My husband is applying for a mortgage without me

dmj1983

Good afternoon,
I'm hoping for some advice if possible please. My husband and I have secured a new build property and we intend for the mortgage to be in his name only. The reason for this is because I unfortunately have bad credit for various reasons. We have already been told my husband would be able to afford the mortgage on his salary (nothing has been set in stone, this was verbally after a quick look at my husband's wage slips). My question is will it be difficult for him to obtain a mortgage himself? We don't have a joint bank account but we have joint council tax for example. I worry that even though we have secured the property and we have the deposit etc I will hold us back with my credit situation. I would be grateful if anyone could shed any light on what we need to do.
Thanks

JaneyLouWho

I've just been offered (subject to valuation) a mortgage in my name only, not jointly with my husband, and the application was straightforward. However, the reason for me applying alone is because my husband is self employed, has variable income and we don't need to factor in his income to the affordability calculations (we are borrowing less than 4x my salary). In the mortgage application I was asked whether I was applying alone due to any bad credit history on my husband's side (no) and he will have to sign a form showing 'Occupier's Consent' - basically waiving any rights he might have to the property as an occupant without mortgage. The mortgage application also said that the lender might look at his credit history if we are financially linked, but I have no evidence that they've done that.

ACG

Yes.
Not many lenders will do single applications for married couples where the other party is being left off because of bad credit. You presumably also have the issue that the deposit is joint (even if it is solely in his account it would have been saved up jointly?).

There are lenders who will do it, but it will not be for every lender - if you are doing it yourelf, you need to check this bit of criteria in particular. If you have a broker on it, they will do it for you.

dmj1983

Thank you for the reply, so it is possible then... I know there will be a lot of hurdles to jump over but at least we know it is possible! Thank you

I can't work out how to reply to you both directly!

dmj1983

ACG wrote: »

You presumably also have the issue that the deposit is joint (even if it is solely in his account it would have been saved up jointly?).

Yes we did save up for this jointly but I would be happy to sign a disclaimer to state I'm happy to relinquish it. I guess we just need to be up front with our mortgage broker and hopefully they can find us something. I just hate the thought that I could be at fault and be the reason we won't have our dream house.

dmj1983

JaneyLouWho wrote: »

I've just been offered (subject to valuation) a mortgage in my name only, not jointly with my husband, and the application was straightforward. However, the reason for me applying alone is because my husband is self employed, has variable income and we don't need to factor in his income to the affordability calculations (we are borrowing less than 4x my salary). In the mortgage application I was asked whether I was applying alone due to any bad credit history on my husband's side (no) and he will have to sign a form showing 'Occupier's Consent' - basically waiving any rights he might have to the property as an occupant without mortgage. The mortgage application also said that the lender might look at his credit history if we are financially linked, but I have no evidence that they've done that.

Thank you for the reply Janey!
Can I please ask... is everything in your name at the moment? For example, utility bills, finance etc? The reason I ask is because I read that we would need to separate ourselves from each other financially for him to have a better chance at getting a mortgage. Would you agree?
Thanks in advance

ACG

dmj1983 wrote: »

Yes we did save up for this jointly but I would be happy to sign a disclaimer to state I'm happy to relinquish it. I guess we just need to be up front with our mortgage broker and hopefully they can find us something. I just hate the thought that I could be at fault and be the reason we won't have our dream house.

It is not quite that simple, in effect you would be gifting your part of the deposit to your husband. Most lenders only accept gifts without reservation - but you would be expecting to live there so the gift has strings tied to it.

It is probably easier just to grab a broker and get a factfind completed to they can do the research.

I would not rule out a joint application, bad credit is something I do all day everyday and you would be surprised at what gets through now a days. 15 defaults is my record. But also bankruptcy, CCJs, mortgage arrears or a combination of the above.

dmj1983

ACG wrote: »

I would not rule out a joint application, bad credit is something I do all day everyday and you would be surprised at what gets through now a days. 15 defaults is my record. But also bankruptcy, CCJs, mortgage arrears or a combination of the above.

Wow! That's surprised me! Thanks ever so much for your help, I will speak to our broker and look at a joint mortgage. Thanks again

cjmillsnun

I agree with ACG. I have 6 defaults, and have just received a mortgage offer with my DW with a major high street lender. Find a broker that specialises in adverse credit. They will be in the best position to advise. A standard broker may not be the best bet. I was advised by a non specialist broker that we could only get a sub prime mortgage offer. That plainly wasn't the case.

Thrugelmir

dmj1983 wrote: »

The reason I ask is because I read that we would need to separate ourselves from each other financially for him to have a better chance at getting a mortgage. Would you agree?

Unless you are intending to get divorced then being married means that there is both a financial association and a dependency.

JaneyLouWho

Both car finances are in my name, and all utilities/sky tv/council tax are in joint names but come out of my bank account.