horrible mortgage problem

Bonty

Can anyone with any legal knowledge please help or offer advice regarding this issue please.
Four years ago,my daughter moved into her fiances house,at that time the mortgage was in his name only.
They decided to put my daughters name on the mortgage and duly signed the papers with the building society that held the mortgage,My daughter and her fiance were led to believe everything had been taken care of and her name was on the mortgage.
Now fast forward three and a half years to October 2018.The relationship broke down and my daughter has to leave the home but believes she may have some entitlement due to the fact she is now on the mortgage.
This is where things get complicated,it transpires that my daughters name was never put on the mortgage due the errors made at the building society,it also further transpires that her ex fiances previous partner is still on the mortgage.
My daughter is now homeless ,has no access to the house,wants no further dealings with her ex and is now living under a new set of personal circumstances,she is no longer in full time employment but now doing part time agency work ,she has quite a large loan and now the building society are saying she has no choice but to have her name put ON the mortgage as they plan to implement the 4 year old paperwork,despite the fact that she is still homeless is not with her ex fiance and does not have any legal right or access to the home ,where her ex fiance lives with his new girlfriend.
The building society seem not to care as long as her name goes on the morgage,I suspect to cover their incompetence.
Sorry this is so long winded,but is it actually legal for the society to implement 4 year old paperwork in this way especially in light of the relationship breakdown and significant change in circumstances.
Thank you for any help in this,I believe We will have to take professional legal advice but I have always found this site very useful and the contributors very helpful
Thanks again

[Deleted User]

If the contract they wanted to be put in place 4 years ago wasn't properly implemented, then I would think the lender is doing the right thing by correcting the error now, to put them in the position they expected to be in.

The status of their relationship wouldn't be their concern.

enthusiasticsaver

Is your daughters name also on the deeds of the property? She cannot be held liable for a mortgage on a property she doesn't own.

The relationship will be of no interest to the lender. Neither will her current circumstances.

If she is liable for the mortgage she will also hold a share in the property so this may not be the worst thing.

shortcrust

I don't know the legal position but hope someone can help with that. However, if a change you still wanted to happened hadn't been implemented four years ago due to an admin error it wouldn't cross your mind that it might not be legal to implement it now.

Enthusiastic saver makes an good point in that this might be a good thing for her from a financial point of view.

silvercar

Is your daughters name also on the deeds of the property? She cannot be held liable for a mortgage on a property she doesn't own.

You can. It is possible to have 2 people named on the mortgage and only one on the deeds. Some lenders advertise this facility eg when a parent is assisting with the borrowing but the property is held by the offspring.

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OP should write ASAP to the lender, withdrawing her agreement to the previous signed papers. Then get some legal advice.

shortcrust

silvercar wrote: »

You can. It is possible to have 2 people named on the mortgage and only one on the deeds. Some lenders advertise this facility eg when a parent is assisting with the borrowing but the property is held by the offspring.

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OP should write ASAP to the lender, withdrawing her agreement to the previous signed papers. Then get some legal advice.

Can you do that?! I thought the whole point of signing papers was to commit yourself to whatever you're signing.

I wonder what the reaction would be if the change benefitted the OP's daughter and it was the ex-partner who was now writing to withdraw his agreement.

Bonty

unfortunately her name has been put on the deeds,

enthusiasticsaver

silvercar wrote: »

You can. It is possible to have 2 people named on the mortgage and only one on the deeds. Some lenders advertise this facility eg when a parent is assisting with the borrowing but the property is held by the offspring.

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OP should write ASAP to the lender, withdrawing her agreement to the previous signed papers. Then get some legal advice.

Doesn't the party have at to at least have a beneficial interest registered? I worked for a large bank and dealt with mortgages admittedly some years ago but no way could someone take a mortgage out on a property they did not own. How can the lenders enforce the debt if they cannot realise their security?

enthusiasticsaver

Bonty wrote: »

unfortunately her name has been put on the deeds,

Well then the property is partly hers. She needs legal advice but I would suggest that she see about making sure that her ex cannot sell the property without her knowledge. I think she can put some sort of notice with the Land registry to stop that happening. It also means her ex cannot take out additional borrowing on it without her knowledge.

I understand that you think this is awful with her being held partly liable for the mortgage but presumably her ex and his girlfriend are paying it as it is the roof over their heads and eventually he will have to buy out your daughters share when he wants to sell and cannot raise any further borrowing on it so she has an element of power here.

enthusiasticsaver

silvercar wrote: »

You can. It is possible to have 2 people named on the mortgage and only one on the deeds. Some lenders advertise this facility eg when a parent is assisting with the borrowing but the property is held by the offspring.

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OP should write ASAP to the lender, withdrawing her agreement to the previous signed papers. Then get some legal advice.

I strongly advise that your daughter does not do this until she has taken legal advice. She owns part of the property so relinquishing this right would be a very costly financial mistake.

enthusiasticsaver

As the mortgage is joint this means your daughter and her ex are financially linked. You do not say whether he is in debt but if your daughter defaults on her loan then this will affect her exes credit record. It will be in her exes interests to sort this out and maybe give your DD a percentage of the equity to release her from the property and mortgage.