Remove Ex Partner from HTB Mortgage

sh856531

Hi all

Could anyone please advise on what my ex partner would need to do to remove her as an interested party in a house we both purchased a couple of years ago?

I know we would need to pay Nationwide £100+ to remove her from the mortgage, but I'm guessing the land registry needs updating as well?

The other aspect of it is that it is a Help to Buy property so we have a second charge on the property. I'm guessing those guys will need advising as well.

Can anyone advise on the approximate costs of the whole thing?

Thanks in advance

Edi81

It’s not as simple as that.
If you intend to live in the property yourself you will need to take on the whole mortgage which will be subject to affordability checks. Will you need to buy out your exes share of the equity? Has this been agreed already?

foxy-stoat

For your ex, they will need to sign a transfer of equity form...

For you, you need to pay the ex half of the equity, if any, pay for the legal fees, pass your lenders affordability checks, pay the mortgage fees....and possibly the early repayment charges.

Good luck

sh856531

Edi81 wrote: »

It’s not as simple as that.
If you intend to live in the property yourself you will need to take on the whole mortgage which will be subject to affordability checks. Will you need to buy out your exes share of the equity? Has this been agreed already?

Hi

Yes - I will need to buy her out at an agreed amount. I should be able to afford the mortgage outright because in reality, although she was down as 50/50 I was paying the mortgage outright anyway due to our circumstances.

Assuming I can afford that and the bank will remortgage with just me as the owner, does anyone have an experience of the relative costs? I know the Nationwide fee, but legal fees, land registry fees and any fees that the Help to Buy people will apply are unknown to us at this point

Many thanks

S

sh856531

foxy-stoat wrote: »

For your ex, they will need to sign a transfer of equity form...

For you, you need to pay the ex half of the equity, if any, pay for the legal fees, pass your lenders affordability checks, pay the mortgage fees....and possibly the early repayment charges.

Good luck

Actually - one thing that is a bit alarming is I think I may end up having to pay stamp duty if I buy her out of the property. From what I understand of the rules + what I provisionally agreed with my ex partner it would likely be at or around the threshold.

Sounds like extricating from property is a pricey business :-/

Thanks

S

foxy-stoat

I dont think you will pay stamp duty again, adding a name then yes but not taking one off surely?!

Thrugelmir

sh856531 wrote: »

Assuming I can afford that and the bank will remortgage with just me as the owner, does anyone have an experience of the relative costs? I know the Nationwide fee, but legal fees, land registry fees and any fees that the Help to Buy people will apply are unknown to us at this point

Going to be somewhere between £1k and £2k.

With regards to affordability. Try some online calculators they should give you a guide. Paying the mortgage every month in itself is not a reliable guide.