Name on deeds but not mortgage?

Miss_Ratty

I'm a not a hundred percent sure where my post should sit, but here goes...

My husband and I live in a house, and he was on the mortgage initially alone, even though we split the cost, and we still do. The reason for this is was because I was made bankrupt in 2008, the year we met. Fast forward ten years, and we wanted to change the mortgage to a ten year fixed due to possible jon uncertainty for my other half, unlikely, but he's a worry wort.

Anyway we saw a financial advisor, who was adamant that even though my bankruptcy ended in 2012 and no longer shows on my credit report, and I have managed to rebuild my credit rating to a high level, that I would still have to declare my bankruptcy, and this would mean that it would be best if my husband alone applied.

Now that we have a child, I'm becoming more and more aware of the fact that I need to sort out a will. In a nutshell, harsh as it sounds, I do not want a situation where if I died and my husband remarried, then everything invested from my perspective in the house would automatically go to his new partner, and if she died, it would then go to her children (as per the current way things are passed along), cutting my son out. In an ideal world any new partner would honour our child, but knowing others who have been hit hard by the realities, I'm being a realist.

I would like to have my name on the title deeds, or some sort of legal document that sets out that at the point of my death, half of the house value is mine and to be passed to my son in the event of hubby also passing away after remarrying. But I don't know how to do this. I feel a bit annoyed that the IFA wouldn't even entertain me being on the mortgage, as I thought I no longer had to declare my BR, but it specifically asked if you had "ever" been made BR. I don't want to jeopardise any aspect of the mortgage, but at the same time I want to ensure that should the worst happen, that obviously my husband would be able to remain in the house, but once sold and if he remarried, that what I put in gets passed down to my son, so that he can eventually benefit and buy his own house etc.

Does anyone have any experience/advice?

DCFC79

Your credit rating despite being improved is only seen by you, what matters is whats on your file since this is what lenders see.

Amanda_Cm

If you want your name on the deeds, you need to apply for mortgage with him.
Personally I don't have experience with bankruptcy but I found this. It may be helpful for you https://forums.moneysavingexpert.com/discussion/2918012

Thrugelmir

DCFC79 wrote: »

Your credit rating despite being improved is only seen by you, what matters is whats on your file since this is what lenders see.

Bankruptcy is for life and on public record. Doesn't mean that obtaining a mortgage is a no no though. If asked the question on an application form a truthful answer needs to be given.

Thrugelmir

Miss_Ratty wrote: »

I want to ensure that should the worst happen, that obviously my husband would be able to remain in the house, but once sold and if he remarried, that what I put in gets passed down to my son, so that he can eventually benefit and buy his own house etc.

Does anyone have any experience/advice?

Seek legal advice and at least have wills drawn up. You could provide something for your child by using a life assurance policy written in trust for a relatively small monthly sum. If an early demise is your immediate concern.

Pixie5740

Get a new financial adviser. Yes, most if not all mortgage lenders ask the question, "have you ever been declared bankrupt?" However, people who have been bankrupt in the past and truthfully answered, "yes," to the question have successfully applied for mortgages, and not at horrific rates either.

There are very few lenders who will offer a mortgage to someone but allow more than that person(s) to be named on the deeds. Which is understandable if you consider the risk lenders are taking, should someone default on the mortgage they don't want someone with no liability for the debt putting the kibosh on the property being repossessed.

Mossfarr

Have you made enquiries with your bank?
Most offer free financial advice and will tell you there and then if they will offer you a mortgage. They have access to your bank records so will be able to see immediately that you are now managing your finances. They may not offer the cheapest products on the market but as you are already aware your choices are limited anyway.

With regards to your childs inheritance - you can make a bloodline will. This means that your share of your joint assets is left to only decendents of your bloodline ie your children.
So you can leave your half share of your property to your children but grant your husband a 'life interest' so he can continue to live there until he dies (if he wants to). If he decides to sell or move into sheltered accommodation your half share of the value then goes to your children. This also means that if your husband has to go into care in later life only his half of the property value can be claimed towards the costs.
When you set up your mortgage you need to specify that the property is owned as Tenants in Common not Joint tenants. This will need to be changed with the Land Registry at the same time.