financial implications of getting a second mortgage so I'm wondering what our alternative options are.

We have a good deposit but my wife's wage alone would not get us a big enough mortgage. Can my income be taken into account but the mortgage just be in her name?

If it's a joint mortgage would I still be 'penalised' for having two houses even if none are rentals or we live in one each?

Hope that makes sense to someone. Thanks!

ACG

You can apply jointly with jut your wifes name on the deeds with a handful of lenders..
However your Mortgage payments would be taken in to account when assessing affordability.

glosoli

No - she would have to be able to evidence that she alone could manage the debt, as the debt would be in her name only. If it was a joint mortgage, and if you were not selling your existing property by completion, then they would have to factor in expenditures applicable to that property to ensure that it was serviceable to have two properties, i.e the mortgage repayment, council tax, water rates, insurance costs, etc.

Thrugelmir

Wouldn't be a sole mortgage application if one could do this. :think:

THS

ACG wrote: »

You can apply jointly with jut your wifes name on the deeds with a handful of lenders..
However your Mortgage payments would be taken in to account when assessing affordability.

I've just read somewhere that, even if the mortgages were in different names, it would still be counted as a second home because we are married so I guess it wouldn't make a difference anyway.

It seems that we will just have to take the 'second home' hit! That's if they will even let me get a second mortgage. Can I do that without changing my current product? Such a can of worms when we just want a new house.

The alternative is not looking until this house has sold but that could take years!

THS

Thrugelmir wrote: »

Wouldn't be a sole mortgage application if one could do this. :think:

That's what I thought but my father-in-law swears he did this! Some kind of guarantor type of thing maybe??

glosoli

You should be able to so long that you are not looking to rent your existing property out. If you proceed with the same lender you have now they may have specific criteria in regards to second residential properties, i.e max LTV criteria.

ACG

THS wrote: »

I've just read somewhere that, even if the mortgages were in different names, it would still be counted as a second home because we are married so I guess it wouldn't make a difference anyway.

It seems that we will just have to take the 'second home' hit! That's if they will even let me get a second mortgage. Can I do that without changing my current product? Such a can of worms when we just want a new house.

The alternative is not looking until this house has sold but that could take years!

Speak to a solicitor about it.
I have done 2-3 Mortgages where there are 2 (or more) applicants and only 1 on the deeds and higher rate stamp duty was not paid.

Its not my job to advise on whether or not it is due. Solicitors tend to take different views on it, but it is a grey area as there are a few lenders offering to do it now - more than before the stamp duty changes.

But nobody is going to do what you asked in your first post.

THS

Thanks everyone!

Done more research- unless I'm being really daft, it seems I can claim the extra stamp duty back if my house sells within 3 years? So that wouldn't be that bad providing we get the second mortgage in the first place.

ACG

Yup. Thats normally an option.